- Local, import offers were mostly on the same trajectory
- Sellers’ attempt to stimulate buying activities fell short owing to low purchasing power amid pandemic
- Pricing outlook remains blurry, to highly depend on the development of demand
In general, offers for PE cargoes in Indonesia market were captured on an uptrend during May; the downward adjustment was only captured in the first week of the month. In this particular week, the leading Indonesian polyolefins producer reduced prices between IDR130,000-140,000/ton ($9-9.6/ton) for HDPE grades and by IDR290,000/ton ($20/ton) for LLDPE Film C4 on a weekly comparison. Likewise, offers for local and localized PE cargoes via traders dropped between IDR100,000-300,000/ton ($7-21/ton) compared to the same period, yet some traders were trying to increase offers between IDR400,000-420,000/ton ($27.5-29/ton) for HDPE Film and IDR500,000-530,000/ton ($34-36.5/ton) for LLDPE Film C4 amid the relatively tight supply in the market due to unplanned shutdown at the leading producer’s PE plants.
Starting from the second week to the end of May, SSESSMENTS.COM noted that PE offers from local producers and traders captured stable to firmer as supply provided support. Throughout this particular period, price list from the leading Indonesian polyolefins producer recorded a total increase of IDR440,000/ton ($30/ton) for HDPE Blow Moulding, IDR670,000/ton ($46/ton) for HDPE Film, and IDR860,000/ton ($59/ton) for LLDPE Film C4. During the same timeframe, offers for local and localized Southeast Asian PE cargoes from traders also maintained stable to firmer following the local producer’s pricing strategy, with a significant increment recorded on the week commencing May 11. On week-on-week comparison, traders increased offers for HDPE Film and LLDPE Film C4 as much as IDR900,000/ton ($62/ton) and IDR1,100,000/ton ($76/ton), respectively, as the domestic supply for these two grades remained short.
Similar to local offers, import PE offers were also mostly on the uptrend during May. LLDPE Film C4 offers from a Thai PE producer moved higher by $5/ton and $5-20/ton in the first and second week of May, respectively. For HDPE Film, the Thai producer maintained a stable offer level in the first week and made an increase of between $5-20/ton by the second week. For Middle Eastern cargoes, offers for HDPE Film, LDPE Film, and LLDPE Film C4 from a Qatari producer surfaced with an increase of between $10-20/ton on the week commencing May 11. By the week starting May 25, HDPE Film offers from the same producer went up by $10/ton on high-end and $30/ton higher on low-end, LLDPE Film C4 maintained stable on high-end and up by $10/ton on low-end of the price range. All changes were on a week-on-week comparison. For US cargoes, SSESSMENTS.COM was told that offers for LLDPE Film C4 available at Port Klang, Malaysia surged by $60-70/ton on a biweekly comparison.
Demand for PE resins was categorized as sluggish during May. Despite the upward trend in resins prices, buying sentiment remained weak owing to low purchasing power of end-consumers amid the Coronavirus pandemic. According to market sources contacted by SSESSMENTS.COM’s team, most converters in Indonesia were running at a reduced rate of between 50-80% from the normal production capacity due to slow sales. Additionally, market activities in Indonesia were not that active for the second half of May due to the Eid Al-Fitr holiday. On the supply front, the unplanned shutdown at Chandra Asri Petrochemical’s 136,000 tons/year HDPE plant and 400,000 tons/year HDPE/LLDPE swing plant from early up to mid-May, which led to short supply in the domestic market, could not boost sentiment despite sellers’ strategy to increase prices in a bid to stimulate buying activities.
Entering June, Indonesia PE market outlook remains blurry. Majority of players stated that the pricing outlook would highly depend on the development of demand. For the time being, the firmer crude oil and feedstock prices might be able to maintain prices. However, if the overall demand remains slow amid the Coronavirus pandemic, buyers will show resistance towards high prices, and in the end, would force sellers to meet market expectation on prices.
