Korean PS, ABS and SAN offers for Aug surface in Turkey

http://www.petrotahlil.com/en/tiny/news-44800

Petrotahlil - Early August offers from a South Korean producer were unveiled this week with latest prices indicating increases of $30-70/ton for ABS and $30-40/ton for GPPS and HIPS. SAN prices posted $40/ton hikes month over month, meanwhile.

Particularly HIPS and ABS availability from South Korea is reported to be tight, as a side note.

Polystyrene

Most recent GPPS and HIPS offers were reported at $1010/ton and $1080/ton, respectively, CIF Turkey, cash no duty. They indicated increases of $30/ton for GPPS and $40/ton for HIPS from last deals for July shipment cargos.

Upward momentum slowed after buyers replenished stocks

Turkey’s import PS market has been on an uptrend since mid-May amid improved demand for certain end products in line with COVID-19 pandemic, reduced supply due to active China demand and higher upstream costs.

South Korean PS cargos for July were initially offered with $80/ton hikes before tiny discounts were obtained on deals. Yet, early August prices indicated more modest increases amid relatively stable styrene and oil prices.

“Most buyers already stocked up back in June which may keep activity moderate this month. We do not expect further large hikes for the coming term,” said some players. They also pointed to relatively cooling scene in China.

ABS

A planned turnaround at LG’s ABS unit led to reduced availability from Asia to Turkey. Higher spot styrene prices contributed to the ongoing rising trend as they continue to hover a 4-month high on FOB Korea/CFR China basis.

The most recent offers stood at $1320/ton for ABS natural, $1460/ton for black and $1480/ton for white grade, all on CIF Turkey, cash no duty basis. These prices represented increases of $70/ton for natural and $30/ton for specialty grades when compared to last deals for July shipments.

A trader secured some volumes at initial prices and said, “Our supplier did not concede to any discounts citing already low netbacks in Turkey as well as their limited allocations.”

Import Korean ABS still trades well below China

The refreshed hikes were not caught by players’ surprise since Korean offers have been trading at a discount to China’s import market for two months now. Even after the latest gains, offers in Turkey stand $85/ton below levels in China on a weekly average, suggest data from ChemOrbis.

SAN sees hike attempts for the 2nd successive month

Fresh SAN injection prices from South Korea came with $40/ton hikes. Offers had recorded sharp drops in April and May while June witnessed failed increase attempts from supplier. Players are curious about whether or not hikes will ve passed through on deals on the heels of supportive styrene costs.

Source : ChemOrbis

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