A marketing arm of Middle Eastern PE producer contacted SSESSMENTS.COM condoned Southeast Asian buyers’ buy idea. In terms of offers, HDPE Film prices have decreased between $10-20/ton, while offers for LLDPE Film C4 down by $20/ton. For LDPE Film, the deals achieved at the initial level despite the stable offers. All offers compared to last week’s levels.
Buyers were showing stiff resistance towards the offers for LLDPE Film C4. They voiced out a lower buy idea, “For LLDPE Film C4, most buyers voiced out their buy idea at below $800/ton-level. Most of the buy ideas from buyers in Indonesia and Malaysia stand at $750/ton on LC at sight, CIF main port basis. Some converters even asked for $700/ton-level, which is between $70-110/ton lower than the initial offer level. However, such levels are not available in the market and we are unwilling to go that low yet,” as stated to SSESSMENTS.COM.
Although buyers’ buy idea significantly lower than the initial offers’ level, the marketing arm commented that it is reasonable. As explained by the source to SSESSMENTS.COM, “Considering most of the manufacturers are being shut amid the Coronavirus outbreak, while some others are running at a reduced rate, it is not wrong if customers think that PE prices will remain soft. However, PE prices would not drop that substantially within a short period of time. As such, the $700/ton-level may not surface in the near time in the Southeast Asia market.”
