SSESSMENTS.COM was told that supply issues were cited as a root cause of up to three-digits adjustments on import PE offers to Australia this week. A trader in the country informed that compared to a week ago, offers for HDPE Film and HDPE Blow Moulding from a Thai producer increased by $75/ton due to limited allocation. Likewise, a South Korean producer offered HDPE Pipe Black (100) at $130/ton higher as compared to offers received at the end of May since the producer is conducting maintenance at the company’s PE plant.
The offers stood at $980/ton on LC at sight, FOB South Korea basis. Meanwhile, on CIF Australia main port basis, the offers were at $1,010/ton with the same payment term. “It was overpriced and most likely just a hit-and-run offer. The producer is not so willing to sell,” the trader said. Pertaining to the outlook, the trader opined to SSESSMENTS.COM that PE offers to Australia will remain firm in the near term.
