- PE offers declined with a total reduction between CNY350-1,300/ton ($49-183/ton)
- The drop in crude oil prices and Coronavirus outbreak dampened buying sentiment
- Possibilities for PE prices to rebound remain slim
In March, local and localized PE offers in China were mostly in a downtrend. The month started with stable to slight increase of CNY50-150/ton ($7-21/ton) for local and localized HDPE Film, LDPE Film and LLDPE Film C4 offers. However, due to the drop in crude oil prices and softer futures price, the offers continued to decline in the following weeks. In March, offers for local HDPE Film declined with a total reduction of CNY350/ton ($/49ton), while HDPE Yarn decreased between CNY500-600/ton ($70-84/ton). As for local LDPE Film and LLDPE Film C4, the offers declined between CNY600-800/ton ($84-113/ton) and between CNY1,250-1,300/ton ($176-183/ton) in the same month. As such, in the last week of March, offers for LLDPE Film C4 have broken below CNY6,000-threshold, offered at CNY5,850-5,950/ton ($824-838/ton) on cash, EXW China basis and including 13% VAT.
In the import market, offers for Middle Eastern HDPE Film dropped between $30-65/ton on a monthly comparison. Likewise, offers for Middle Eastern LDPE Film and LLDPE Film C4 decreased between $30-60/ton compared to the same period. On the week commencing March 23, buyers’ bids for South Korean LLDPE Film C4 via trader at $50/ton lower than the initial offers at $700/ton on LC at sight, CIF China Main Port basis were rejected. In contrast, a Saudi producer eventually accepted buyers’ bids and closed deals at $750/ton on the same payment and delivery term or $50/ton lower than the initial offer level considering the muted market. While on March 27, a local trader managed to conclude Indonesian LLDPE Film C4 at $670/ton, the lowest deals recorded in March. As for import PE cargoes of Thai origin, SSESSMENTS.COM noted significant adjustments for May shipment offers between $45-75/ton compared to April shipment for HDPE Film, LDPE Film, and LLDPE Film C4.
Overall PE resins demand in China was sluggish during March. The lack of workforce was still an issue for the first half of March. Moreover, the plunge in crude oil prices and Coronavirus outbreak outside China have dampened buying sentiment in the PE market as the digestion rates of finished product demand were slow. As such, most converters are still procuring on a hand-to-mouth basis even though their production rate continues to improve. However, in the first week of March, demand for HDPE Pipe and HDPE Blow Moulding was reported healthy, SSESSMENTS.COM was told. On the supply side, in the first week of March, the inventory of the country’s two leading polyolefins producers decreased by 150,000 tons, while in the second week, the inventory decreased by 35,000 tons. Likewise, in the third week of March, the inventory was reduced by 55,000 tons, while in the following week, a reduction of 30,000 tons was recorded. As of March 31, the inventory of the country’s two leading polyolefins failed to break below 1 million tons despite there were decreases earlier. The inventory on the last day of March stood at 1.175 million tons.
Looking ahead, Chinese market players opined to SSESSMENTS.COM that the possibilities for PE prices to rebound remain slim in the near term. While the PE market will depend on how other countries control the Coronavirus outbreak.
