On a monthly comparison, the deals for Middle Eastern PE cargoes in Indonesia showed a price gap of up to three digits. Import PE offers for July shipment from one of the Middle Eastern PE producers has increased by $100/ton for HDPE Film and LLDPE Film C4, as compared to the level for June shipment. For HDPE Film, the producer maintains the offer firm without any room for negotiation. While for LLDPE Film C4, the deals were concluded at $10/ton lower than the initial offer level. Compared to last month’s deals, the HDPE Film and LLDPE Film C4 were concluded at $110/ton and $90/ton higher, respectively. For Southeast Asian cargoes, the converter explained, “We received offers for LLDPE Film C4 of Philippines origin at $900/ton on LC at sight, CIF Indonesia main port basis. However, we were too late to submit the bids and the supplier has sold out all of the allocations,” as stated to SSESSMENTS.COM.
In the local market, the biggest local trading house in the country is also offering at a high level recently, as the company does not have any inventory pressure. While for localized cargoes, in the week commencing June 29 Thai HDPE Film and LLDPE Film C4 are available at IDR13,900,000/ton ($968/ton) on cash, FD basis and excluding 10% VAT. The materials will be delivered in August. Tight supply for Thai cargoes is expected to take place until August since the producer plans to take the 400,000 tons/year LLDPE plant off-line starting from July 20 for maintenance purpose. The limited supply from the producer’s end will lend support for PE price to increase in the future, SSESSMENTS.COM was told.
Offers for localized PE on cash, FD Indonesia basis and excluding 10% VAT
| Origin | Product | Transaction Type | Currency | Offers/ton | Equivalent in USD/ton |
|---|
| Southeast Asia | HDPE Film | Offer Received | USD | 1,020 | - |
| Thailand | HDPE Film | Offer Received | IDR | 13,900,000 | 968 |
| Malaysia | LDPE Film | Offer Received | USD | 1,065 | - |
| Southeast Asia | LLDPE Film C4 | Offer Received | USD | 1,015 | - |
| Thailand | LLDPE Film C4 | Offer Received | IDR | 13,900,000 | 968 |
Import PE offers on LC at sight, CIF Indonesia Main Port basis
| Origin | Product | Transaction Type | Offers (USD/ton) |
|---|
| Middle East | HDPE Film | Offer Received | 840*-880 |
| Middle East | HDPE Film | Purchased | 840*-880 |
| Middle East | LLDPE Film C4 | Offer Received | 860 |
| Middle East | LLDPE Film C4 | Purchased | 850 |
| Southeast Asia | LLDPE Film C4 | Offer Received | 900 |
Description: *offers on June 26
Tags: Asia Pacific,English,Indonesia,News,PE,SEA
Published on June 30, 2020 6:05 PM (GMT+8)
Last Updated on June 30, 2020 6:05 PM (GMT+8)
