A China-based PET producer reveals the latest offers to Asia market with differing responses from one country to another. The producer informed SSESSMENTS.COM that offers for the domestic market maintained stable from last week at CNY5,700/ton ($806/ton) on cash, EXW basis and including 13% VAT with support came from firm PTA and MEG prices. To the export market, the producer’s offers to the Southeast Asia market stand between $700-720/ton, while to India at $740/ton, all on LC at sight, CIF Main Port basis. For export offers on FOB basis, the producer rolled over last week’s prices at $700/ton on LC at sight, FOB China basis.
The producer told SSESSMENTS.COM that their latest offer received mixed responses from buyers. According to producer observations, the response from the domestic market was not that overwhelming with limited deals secured at the initial level since most customers already bought some cargoes before this week. Talking about the export market, producer only managed to sell to Indonesia and India, with deals closed at the initial offer levels but the volume was limited. While customers in Thailand and Vietnam are still not interested with cargoes that were discounted by $10/ton from last week's offers, the Philippines market did not place orders this week after doing that two weeks ago. Speaking about supply, producer reported that 70% of their materials were sold to the domestic market while the rest exported to India and Thailand.
In terms of pricing outlook, producers opined that PET Bottle prices should be stable in the next few weeks. The producer also shared to SSESSMENTS.COM their prediction that the economy will improve globally in Q3 so that PET prices will no longer fall before significant changes expected to occur coming to October.