Range of local/localized PE offers between March 2 to March 6 on cash, EXW China basis (including 13% VAT in CNY term, all equivalent in USD excluding VAT)
| Origin | Product | Transaction Type | Offers (CNY/ton) | Equivalent in USD/ton |
|---|
| China | HDPE Blow Moulding | Offer Given | 6,900 | 861 |
| China | HDPE Blow Moulding | Offer Received | 7,500 | 936 |
| China | HDPE Blow Moulding | Price List | 7,100-7,200 | 886-898 |
| China | HDPE Film | Offer Given | 7,000-7,400 | 874-923 |
| China | HDPE Film | Price List | 7,250 | 905 |
| Iran | HDPE Film | Sold | 7,130 | 890 |
| Malaysia | HDPE Film | Offer Given | 7,100 | 886 |
| Middle East | HDPE Film | Offer Given | 7,450-7,550 | 930-942 |
| Russia | HDPE Film | Offer Given | 6,950 | 867 |
| China | HDPE Pipe (PE 100) | Offer Given | 7,600 | 948 |
| China | HDPE Pipe (PE 100) | Price List | 7,600-7,800 | 948-973 |
| China | HDPE Yarn | Price List | 7,000-7,300 | 874-911 |
| China | LDPE Film | Offer Given | 7,400-7,800 | 923-973 |
| China | LDPE Film | Price List | 7,700-8,200 | 961-1,023 |
| Malaysia | LDPE Film | Offer Given | 7,600-7,700 | 948-961 |
| Middle East | LDPE Film | Offer Given | 7,700-7,900 | 961-986 |
| China | LLDPE Film C4 | Offer Given | 6,800-7,200 | 849-898 |
| China | LLDPE Film C4 | Price List | 7,150-7,300 | 892-911 |
| Middle East | LLDPE Film C4 | Offer Given | 7,150-7,300 | 892-911 |
Range of import PE offers between March 2 to March 6 on LC at sight, CIF China Main Port basis
| Origin | Product | Transaction Type | Offers (USD/ton) | Payment Term |
|---|
| Central Asia | HDPE Blow Moulding | Offer Received | 800-810 | TT |
| Middle East | HDPE Blow Moulding | Offer Given | 820-845 | LC at sight |
| Southeast Asia | HDPE Blow Moulding | Purchased | 810-820 | LC at sight |
| Central Asia | HDPE Film | Offer Received | 800-830 | TT |
| Far East Asia | HDPE Film | Offer Given | 840-845 | LC at sight |
| Middle East | HDPE Film | Offer Given | 840-865 | LC at sight |
| Middle East | HDPE Film | Offer Received | 850 | LC at sight |
| Middle East | HDPE Film | Sold | 850 | LC at sight |
| North America | HDPE Film | Offer Received | 810 | LC at sight |
| Southeast Asia | HDPE Film | Purchased | 830 | LC at sight |
| Southeast Asia | HDPE Film | Offer Received | 830 | LC at sight |
| Central Asia | LDPE Film | Offer Received | 850-860 | TT |
| Middle East | LDPE Film | Offer Given | 875-900 | LC at sight |
| Central Asia | LLDPE Film C4 | Offer Received | 800-810 | TT |
| Indian Subcontinent | LLDPE Film C4 | Offer Received | 790 | LC at sight |
| Middle East | LLDPE Film C4 | Offer Given | 810-850 | LC at sight |
| Middle East | LLDPE Film C4 | Offer Received | 810-850 | LC at sight |
| Middle East | LLDPE Film C4 | Sell Idea | 830 | LC at sight |
| Middle East | LLDPE Film C4 | Sold | 830 | LC at sight |
| Southeast Asia | mLLDPE C6 | Offer Received | 1,055 | LC at sight |
Range of local/localized PE offers between March 9 to March 13 on cash, EXW China basis (including 13% VAT in CNY term, all equivalent in USD excluding VAT)
| Origin | Product | Transaction Type | Offers (CNY/ton) | Equivalent in USD/ton |
|---|
| China | HDPE Blow Moulding | Offer Given | 7,100-7,200 | 886-898 |
| China | HDPE Blow Moulding | Price List | 7,200 | 898 |
| China | HDPE Film | Offer Given | 7,150-7,250 | 892-905 |
