Discounts on PP, PE deals fail to boost demand in Europe
A West European producer summarized the current situation in the PP market by saying, “Traders in the spot market are offering lower prices and this puts a cap on sales as buyers expect further discounts and postpone their purchases.”
Slow end product business in many fields was cited as another factor causing slower sales. A compounder reported, “The reason why we are purchasing on a hand to mouth basis is that our end business is not performing well and it has nothing to do with prices. Plus, we are confident that PP prices will post small decreases during the month as sellers hold high stocks.”
A German distributor concluded some deals after having lowered his prices by €20-30/ton for Central European PP, adding, “Demand is not regular and we are doing back to back business.”
As for PE, similar factors lead to slower sales. A producer reported, “We reduced our spot PE prices due to the aggressive offers from traders. The downtrend continues to hinder sales as buyers are refraining from purchasing in hopes for seeing new decreases.”
Many sources concur that the sentiment is not likely to shift in the near term amidst lengthening ethylene and propylene supplies in line with the return of crackers from maintenance shutdowns, which is causing weekly declines in costs.
In Italy, local PP prices are reported at €1170-1280/ton for homo PP and at €1230-1330/ton for PPBC inj., while in Northwest Europe, prices are quoted at €1200-1300/ton for homo PP and at €1270-1370/ton for PPBC inj., all on local terms.
As for PE, prices are at €1300-1350/ton for LDPE, at €1200-1280/ton for LLDPE, at €1200-1260/ton for HDPE film and b/m and at €1190-1260/ton for HDPE inj. FD Italy, 60 days. In Northwest Europe, PE prices stand at €1320-1380/ton for LDPE, at €1220-1300/ton for LLDPE, at €1200-1280/ton for HDPE film and b/m and at €1220-1270/ton for HDPE inj. FD NWE, 60 days.
More free plastics newsPlastic resin (PP, LDPE, LLDPE ,HDPE, PVC, GPS; HIPS, PET, ABS) prices, polymer market trends, and more...
- Bearish PP trend takes no respite on lackluster demand in Turkey
- India import PVC market recedes from all-time high on COVID-hit demand
- Stats: China’s total PP, PE imports in Q1 mark lowest volume in a year
- Vietnamese PE buyers hold off purchases on fears of further price pullback
- European PS on brink of a softer trend after 6 months
- Turkish PP and PE players voice bearish expectations for May
- China’s local homo-PP prices slide below imports
- Irregular PE origins emerge at competitive prices in Europe
- Mid-Eastern sellers backpedal in Africa on competitive PP, PE offers from Asia
- European PVC set to extend longest rising streak into May