A Malaysian converter revealed to SSESSMENTS.COM regarding the changes on import US LLDPE Film C4 offers and shared different outlook for demand and prices. This week, the converter received offers for import LLDPE Film C4 of US origin at $750/ton and the cargoes are already available in Port Klang, Malaysia. In comparison to the deals concluded a fortnight ago, the current offers edged higher by $50/ton. Meanwhile, for the cargoes that shipped directly from the US, the offers for LLDPE Film C4 are available at $730/ton. All offers are on LC at sight, CIF Penang Port. Since the offers were deemed too high, the converter is planning to place bids at $10/ton lower than the initial offer levels for both PE cargoes. Additionally, the converter has yet to receive June shipment offers from a Saudi producer so far and no price indication either.
As reported to SSESSMENTS.COM, the converter is still cautious in making procurement because the market situation is rather hard to predict. Demand-wise, the sales for finished products in the export market remain slow this week. However, the converter expects some improvement in end-products demand to be seen around mid-June or end-June. In terms of prices, the outlook is still difficult to predict amid the Coronavirus outbreak, hence, the converter prefers to just wait on the sidelines at the moment.
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