| China | HDPE Film | Price List | 7,250 | 905 |
| Saudi | HDPE Film | Offer Given | 7,100 | 886 |
| Taiwan | HDPE Film | Offer Given | 7,750 | 967 |
| China | HDPE Pipe (PE 100) | Price List | 7,800 | 973 |
| China | HDPE Yarn | Price List | 7,000-7,200 | 874-898 |
| China | LDPE Film | Offer Given | 7,600-7,850 | 948-980 |
| China | LDPE Film | Price List | 7,700-8,200 | 961-1,023 |
| Malaysia | LDPE Film | Offer Given | 7,700 | 961 |
| Qatar | LDPE Film | Offer Given | 7,800-7,900 | 973-986 |
| China | LLDPE Film C4 | Offer Given | 6,800-7,100 | 849-886 |
| China | LLDPE Film C4 | Sold | 6,600-6,700 | 824-836 |
| China | LLDPE Film C4 | Price List | 7,000-7,300 | 874-911 |
| Indonesia | LLDPE Film C4 | Offer Given | 6,800 | 849 |
| Malaysia | LLDPE Film C4 | Offer Given | 6,650-6,700 | 830-836 |
| Saudi | LLDPE Film C4 | Offer Given | 6,900-7,350 | 861-917 |
| China | LLDPE Film C4 (CTO) | Offer Given | 6,650-6,750 | 830-842 |
Range of import PE offers between March 9 to March 13 on LC at sight, CIF China Main Port basis
| Origin | Product | Transaction Type | Offers (USD/ton) | Payment Term | Delivery Term |
|---|
| Central Asia | HDPE Blow Moulding | Offer Received | 800-810 | TT | CIF |
| Middle East | HDPE Blow Moulding | Offer Given | 820-830 | LC at sight | CIF |
| Middle East | HDPE Blow Moulding | Offer Received | 800 | LC at sight | CIF |
| North America | HDPE Blow Moulding | Offer Received | 855 | LC at sight | CFR |
| Central Asia | HDPE Film | Offer Received | 800-830 | TT | CIF |
| Middle East | HDPE Film | Offer Given | 830-850 | LC at sight | CIF |
| Middle East | HDPE Film | Offer Received | 830-850 | LC at sight | CIF |
| Middle East | HDPE Film | Sold | 830-850 | LC at sight | CIF |
| North America | HDPE Film | Offer Given | 780-800 | LC at sight | CIF |
| North America | HDPE Film | Offer Received | 890 | LC at sight | CFR |
| North America | HDPE Film | Sold | 780-800 | LC at sight | CIF |
| Southeast Asia | HDPE Film | Sold | 800 | LC at sight | CIF |
| Thailand | HDPE Pipe (PE 100) | Offer Given | 865 | LC at sight | CIF |
| Central Asia | LDPE Film | Offer Received | 850-860 | TT | CIF |
| Middle East | LDPE Film | Offer Given | 860-900 | LC at sight | CIF |
| Middle East | LDPE Film | Offer Received | 875-900 | LC at sight | CIF |
| Middle East | LDPE Film | Sold | 890-900 | LC at sight | CIF |
| Central Asia | LLDPE Film C4 | Offer Received | 800-810 | TT | CIF |
| Indian Subcontinent | LLDPE Film C4 | Offer Received | 800 | LC at sight | CIF |
| Middle East | LLDPE Film C4 | Offer Given | 810-850 | LC at sight | CIF |
| Middle East | LLDPE Film C4 | Offer Received | 820-850 | LC at sight | CIF |
| Middle East | LLDPE Film C4 | Sold | 830-850 | LC at sight | CIF |
| North America | LLDPE Film C4 | Offer Received | 855-870 | LC at sight | CFR |
| North America | LLDPE Film C4 | Purchased | 790 | LC at sight | CIF |
| North America | LLDPE Film C4 | Sold | 780-790 | LC at sight | CIF |
| South America | LLDPE Film C4 | Offer Given | 790 | LC at sight | CIF |
| South America | LLDPE Film C4 | Buy Idea | 740-750 | LC at sight | CIF |
| Thailand | mLLDPE C6 | Offer Received | 1,050 | LC at sight | CIF |
Range of local/localized PE offers between March 16 to March 20 on cash, EXW China basis (including 13% VAT in CNY term, all equivalent in USD excluding VAT)
