- At the beginning of May, fresh import PS offers were scarce in the Southeast Asia market
- PS demand in Southeast Asia region was subdued, except in Vietnam
- PS prices expected to remain stable following the feedstock price movements
In May, various price trends for local PS offers were captured in the Southeast Asia market. On May 8, SSESSMENTS.COM was informed that a local producer in Indonesia has sold out May allocation for GPPS Injection and HIPS Injection to both local and export markets. In the local market, GPPS Injection and HIPS Injection were sold at $950/ton and between $1,010-1,040/ton, respectively. All offers were on cash, FD Indonesia basis, and excluding 10% VAT. While to the export market, GPPS Injection sold to China at $900-930/ton and HIPS Injection sold to Australia at $1,020-1,050/ton. Meanwhile, from the trader’s end, offers for local GPPS and HIPS Injection were available IDR500,000/ton ($35/ton) higher compared to the producer’s offers in the first week of May. However, in the following week, the trader adjusted down GPPS Injection and HIPS Injection by IDR1,000,000/ton ($69/ton) on a weekly comparison following a local producer pricing strategy. Local GPPS Injection and HIPS Injection in Indonesia remain stable until the end of May.
While in Vietnam, on the week commencing May 4, local GPPS Injection offers from a local producer decreased by $10/ton on a weekly comparison. Local GPPS Injection offers in Vietnam continue to increase with a total increment of $20/ton during May in line with the uptrend on crude oil and SM prices. In the export market, SSESSMENTS.COM’s pricing database showed that offers for GPPS Injection from a Vietnamese PS producer remain stable in the first half of May and stood at $840/ton on LC at sight, FOB Vietnam basis. On the week commencing May 18, the producer initiated a price increase of $10/ton as crude oil prices moved higher.
In the import market, in the week commencing May 4, fresh PS offers were scarce in the Southeast Asia market. A week later, an Indonesian trader received Southeast Asian GPPS Injection offers at $830/ton on LC at sight, CIF Indonesia Main Port basis. However, the trader was not interested in taking the cargoes considering the quiet market in Indonesia. While for Taiwanese GPPS Injection cargoes, buy idea from the Vietnamese buyers was between $20-30/ton lower than the initial offers at $825-835/ton on LC at sight, CIF Vietnam Main Port basis. Meanwhile, SSESSMENTS.COM noted that deals for Thai GPPS Injection were concluded at $20/ton lower from the initial level. As for import HIPS Injection cargoes, deals for HIPS Injection of Taiwan origin to Vietnam were concluded between $930-940/ton with the same payment and delivery terms via traders as market talks have it that direct offers from a Taiwanese producer were too high.
During May, PS demand in Southeast Asia region was subdued, except in Vietnam. Buyers in Indonesia and the Philippines prefer to halt procurements or only buying on a need basis due to the slow demand for finished products. Moreover, approaching the end of May, trading activities were mostly flat due to the Eid Al-Fitr holiday in Indonesia and Malaysia. On the week commencing May 25, Malaysia market was closed for the first two days of the week. Likewise, the Philippines was also on holiday on Monday, May 25. While in Indonesia, despite the government postponed Eid Al-Fitr collective holidays from May 26-29 to December 28-31, most companies decided to halt operations for the country’s major celebration. In contrast, after the government eased nationwide lockdown in Vietnam, trading activities in the country have gradually picked up and the market was active. As such, healthy demand was recorded in the Vietnam market throughout May. On the supply front, no significant issue was reported to SSESSMENTS.COM.
Looking ahead, Southeast Asian market players opined to SSESSMENTS.COM that PS demand in the region will remain sluggish in the days to come even after several countries begin to ease the lockdown and reopen businesses as converters and factories are still not fully operational. Moreover, finished product demand will remain slow as the aftermath of a slow economy due to the Coronavirus outbreak. In terms of pricing, the higher feedstock prices will provide a cushion to PS prices in Southeast Asia in the near term.
