As global sentiment grows, there is an indication that import PVC offers in Asia market would continue its bullish trend. A trader based in Australia shared with SSESSMENTS.COM that import offers from the leading Indonesian PVC producer will move further up for August shipment. As a trader quoted from the producer, the producer hinted that the production costs for carbide-based PVC in China would be very high. Thus, the supply for carbide will be even tighter, which ended pushing the PVC prices higher. Moreover, the ethylene prices also maintain its positive trend.
Based on the data collected by SSESSMENTS.COM, ethylene prices on CFR Northeast Asia and Southeast Asia maintain its bullish trend as backed by the strong energy market. Over the month, ethylene price on CFR Northeast Asia increased by $169-171/ton, captured at $877-885/ton while CFR Southeast Asia surged by $110/ton, recorded at $787-795/ton by July 1 settlement.
Considering the factors mentioned above, the trader opined that import PVC offers in Asia market would continue to move higher going forward.