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Transactions for local/localized PE between May 1 to May 8 on FD Indonesia basis, all excluding 10% VAT
| Origin | Product | Transaction Type | Offers (IDR/ton) | Equivalent in USD/ton | Payment Term |
|---|
| Indonesia | HDPE Blow Moulding | Offer Given | 12,500,000 | 860 | Cash In Advance |
| Indonesia | HDPE Blow Moulding | Offer Given | 12,700,000 | 874 | 30 Days Credit Term |
| Indonesia | HDPE Blow Moulding | Price List | 12,010,000 | 826 | Cash In Advance |
| Indonesia | HDPE Blow Moulding | Price List | 12,020,000 | 827 | 30 Days Credit Term |
| Singapore | HDPE Blow Moulding | Offer Given | 12,700,000 | 874 | 30 Days Credit Term |
| Southeast Asia | HDPE Blow Moulding | Offer Given | 12,500,000 | 860 | Cash In Advance |
| Indonesia | HDPE Film | Offer Given | 11,600,000-12,000,000 | 798-826 | Cash In Advance |
| Indonesia | HDPE Film | Offer Given | 12,000,000 | 826 | 30 Days Credit Term |
| Indonesia | HDPE Film | Offer Received | 11,200,000-11,700,000 | 771-805 | Cash In Advance |
| Indonesia | HDPE Film | Offer Received | 11,790,000 | 811 | 30 Days Credit Term |
| Indonesia | HDPE Film | Price List | 11,620,000-11,930,000 | 800-821 | Cash In Advance |
| Indonesia | HDPE Film | Purchased | 11,700,000-12,360,000 | 805-850 | Cash In Advance |
| Southeast Asia | HDPE Film | Offer Given | 12,000,000 | 826 | Cash In Advance |
| Southeast Asia | HDPE Film | Offer Received | 12,600,000 | 867 | 30 Days Credit Term |
| Southeast Asia | HDPE Film | Purchased | 11,500,000 | 791 | Cash In Advance |
| Southeast Asia | HDPE Film | Purchased | 12,200,000 | 839 | 30 Days Credit Term |
| Thailand | HDPE Film | Offer Given | 11,220,000-12,000,000 | 772-826 | Cash In Advance |
| Thailand | HDPE Film | Purchased | 12,200,000 | 839 | 30 Days Credit Term |
| Malaysia | LDPE Film | Offer Received | 15,000,000 | 1,032 | Cash In Advance |
| Malaysia | LDPE Film | Offer Received | 14,700,000-14,950,000 | 1,011-1,029 | 30 Days Credit Term |
| Malaysia | LDPE Film | Purchased | 14,650,000 | 1,008 | 30 Days Credit Term |
| Southeast Asia | LDPE Film | Offer Given | 14,700,000 | 1,011 | Cash In Advance |
| Southeast Asia | LDPE Film | Offer Received | 14,700,000 | 1,011 | 30 Days Credit Term |
| Thailand | LDPE Film | Bid Received | 14,200,000 | 977 | Cash In Advance |
| Thailand | LDPE Film | Offer Given | 14,600,000-14,700,000 | 1,005-1,011 | Cash In Advance |
| Thailand | LDPE Film | Offer Received | 14,250,000 | 980 | Cash In Advance |
| Indonesia | LLDPE Film C4 | Bid Given | 10,900,000 | 750 | Cash In Advance |
| Indonesia | LLDPE Film C4 | Offer Given | 11,300,000-12,000,000 | 777-826 | Cash In Advance |
| Indonesia | LLDPE Film C4 | Offer Given | 11,300,000 | 777 | 30 Days Credit Term |
| Indonesia | LLDPE Film C4 | Offer Received | 11,000,000-12,000,000 | 757-826 | Cash In Advance |
| Indonesia | LLDPE Film C4 | Offer Received | 12,100,000-12,200,000 | 833-839 | 30 Days Credit Term |
| Indonesia | LLDPE Film C4 | Price List | 11,310,000 | 778 | Cash In Advance |
| Indonesia | LLDPE Film C4 | Purchased | 11,000,000-11,800,000 | 757-812 | Cash In Advance |
| Malaysia | LLDPE Film C4 | Offer Received | 11,000,000-11,500,000 | 757-791 | 30 Days Credit Term |
| Malaysia | LLDPE Film C4 | Purchased | 11,000,000-11,300,000 | 757-777 | 30 Days Credit Term |
| Southeast Asia | LLDPE Film C4 | Offer Given | 11,500,000 | 791 | Cash In Advance |
| Thailand | LLDPE Film C4 | Bid Given | 10,800,000-11,000,000 | 743-757 | Cash In Advance |
