SEA PET market starts Q4 with further losses
Import PET prices spend Q3 mostly with losses as well
After having a weak start to July, import PET prices on CIF Southeast Asia basis remained on a downtrend until early September to hit two to three year-lows across the region, according to the weekly average data obtained from ChemOrbis Price Wizard.
The market found support from temporary sharp gains in crude oil futures and upstream costs driven by drone attacks in Saudi Aramco’s crude oil facilities by mid-September, but this helped market reverse its course only for two weeks.
ChemOrbis data also show that the SEA PET market has resumed its softening trend over the past week in line with the weakening in global oil benchmarks amid the full resumption of Aramco by late September. Prices have continued their downturn since then.
Cost side does not furnish support
In Asia, spot MEG and PTA prices tracked a largely steady trend on a weekly comparison while spot paraxylene (PX) prices posted slight decreases, contributing to sellers’ softer pricing.
PET offers from Thailand, Taiwan, S. Korea move down
Several Southeast Asian and Far East Asian suppliers have approached regional PET markets with additional weekly decreases of up to $20/ton.
A Vietnamese trader also cut its PET bottle offers for Chinese and Indonesian origins further by $30/ton on the week.
Eyes on China’s comeback from National Day holiday
Southeast Asian PET players mostly prefer to adopt a wait-and see position nowadays as they intend to see how neighboring China market will return from the week-long National Day holiday.
This is because the post-holiday trend in China PET market is an important indicator of whether the downtrend in import PET markets across Southeast Asia will be sustained or not in the upcoming days.
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