Market sources revealed to SSESSMENTS.COM the sales achievement for HDPE Film cargoes for July shipment in the Asia market. On the week commencing June 15, a Malaysian producer reported that the company already sold out July shipment allocation to China and Southeast Asia market. Deals to China market were concluded at $850/ton while to Southeast Asia market at $20/ton lower as most customers in the Philippines and Vietnam were unable to accept offers at $850/ton-level. All on LC at sight, CIF Main Port basis.
By the following week, an Indonesian converter received July shipment offers for HDPE Film from a Saudi producer which is at $100/ton higher compared to June shipment. The converter concluded deals at the initial offer level at $850/ton on LC at sight, CIF Indonesia Main Port basis as the producer was unwilling to sell the cargoes at lower prices. While in Vietnam, a converter commented to SSESSMENTS.COM that July shipment offers from a Middle Eastern producer have gone up drastically from last month and the company only purchased one container to keep the relationship with the producer. However, there was no exact price level revealed.
To China market, SSESSMENTS.COM noted that July shipment offers for HDPE Film from a Saudi producer surfaced with an upward adjustment of $90-100/ton compared to a month earlier. Following the announcement, Chinese market players estimated that the allocation to China market will be limited which is around 20-30% of the total volume as the producer allocated most of the cargoes to Southeast Asia citing better netback. Due to the limited allocation and competitive price level as compared to other July shipment offers, Chinese traders decided to purchase some volume with deals closed at $850-860/ton on LC at sight, CIF China Main Port basis.
