- A Philippines trader informed SSESSMENTS.COM on the latest offers for PP cargoes in the country. For PP Homo Raffia cargoes, the localized offers of Southeast Asia origin remain stable on a weekly comparison, available between PHP62,000-65,000/ton ($1,223-1,282/ton) on cash, FD Philippines basis and including 12% VAT. This week, buying sentiment in the domestic market has slightly improved but most converters are still at a low production rate of below 50% from normal capacity. Some others are even unable to resume production due to lack of manpower and transportation issues. As such, the overall PP market remains slow this week.
- Meanwhile, a trader based in Vietnam reported to SSESSMENTS.COM that the offers for PP Homo Raffia from one of the local producers are available at more than VND1,000,000/ton ($42/ton) lower than other local producers’ offers. The trader cited that the producer is a newcomer in the Vietnam market with a recent start-up of PP plant, therefore the company is attempting to gain reputation. Hence, the producer is offering at such a level for only a short time as the trader heard that the producer has yet to receive any inquiries since Wednesday, May 21. At a later stage, the producer will likely adjust up their offers again. At the moment, 90% of the trader’s customers are asking for PP Homo Raffia cargoes from the producer. However, the trader is only purchasing from the producer for their own manufacturing consumption since they could not compete with such low prices for trading.
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DailySSESSMENTS: SEA PP Price 21st May 2020
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DailySSESSMENTS: China PP Price 22nd May 2020
