A converter in Indonesia revealed to SSESSMENTS.COM on the downward adjustment on localized Malaysian PE offers via the largest local trading house in the country. This week, offers for localized Malaysian HDPE Film cargoes decreased by IDR100,000/ton ($7/ton) on the low-end of the price range. Likewise, localized Malaysian LDPE Film offers dropped by IDR300,000/ton ($21/ton). While for localized LLDPE Film C4, the converters received offers at IDR200,000/ton ($14/ton). All compared to last week’s levels.
As mentioned by the converter, the PE market is slower than last week. Converters have placed orders for PE materials in the previous week; hence, most of them are not interested in taking more cargoes, especially due to firm prices. From the converter’s end, the company still received orders from some customers, however, the quantity is only half of the normal volume. Additionally, the converter plans to reduce contract volume with several producers by 10% on the back of sufficient inventory on-hand. Considering the slow market, which expected to persists, PE prices will most likely remain stable or decrease in the near term, SSESSMENTS.COM was told.
