Middle Eastern producer announces Nov PE prices to SEA

A source from a Middle Eastern producer reported that they have announced their November PE prices to Southeast Asia.

The producer increased their offers by $10-20/ton when compared to last month’s offers. Accordingly, their new prices stand at $1140/ton for HDPE film and HDPE blow moulding, and at $1200/ton for LLDPE film, all on a CIF SEA, cash basis.

The source commented, “Buyers think the current LLDPE offers are too high since prices were $40/ton lower before the price increases in China’s market. For HDPE, buyers are giving lower bids but we are not considering any price below our level. The Southeast Asian market is quite weak and not likely to increase. On a country basis, Vietnam and Thailand have ample local supplies while market activities are slow in Malaysia and Indonesia’s market is quiet due to low local prices. China is doing better than Southeast Asia on the back of the lower supply levels and buyers’ replenishment activities. HDPE prices were under pressure due to a supply glut in Southeast Asia; however, this has changed since the regional producers have already sold out their inventory.”