Saudi Arabian major steps back from October PE prices in Turkey

Middle Eastern PE producers approached Turkey’s import market with monthly increases in October in line with the globally strong trend. A Saudi Arabian major, however, adjusted its initial price levels down by $20/ton this week due to lackluster demand heading to the year end. The producer had initially sought hikes of $10-30/ton for LLDPE and $40-60/ton for HDPE for the month.

“The bullish trend has toned down this week due to unsupportive PE demand in the country amidst a jump in the USD parity early this week. Lower spot ethylene costs in Asia along with the stable to soft return of China’s PE market, except for HDPE, following a week long National Day holiday caused Turkish buyers to keep their purchasing volumes to the bare minimum,” players commented.

The Saudi Arabian producer’s recent prices were reported at $1240/ton for LLDPE c4 film and $1220/ton for HDPE film, FCA Turkey, subject to 6.5% customs duty, cash.
The prevailing Mid-Eastern price ranges are currently reported at $1260-1280/ton for LDPE film, $1200-1220/ton for LLDPE and $1180-1200/ton for HDPE film, all CIF Turkey, subject to 6.5% duty, cash, unchanged on the week.