SSESSMENTS.COM noted that the PET market in China captured moving into a new direction. On weekly comparison, local PET Bottle offers from the local producers have been adjusted lower by CNY50/ton ($7/ton). Sources revealed that deals for local PET Bottle cargoes were concluded at CNY5,700-5,750/ton ($806-813/ton) on cash, EXW China basis, and including 13% VAT. While to the export market, PET Bottle offers from a local producer also move lower by $5/ton from last week.
Regarding the market condition, the producers stated to SSESSMENTS.COM that the demand from both local and export markets is deemed unsatisfactory. In the local market, buying sentiment is rather flat as most converters already finished the replenishment activity. Moreover, some converters already booked a lot of quantities for October delivery or even later. While from the export market, sources mentioned that Southeast Asia and India markets are affected by the rainy season. However, a local producer revealed that the company has sold a lot of quantities to the local and export market in June, hence, there is no inventory pressure from their end.
Pertaining to the outlook, sources predict that local PET Bottle offers will most likely remain stable to slightly softer. Sources added to SSESSMENTS.COM that the price decrement will be more prominent once the weather in China is getting colder.