| Thailand | LLDPE Film C4 | Offer Given | 10,970,000-11,500,000 | 755-791 | Cash In Advance |
| Thailand | LLDPE Film C4 | Offer Received | 11,100,000 | 764 | Cash In Advance |
| Indonesia | mLLDPE C6 | Price List | 14,800,000 | 1,018 | Cash In Advance |
Transactions for import PE between May 1 to May 8 on LC at sight, CIF Indonesia Main Port basis
| Origin | Product | Transaction Type | Offers (USD/ton) |
|---|
| Southeast Asia | HDPE Blow Moulding | Offer Given | 730 |
| Middle East | HDPE Film | Offer Given | 750-770 |
| Middle East | HDPE Film | Offer Received | 720 |
| Middle East | HDPE Film | Purchased | 720 |
| Southeast Asia | HDPE Film | Offer Given | 730 |
| Southeast Asia | HDPE Yarn | Offer Given | 730 |
| Middle East | LDPE Film | Offer Given | 850 |
| Middle East | LDPE Film | Offer Received | 800 |
| Middle East | LDPE Film | Purchased | 800-860 |
| Southeast Asia | LDPE Film | Offer Given | 870-910 |
| Central Asia | LLDPE Film C4 | Offer Received | 680 |
| Middle East | LLDPE Film C4 | Offer Received | 690-720 |
| Middle East | LLDPE Film C4 | Purchased | 690-720 |
| Middle East | LLDPE Film C4 | Sell Idea | 750 |
| North America | LLDPE Film C4 | Offer Given | 710 |
| North America | LLDPE Film C4 | Purchased | 660-675 |
| Southeast Asia | LLDPE Film C4 | Offer Given | 735 |
| Southeast Asia | LLDPE Film C4 | Offer Received | 710-730 |
| Southeast Asia | LLDPE Film C4 | Purchased | 710 |
| Southeast Asia | mLLDPE C6 | Offer Given | 890-900 |
| Southeast Asia | mLLDPE C6 | Offer Received | 900 |
| Southeast Asia | mLLDPE C6 | Purchased | 900 |
| North America | mLLDPE C8 | Offer Received | 1,000 |
Transactions for local/localized PE between May 11 to May 15 on FD Indonesia basis, all excluding 10% VAT
| Origin | Product | Transaction Type | Offers (IDR/ton) | Equivalent in USD/ton | Payment Term |
|---|
| Indonesia | HDPE Blow Moulding | Offer Given | 12,700,000 | 874 | 14 Days Credit Term |
| Indonesia | HDPE Blow Moulding | Price List | 12,010,000-12,700,000 | 826-874 | Cash In Advance |
| Southeast Asia | HDPE Blow Moulding | Offer Given | 12,700,000 | 874 | 14 Days Credit Term |
| Thailand | HDPE Blow Moulding | Offer Given | 12,000,000 | 826 | Cash In Advance |
| Indonesia | HDPE Film | Offer Given | 12,900,000 | 888 | 14 Days Credit Term |
| Indonesia | HDPE Film | Offer Given | 12,800,000 | 881 | 30 Days Credit Term |
| Indonesia | HDPE Film | Offer Received | 11,800,000-12,700,000 | 812-874 | Cash In Advance |
| Indonesia | HDPE Film | Offer Received | 12,180,000-12,950,000 | 838-891 | 30 Days Credit Term |
| Indonesia | HDPE Film | Price List | 11,620,000-12,700,000 | 800-874 | Cash In Advance |
| Indonesia | HDPE Film | Purchased | 12,630,000 | 869 | 30 Days Credit Term |
| Singapore | HDPE Film | Purchased | 12,630,000-13,300,000 | 869-915 | 30 Days Credit Term |
| Southeast Asia | HDPE Film | Offer Given | 12,900,000 | 888 | 14 Days Credit Term |
| Southeast Asia | HDPE Film | Offer Received | 13,150,000-13,400,000 | 905-922 | 30 Days Credit Term |
| Thailand | HDPE Film | Offer Given | 12,500,000 | 860 | Cash In Advance |
| Thailand | HDPE Yarn | Offer Given | 12,000,000 | 826 | Cash In Advance |
| Malaysia | LDPE Film | Offer Given | 14,300,000 | 984 | 14 Days Credit Term |
| Southeast Asia | LDPE Film | Offer Given | 14,500,000-15,000,000 | 998-1,032 | 30 Days Credit Term |
| Thailand | LDPE Film | Offer Given | 14,900,000-15,500,000 | 1,025-1,066 | Cash In Advance |
| Indonesia | LLDPE Film C4 | Offer Given | 11,800,000 | 812 | Cash In Advance |
| Indonesia | LLDPE Film C4 | Offer Given | 12,600,000 | 867 | 14 Days Credit Term |
