Will China’s PE market sustain its upward momentum?
“Prices are up around $20/ton for import cargoes and around CNY100-200/ton ($15-31/ton) for domestic materials. We attribute these hikes to the fact that Sinopec and CNPC are said to be holding low stock levels. Although most sellers are firm on their prices for now, we have not seen any major up-tick in trading activity and we believe that demand will drop off towards the end of the month as players begin to leave their desks for the Chinese New Year holidays,” a trader reported.
Another trader added, “Import prices have risen by around $10-20/ton and most sellers are standing firm on their prices for now. Demand is better when compared with the previous week as some buyers are beginning to stock up ahead of the holidays, although most deals continue to be done for small quantities.”
A distributor offering to the domestic market commented, “Local prices are up around CNY100-200/ton ($15-31/ton) as CNPC and Sinopec claim to be feeling free from inventory pressure. However, we are not seeing any major change in converters’ buying activity and we feel that more attractive prices will become available later in the month once some players begin to step away from the market for the holidays.”
Another distributor stated, “Prices have seen significant increases in the first week of the year, but buyers continue to purchase only in small volumes to cover their needs. There may be some restocking activity in the next week or so as many players are holding low stocks, although trading activity will drop off once again in the second half of the month as players will begin to leave their desks for the Chinese New Year holidays.”
More free plastics newsPlastic resin (PP, LDPE, LLDPE ,HDPE, PVC, GPS; HIPS, PET, ABS) prices, polymer market trends, and more...
- Styrene prices sink to multi-month lows in Asia and Europe
- European PET posts double-digit decreases for October
- PVC downturn gains pace in Asia on Taiwanese major’s larger-than expected drop
- Asian spot propylene regains premium over ethylene for first time since 2013
- Import LDPE, LLDPE prices almost back at par with ethylene in China
- Turkish players voice early PP, PE expectations for November
- Thin buying cushions impact of PVC shutdowns across Europe
- China’s PP market makes a strong start to post-holiday period
- Asian ethylene-naphtha spread narrows to 3-year low
- Local PVC markets plunge in India, Southeast Asia