| Origin | Product | Transaction Type | Offers (CNY/ton) | Equivalent in USD/ton |
|---|
| China | HDPE Blow Moulding | Price List | 7,100-7,200 | 886-898 |
| Uzbekistan | HDPE Blow Moulding | Offer Given | 7,000 | 874 |
| China | HDPE Film | Offer Given | 7,050-7,300 | 880-911 |
| China | HDPE Film | Price List | 7,250 | 905 |
| Iran | HDPE Film | Sold | 6,900-7,150 | 861-892 |
| Middle East | HDPE Film | Offer Given | 7,050-7,400 | 880-923 |
| Saudi | HDPE Film | Offer Given | 7,100 | 886 |
| China | HDPE Pipe (PE 100) | Price List | 7,800 | 973 |
| China | HDPE Yarn | Price List | 6,900-7,200 | 861-898 |
| India | HDPE Yarn | Offer Given | 7,100 | 886 |
| China | LDPE Film | Offer Given | 7,400-7,750 | 923-967 |
| China | LDPE Film | Price List | 7,350-7,900 | 917-986 |
| Malaysia | LDPE Film | Offer Given | 7,450-7,650 | 930-955 |
| Middle East | LDPE Film | Offer Given | 7,400-7,800 | 923-973 |
| Qatar | LDPE Film | Offer Given | 7,800 | 973 |
| China | LLDPE Film C4 | Offer Given | 6,550-7,000 | 817-874 |
| China | LLDPE Film C4 | Price List | 6,600-6,900 | 824-860 |
| Malaysia | LLDPE Film C4 | Offer Given | 6,550-6,650 | 817-830 |
| Middle East | LLDPE Film C4 | Offer Given | 6,550-7,000 | 817-874 |
| Qatar | LLDPE Film C4 | Offer Received | 7,150 | 892 |
| Russia | LLDPE Film C4 | Offer Given | 6,700 | 836 |
| Saudi | LLDPE Film C4 | Offer Given | 6,950 | 867 |
Range of import PE offers between March 16 to March 20 on LC at sight, CIF/CFR China Main Port basis
| Origin | Product | Transaction Type | Offers (USD/ton) | Payment Term |
|---|
| Central Asia | HDPE Blow Moulding | Offer Received | 800-810 | TT |
| Middle East | HDPE Blow Moulding | Offer Received | 780-1,090* | LC at sight |
| Central Asia | HDPE Film | Offer Received | 800-830 | TT |
| Far East Asia | HDPE Film | Sold | 750 | LC at sight |
| Middle East | HDPE Film | Buy Idea | 760-770 | LC at sight |
| Middle East | HDPE Film | Offer Given | 840-850 | LC at sight |
| Middle East | HDPE Film | Offer Received | 800-940* | LC at sight |
| Middle East | HDPE Pipe (PE 100) | Offer Received | 900 | LC at sight |
| Middle East | HDPE Pipe (PE 100) | Offer Given | 870 | LC at sight |
| Southeast Asia | HDPE Yarn | Offer Given | 880 | LC at sight |
| Central Asia | LDPE Film | Offer Received | 850-860 | TT |
| Middle East | LDPE Film | Buy Idea | 800-810 | LC at sight |
| Middle East | LDPE Film | Offer Given | 870-880 | LC at sight |
| Middle East | LDPE Film | Offer Received | 885 | LC at sight |
| Central Asia | LLDPE Film C4 | Offer Received | 800-810 | TT |
| Middle East | LLDPE Film C4 | Buy Idea | 700 | LC at sight |
| Middle East | LLDPE Film C4 | Offer Given | 820-830 | LC at sight |
| Middle East | LLDPE Film C4 | Offer Received | 810-980* | LC at sight |
| Southeast Asia | LLDPE Film C4 | Offer Received | 860 | LC at sight |
| Southeast Asia | LLDPE Film C4 | Offer Given | 850-860 | LC at sight |
Description: *Offers for high-quality materials
Range of local/localized PE offers between March 23 to March 27 on cash, EXW China basis (including 13% VAT in CNY term, all equivalent in USD excluding VAT)
| Origin | Product | Transaction Type | Offers (CNY/ton) | Equivalent in USD/ton |
|---|