| Indonesia | LLDPE Film C4 | Offer Given | 12,300,000-12,800,000 | 846-881 | 30 Days Credit Term |
| Indonesia | LLDPE Film C4 | Offer Received | 12,180,000-12,700,000 | 838-874 | 30 Days Credit Term |
| Indonesia | LLDPE Film C4 | Price List | 11,570,000-12,900,000 | 796-888 | Cash In Advance |
| Indonesia | LLDPE Film C4 | Purchased | 12,360,000 | 850 | Cash In Advance |
| Indonesia | LLDPE Film C4 | Purchased | 12,630,000 | 869 | 30 Days Credit Term |
| Southeast Asia | LLDPE Film C4 | Offer Given | 12,600,000 | 867 | 14 Days Credit Term |
| Southeast Asia | LLDPE Film C4 | Offer Received | 12,700,000-13,100,000 | 874-901 | 30 Days Credit Term |
| Thailand | LLDPE Film C4 | Offer Given | 12,000,000-12,300,000 | 826-846 | Cash In Advance |
| Indonesia | mLLDPE C6 | Price List | 14,780,000 | 1,017 | Cash In Advance |
Transactions for import PE between May 11 to May 15 on LC at sight, CIF Indonesia Main Port basis
| Origin | Product | Transaction Type | Offers (USD/ton) |
|---|
| Southeast Asia | HDPE Blow Moulding | Offer Given | 750 |
| Southeast Asia | HDPE Blow Moulding | Price List | 760 |
| Middle East | HDPE Film | Offer Given | 750-760 |
| Middle East | HDPE Film | Purchased | 705-720 |
| Southeast Asia | HDPE Film | Offer Given | 750-800 |
| Southeast Asia | HDPE Film | Offer Received | 830 |
| Southeast Asia | HDPE Film | Price List | 760 |
| Southeast Asia | HDPE Film | Sold | 750-780 |
| Southeast Asia | HDPE Yarn | Offer Given | 750 |
| Middle East | LDPE Film | Offer Given | 840-850 |
| Southeast Asia | LDPE Film | Offer Given | 880-940 |
| Southeast Asia | LDPE Film | Price List | 920 |
| Middle East | LLDPE Film C4 | Offer Given | 750 |
| Middle East | LLDPE Film C4 | Purchased | 700 |
| Middle East | LLDPE Film C4 | Sold | 745 |
| North America | LLDPE Film C4 | Offer Received | 750-755 |
| North America | LLDPE Film C4 | Sell Idea | 750 |
| Southeast Asia | LLDPE Film C4 | Offer Given | 740-750 |
| Southeast Asia | LLDPE Film C4 | Sold | 740-750 |
| Southeast Asia | mLLDPE C6 | Offer Given | 900-910 |
| Southeast Asia | mLLDPE C6 | Offer Received | 890-900 |
| North America | mLLDPE C8 | Offer Received | 960 |
| North America | mLLDPE C8 | Purchased | 960 |
Transactions for local/localized PE between May 18 to May 22 on FD Indonesia basis, all excluding 10% VAT
| Origin | Product | Transaction Type | Offers (IDR/ton) | Equivalent in USD/ton | Payment Term |
|---|
| Indonesia | HDPE Blow Moulding | Price List | 12,230,000 | 841 | Cash In Advance |
| Indonesia | HDPE Film | Offer Given | 12,800,000 | 881 | Cash In Advance |
| Indonesia | HDPE Film | Offer Given | 12,800,000-13,000,000 | 881-894 | 30 Days Credit Term |
| Indonesia | HDPE Film | Offer Received | 12,600,000 | 867 | Cash In Advance |
| Indonesia | HDPE Film | Offer Received | 12,800,000 | 881 | 30 Days Credit Term |
| Indonesia | HDPE Film | Price List | 12,070,000-12,380,000 | 830-852 | Cash In Advance |
| Singapore | HDPE Film | Offer Received | 13,450,000 | 925 | 30 Days Credit Term |
| Thailand | HDPE Film | Offer Given | 12,500,000 | 860 | Cash In Advance |
| Southeast Asia | LDPE Film | Offer Given | 14,500,000-15,000,000 | 998-1,032 | 30 Days Credit Term |
| Thailand | LDPE Film | Offer Given | 14,900,000 | 1,025 | Cash In Advance |
| Indonesia | LLDPE Film C4 | Offer Given | 12,900,000 | 888 | Cash In Advance |
| Indonesia | LLDPE Film C4 | Offer Given | 12,800,000-13,000,000 | 881-894 | 30 Days Credit Term |
| Indonesia | LLDPE Film C4 | Offer Received | 12,500,000 | 860 | Cash In Advance |