Click below to view related stories and content on SEA PS:
NewsSSESSMENTS: Sources: Vietnam PS Market Enjoys Robust Demand Despite Pandemic
NewsSSESSMENTS: Indonesian PS Producer Sold Out May Allocation To Local, Export Market
WeeklySSESSMENTS: SEA PS Prices Week Starting May 4
WeeklySSESSMENTS: SEA PS Prices Week Starting May 11
WeeklySSESSMENTS: SEA PS Prices Week Starting May 18
WeeklySSESSMENTS: SEA PS Prices Week Starting May 25
Range of local/localized PS offers between May 1 to May 8 on cash/credit term, FD basis, excluding VAT in all terms
| Origin | Product | Transaction Type | Currency | Offers/ton | Equivalent in USD/ton | Payment Term | Delivery Country |
|---|
| Indonesia | GPPS Injection | Offer Given | IDR | 16,000,000-16,500,000 | 1,110-1,145 | Cash In Advance | Indonesia |
| Indonesia | GPPS Injection | Offer Received | IDR | 16,000,000 | 1,110 | Cash In Advance | Indonesia |
| Indonesia | GPPS Injection | Offer Received | IDR | 16,000,000 | 1,110 | 90 Days Credit Term | Indonesia |
| Indonesia | GPPS Injection | Purchased | IDR | 14,500,000 | 1,006 | Cash In Advance | Indonesia |
| Thailand | GPPS Injection | Offer Received | IDR | 16,600,000 | 1,152 | 90 Days Credit Term | Indonesia |
| Indonesia | GPPS Injection | Sold | USD | 950 | - | Cash In Advance | Indonesia |
| Vietnam | GPPS Injection | Offer Given | USD | 870-890 | - | Cash In Advance | Vietnam |
| Indonesia | HIPS Injection | Offer Given | IDR | 17,000,000-17,500,000 | 1,180-1,215 | Cash In Advance | Indonesia |
| Indonesia | HIPS Injection | Offer Received | IDR | 17,000,000 | 1,180 | Cash In Advance | Indonesia |
| Indonesia | HIPS Injection | Offer Received | IDR | 17,000,000 | 1,180 | 90 Days Credit Term | Indonesia |
| Indonesia | HIPS Injection | Purchased | IDR | 15,500,000 | 1,076 | Cash In Advance | Indonesia |
| Thailand | HIPS Injection | Offer Received | IDR | 17,600,000 | 1,221 | 90 Days Credit Term | Indonesia |
| Indonesia | HIPS Injection | Sold | USD | 1,010-1,040 | 1,040 | Cash In Advance | Indonesia |
Range of import PS offers between May 4 to May 8 on LC at sight, CIF Main Port basis
| Origin | Product | Transaction Type | Offers (USD/ton) | Delivery Country |
|---|
| Far East Asia | GPPS Injection | Offer Received | 1,250 | Malaysia |
| Far East Asia | GPPS Injection | Sold | 850-860 | Vietnam |
| Far East Asia | HIPS Injection | Offer Received | 1,230 | Malaysia |
| Far East Asia | HIPS Injection | Sold | 900-920 | Vietnam |
Range of export PS offers between May 4 to May 8 on LC at sight, FOB Vietnam basis
| Origin | Product | Transaction Type | Offers (USD/ton) |
|---|
| Vietnam | GPPS Injection | Offer Given | 840 |
Range of local PS offers between May 11 to May 15 on cash, FD basis, excluding VAT in all terms
| Origin | Product | Transaction Type | Currency | Offers/ton | Equivalent in USD/ton | Delivery Country |
|---|
| Indonesia | GPPS Injection | Offer Given | IDR | 15,500,000 | 1,076 | Indonesia |
| Indonesia | GPPS Injection | Offer Received | IDR | 15,000,000 | 1,041 | Indonesia |
| Vietnam | GPPS Injection | Offer Given | USD | 880-900 | - | Vietnam |
| Indonesia | HIPS Injection | Offer Given | IDR | 16,500,000 | 1,145 | Indonesia |
| Indonesia | HIPS Injection | Offer Received | IDR | 16,000,000 | 1,110 | Indonesia |
Range of import PS offers between May 11 to May 15 on LC at sight, CIF Main Port basis
| Origin | Product | Transaction Type | Offers (USD/ton) | Delivery Country |
