A Chinese trader shared with SSESSMENTS.COM their opinion on upcoming import PE prices to the country. Compared to Thursday’s level, the offers for local and localized Middle Eastern PE cargoes across all grades from the trader were trimmed by CNY50/ton ($7/ton) following the decreases in the futures market by Friday trading session. The trader added that the current offers for localized cargoes are still enjoying premium of CNY100-200/ton ($14-28/ton) from local cargoes. While for import cargoes, the offer for HDPE Film cargoes of Thailand origin is available at $900/ton on LC at sight, CIF China Main Port basis, which is deemed too high. As such, the trader does not even have any interest to submit bids.
Looking into next week, more fresh import offers are expected to come out as the producers have to announce July shipment offers before the Dragon Boat Festival holiday in China that will be started on June 25. The trader opined to SSESSMENTS.COM that July shipment offers will definitely increase. However, the amount of price increase should not be huge; otherwise, buyers will show resistance towards the offers.