| China | HDPE Blow Moulding | Offer Received | 6,750 | 842 |
| China | HDPE Blow Moulding | Price List | 6,900-7,100 | 861-886 |
| China | HDPE Film | Offer Given | 7,000-7,150 | 874-892 |
| China | HDPE Film | Price List | 6,900-7,100 | 861-886 |
| Middle East | HDPE Film | Offer Given | 6,700-7,150 | 836-892 |
| Saudi | HDPE Film | Offer Given | 6,700 | 836 |
| Thailand | HDPE Film | Offer Given | 7,500 | 936 |
| China | HDPE Pipe (PE 100) | Price List | 7,350-7,800 | 917-973 |
| China | HDPE Yarn | Price List | 6,700-7,000 | 836-874 |
| China | LDPE Film | Offer Given | 7,200-7,400 | 898-923 |
| China | LDPE Film | Price List | 7,000-7,500 | 874-936 |
| Malaysia | LDPE Film | Offer Given | 7,100-7,550 | 886-942 |
| Middle East | LDPE Film | Offer Given | 6,900-7,350 | 861-917 |
| Qatar | LDPE Film | Offer Given | 7,450 | 930 |
| China | LLDPE Film C4 | Offer Given | 6,450-6,600 | 805-824 |
| China | LLDPE Film C4 | Price List | 6,350-6,700 | 792-836 |
| Malaysia | LLDPE Film C4 | Offer Given | 6,150 | 767 |
| Middle East | LLDPE Film C4 | Offer Given | 6,300-6,700 | 786-836 |
| Russia | LLDPE Film C4 | Offer Given | 6,550 | 817 |
| Saudi | LLDPE Film C4 | Offer Given | 6,750 | 842 |
Range of import PE offers between March 23 to March 27 on LC at sight, CIF China Main Port basis
| Origin | Product | Transaction Type | Offers (USD/ton) | Payment Term |
|---|
| Central Asia | HDPE Blow Moulding | Offer Received | 760 | TT |
| Middle East | HDPE Blow Moulding | Offer Received | 780 | LC at sight |
| Middle East | HDPE Blow Moulding | Bid Given | 760 | LC at sight |
| Central Asia | HDPE Film | Offer Received | 760-790 | TT |
| Far East Asia | HDPE Film | Offer Received | 720-750 | LC at sight |
| Middle East | HDPE Film | Offer Given | 770 | LC at sight |
| Middle East | HDPE Film | Offer Received | 720-770 | LC at sight |
| Middle East | HDPE Film | Purchased | 770 | LC at sight |
| Middle East | HDPE Film | Sold | 760 | LC at sight |
| Southeast Asia | HDPE Film | Offer Received | 740 | LC at sight |
| Southeast Asia | HDPE Film | Offer Given | 750 | LC at sight |
| Southeast Asia | HDPE Pipe (PE 100) | Offer Received | 865 | LC at sight |
| Far East Asia | HDPE Yarn | Offer Received | 770 | LC at sight |
| Indian Subcontinent | HDPE Yarn | Offer Received | 790-810 | LC 90 days |
| Indian Subcontinent | HDPE Yarn | Offer Received | 790 | LC at sight |
| Central Asia | LDPE Film | Offer Received | 850 | TT |
| Indian Subcontinent | LDPE Film | Offer Given | 820 | LC at sight |
| Indian Subcontinent | LDPE Film | Sold | 820 | LC at sight |
| Indian Subcontinent | LDPE Film | Offer Received | 850 | LC at sight |
| Middle East | LDPE Film | Offer Received | 800-860 | LC at sight |
| Middle East | LDPE Film | Purchased | 860 | LC at sight |
| Southeast Asia | LDPE Film | Offer Given | 885 | LC at sight |
| Central Asia | LLDPE Film C4 | Offer Received | 750 | TT |
| Far East Asia | LLDPE Film C4 | Bid Received | 700 | LC at sight |
| Far East Asia | LLDPE Film C4 | Offer Received | 710-750 | LC at sight |
| Far East Asia | LLDPE Film C4 | Offer Received | 740 | LC 90 days |
| Far East Asia | LLDPE Film C4 | Purchased | 740 | LC 90 days |
| Indian Subcontinent | LLDPE Film C4 | Offer Given | 690-700 | LC at sight |
| Indian Subcontinent | LLDPE Film C4 | Offer Received | 690-700 | LC at sight |