| Indonesia | LLDPE Film C4 | Offer Received | 11,800,000 | 812 | 30 Days Credit Term |
| Indonesia | LLDPE Film C4 | Price List | 12,170,000 | 837 | Cash In Advance |
| Indonesia | mLLDPE C6 | Price List | 15,080,000 | 1,038 | Cash In Advance |
Transactions for import PE between May 18 to May 22 on LC at sight, CIF Indonesia Main Port basis
| Origin | Product | Transaction Type | Offers (USD/ton) |
|---|
| Southeast Asia | HDPE Blow Moulding | Offer Given | 820-840 |
| Middle East | HDPE Film | Offer Given | 750-770 |
| Middle East | HDPE Film | Offer Received | 740 |
| North America | HDPE Film | Purchased | 725 |
| Southeast Asia | HDPE Film | Offer Given | 800-830 |
| Southeast Asia | HDPE Film | Offer Received | 830 |
| Indian Subcontinent | HDPE Yarn | Offer Given | 760 |
| Southeast Asia | HDPE Yarn | Offer Given | 800 |
| Middle East | LDPE Film | Offer Given | 850 |
| Middle East | LDPE Film | Offer Received | 810 |
| Middle East | LDPE Film | Purchased | 810 |
| Middle East | LDPE Film | Sold | 820-830 |
| Southeast Asia | LDPE Film | Offer Given | 940 |
| Indian Subcontinent | LLDPE Film C4 | Offer Given | 730 |
| Indian Subcontinent | LLDPE Film C4 | Purchased | 710 |
| Indian Subcontinent | LLDPE Film C4 | Sold | 730 |
| Middle East | LLDPE Film C4 | Offer Given | 740-770 |
| Middle East | LLDPE Film C4 | Purchased | 720 |
| Middle East | LLDPE Film C4 | Sold | 740 |
| North America | LLDPE Film C4 | Bid Received | 720 |
| North America | LLDPE Film C4 | Offer Given | 730-740 |
| North America | LLDPE Film C4 | Offer Received | 720-780 |
Transactions for local/localized PE between May 25 to May 29 on FD Indonesia basis, all excluding 10% VAT
| Origin | Product | Transaction Type | Offers (IDR/ton) | Equivalent in USD/ton | Payment Term |
|---|
| Indonesia | HDPE Blow Moulding | Offer Given | 13,000,000 | 894 | Cash In Advance |
| Indonesia | HDPE Blow Moulding | Price List | 12,450,000 | 857 | Cash In Advance |
| Southeast Asia | HDPE Blow Moulding | Offer Given | 13,000,000 | 894 | Cash In Advance |
| Indonesia | HDPE Film | Offer Given | 13,200,000 | 908 | Cash In Advance |
| Indonesia | HDPE Film | Offer Given | 13,200,000 | 908 | 30 Days Credit Term |
| Indonesia | HDPE Film | Price List | 12,290,000-12,600,000 | 846-867 | Cash In Advance |
| Singapore | HDPE Film | Purchased | 12,700,000 | 874 | Cash In Advance |
| Southeast Asia | HDPE Film | Offer Given | 13,200,000 | 908 | Cash In Advance |
| Thailand | HDPE Film | Sold | 12,400,000-12,500,000 | 853-860 | Cash In Advance |
| Malaysia | LDPE Film | Offer Given | 14,000,000 | 963 | Cash In Advance |
| Indonesia | LLDPE Film C4 | Offer Given | 12,700,000-13,400,000 | 874-922 | Cash In Advance |
| Indonesia | LLDPE Film C4 | Offer Given | 12,700,000 | 874 | 30 Days Credit Term |
| Indonesia | LLDPE Film C4 | Price List | 12,170,000 | 837 | Cash In Advance |
| Indonesia | LLDPE Film C4 | Sell Idea | 12,200,000 | 839 | Cash In Advance |
| Southeast Asia | LLDPE Film C4 | Offer Given | 12,700,000 | 874 | Cash In Advance |
| Indonesia | mLLDPE C6 | Price List | 15,080,000 | 1,038 | Cash In Advance |
Transactions for import PE between May 25 to May 29 on LC at sight, CIF Indonesia Main Port basis
| Origin | Product | Transaction Type | Offers (USD/ton) |
|---|
| Middle East | HDPE Film | Offer Given | 780 |
| Middle East | LDPE Film | Offer Given | 840-850 |
| Middle East | LLDPE Film C4 | Offer Given | 760-770 |
Tags: Asia Pacific,English,Indonesia,Monthly,PE,SEA
Published on June 2, 2020 2:23 PM (GMT+8)
Last Updated on June 2, 2020 2:23 PM (GMT+8)