|---|
| Far East Asia | GPPS Injection | Offer Given | 860-870 | Vietnam |
| Far East Asia | GPPS Injection | Offer Received | 830-900 | Vietnam |
| Far East Asia | GPPS Injection | Purchased | 830 | Vietnam |
| Southeast Asia | GPPS Injection | Offer Received | 830 | Indonesia |
| Far East Asia | HIPS Injection | Offer Given | 930-940 | Vietnam |
| Far East Asia | HIPS Injection | Offer Received | 940-1,000 | Vietnam |
| Far East Asia | HIPS Injection | Purchased | 940 | Vietnam |
Range of export PS offers between May 11 to May 15 on LC at sight, FOB Vietnam basis
| Origin | Product | Transaction Type | Offers (USD/ton) |
|---|
| Vietnam | GPPS Injection | Offer Given | 840 |
Range of local/localized PS offers between May 18 to May 22 on cash, FD basis, excluding VAT (including 10% VAT in VND term, equivalent in all terms excluding VAT)
| Origin | Product | Transaction Type | Currency | Offers/ton | Equivalent in USD/ton | Delivery Country |
|---|
| Indonesia | GPPS Injection | Offer Given | IDR | 15,000,000-15,500,000 | 1,041-1,076 | Indonesia |
| Vietnam | GPPS Injection | Offer Given | USD | 890-910 | - | Vietnam |
| Indonesia | HIPS Injection | Offer Given | IDR | 16,000,000-16,500,000 | 1,110-1,145 | Indonesia |
| Singapore | HIPS Injection | Offer Received | VND | 24,000,000 | 935 | Vietnam |
Range of import PS offers between May 18 to May 22 on LC at sight, CIF Main Port basis
| Origin | Product | Transaction Type | Offers (USD/ton) | Delivery Country |
|---|
| Far East Asia | GPPS Injection | Buy Idea | 825-835 | Vietnam |
| Far East Asia | GPPS Injection | Offer Received | 855-880 | Vietnam |
| Southeast Asia | GPPS Injection | Offer Received | 850-900 | Vietnam |
| Southeast Asia | GPPS Injection | Purchased | 830 | Vietnam |
| Far East Asia | HIPS Injection | Offer Received | 930 | Vietnam |
| Southeast Asia | HIPS Injection | Offer Received | 940-950 | Vietnam |
Range of export PS offers between May 18 to May 22 on LC at sight, FOB Vietnam basis
| Origin | Product | Transaction Type | Offers (USD/ton) |
|---|
| Vietnam | GPPS Injection | Offer Given | 850 |
Range of local PS offers between May 25 to May 29 on cash/credit term on FD basis, excluding VAT in all terms
| Origin | Product | Transaction Type | Currency | Offers/ton | Equivalent in USD/ton | Payment Term | Delivery Country |
|---|
| Indonesia | GPPS Injection | Offer Given | IDR | 15,000,000 | 1,041 | 30 Days Credit Term | Indonesia |
| Indonesia | GPPS Injection | Offer Given | IDR | 15,000,000 | 1,041 | Cash In Advance | Indonesia |
| Indonesia | GPPS Injection | Sell Idea | IDR | 14,800,000 | 1,027 | Cash In Advance | Indonesia |
| Indonesia | HIPS Injection | Offer Given | IDR | 16,000,000 | 1,110 | 30 Days Credit Term | Indonesia |
| Indonesia | HIPS Injection | Offer Given | IDR | 16,000,000 | 1,110 | Cash In Advance | Indonesia |
| Indonesia | HIPS Injection | Sell Idea | IDR | 15,800,000 | 1,097 | Cash In Advance | Indonesia |
Range of import PS offers between May 25 to May 29 on LC at sight, CIF Main Port basis
| Origin | Product | Transaction Type | Offers (USD/ton) | Delivery Country |
|---|
| Far East Asia | GPPS Injection | Purchased | 850 | Vietnam |
| Far East Asia | HIPS Injection | Sold | 930-940 | Vietnam |
| Southeast Asia | HIPS Injection | Offer Received | 970 | Vietnam |
Tags: Asia Pacific,English,Monthly,SEA,Styrenics
Published on June 4, 2020 4:35 PM (GMT+8)
Last Updated on June 5, 2020 1:33 PM (GMT+8)
