A Middle Eastern PE producer revealed to SSESSMENTS.COM that the company revised April shipment offers last week as the previous offer level was deemed unfeasible. As compared to initial offers announced earlier last week, the producer initiated a price reduction of $30/ton for HDPE Film and LLDPE Film C4 cargoes. Some deals for both grades were concluded between $790-800/ton respectively on LC at sight, CIF Southeast Asia Main Port basis. Despite the price reduction, most customers were reluctant to purchase in bulk, but still proceed to buy in a small quantity to maintain the relationship with the producer. In the Southeast Asia market, the producer saw a slight increase in demand from the Vietnam market, but still below the expectation.
In the previous week, the producer noted that customers were just checking the prices without any intention to purchase materials and were not willing to voice out their buy idea or submit any bids as most are holding sufficient inventory on hand. Moreover, most customers believe that the price will continue to head downward in the upcoming weeks, hence, prefer to adopt a wait-and-see stance.