| Indian Subcontinent | LLDPE Film C4 | Sold | 690-700 | LC at sight |
| Middle East | LLDPE Film C4 | Bid Received | 750 | LC at sight |
| Middle East | LLDPE Film C4 | Offer Given | 750-800 | LC at sight |
| Middle East | LLDPE Film C4 | Offer Received | 750 | LC at sight |
| Middle East | LLDPE Film C4 | Offer Received | 800 | LC at sight |
| Middle East | LLDPE Film C4 | Offer Received | 750-800 | LC at sight |
| Middle East | LLDPE Film C4 | Sold | 750 | LC at sight |
| North America | LLDPE Film C4 | Offer Received | 790 | LC at sight |
| Southeast Asia | LLDPE Film C4 | Bid Given | 680 | LC at sight |
| Southeast Asia | LLDPE Film C4 | Buy Idea | 730-740 | LC at sight |
| Southeast Asia | LLDPE Film C4 | Offer Given | 770-845 | LC at sight |
| Southeast Asia | LLDPE Film C4 | Offer Received | 770 | LC at sight |
| Southeast Asia | LLDPE Film C4 | Purchased | 730-740 | LC at sight |
| Southeast Asia | LLDPE Film C4 | Sold | 770 | LC at sight |
Range of local/localized PE offers between March 30 to March 31 on cash, EXW China basis (including 13% VAT in CNY term, all equivalent in USD excluding VAT)
| Origin | Product | Transaction Type | Offers (CNY/ton) | Equivalent in USD/ton |
|---|
| China | HDPE Blow Moulding | Price List | 6,700 | 836 |
| China | HDPE Film | Price List | 6,900 | 861 |
| Iran | HDPE Film | Offer Received | 6,100-6,400 | 761-799 |
| Middle East | HDPE Film | Offer Given | 6,400-6,500 | 799-811 |
| South Korea | HDPE Film | Offer Received | 6,700 | 836 |
| Taiwan | HDPE Film | Offer Received | 6,800 | 849 |
| China | HDPE Pipe (PE 100) | Price List | 7,250 | 905 |
| China | HDPE Yarn | Price List | 6,500-6,700 | 811-836 |
| China | LDPE Film | Price List | 6,900-7,000 | 861-874 |
| Middle East | LDPE Film | Offer Given | 6,400-6,700 | 799-836 |
| Saudi | LDPE Film | Offer Received | 7,000 | 874 |
| Brazil | LLDPE Film C4 | Offer Received | 5,800 | 724 |
| China | LLDPE Film C4 | Sold | 5,450-5,470 | 680-683 |
| China | LLDPE Film C4 | Offer Given | 6,200-6,250 | 774-780 |
| China | LLDPE Film C4 | Price List | 5,850-6,000 | 730-749 |
| Indonesia | LLDPE Film C4 | Offer Received | 6,000 | 749 |
| Saudi | LLDPE Film C4 | Offer Received | 6,300 | 786 |
Range of import PE offers between March 30 to March 31 on LC at sight, CIF China Main Port basis
| Origin | Product | Transaction Type | Offers (USD/ton) |
|---|
| Middle East | HDPE Film | Offer Given | 700-730 |
| Middle East | HDPE Film | Purchased | 730 |
| Middle East | HDPE Film | Offer Received | 720-730 |
| Southeast Asia | HDPE Film | Offer Received | 805-820 |
| Southeast Asia | HDPE Pipe (PE 100) | Offer Received | 890 |
| Southeast Asia | HDPE Yarn | Offer Received | 800 |
| Middle East | LDPE Film | Offer Given | 800-820 |
| Southeast Asia | LDPE Film | Offer Received | 820-840 |
| Far East Asia | LLDPE Film C4 | Buy Idea | 620 |
| Middle East | LLDPE Film C4 | Offer Given | 690-720 |
| Middle East | LLDPE Film C4 | Offer Received | 720-730 |
| North America | LLDPE Film C4 | Offer Received | 680 |
| Southeast Asia | LLDPE Film C4 | Offer Received | 725-730 |
| Southeast Asia | mLLDPE C6 | Offer Received | 1,030 |
Tags: Asia Pacific,China,English,Monthly,NEA,PE
Published on April 3, 2020 3:55 PM (GMT+8)
Last Updated on April 3, 2020 6:09 PM (GMT+8)
