A Thai PE producer decided to adjust up offers to the Indonesia market for some grades. As informed to SSESSMENTS.COM, this week, the producer adjusted up May shipment offers for LLDPE Film C4 and mLLDPE C6 by $10/ton compared to last week’s level due to the better demand in Southeast Asia, including Indonesia market last week. While for HDPE Film and LDPE Film, the offers remain unchanged compared to the same period. The producer provides room for negotiation up to below $700/ton-level as the crude oil prices crashed to below zero as of recent. However, so far, no bids received from buyers. The producer opined that the downtrend in crude oil prices would not last long as US producers are under pressure to sell cargoes for May shipment.
In the domestic market, on a weekly comparison, offers for localized Thai HDPE Film and LLDPE Film C4 dropped by IDR800,000/ton ($51/ton) and IDR1,100,000/ton ($70/ton), respectively. While for LDPE Film, buyers submitted bids at IDR400,000-500,000/ton ($25-32/ton) lower than the initial offers at IDR14,500,000/ton ($926/ton) on cash, FD Indonesia basis and excluding 10% VAT. Currently, most buyers prefer to halt procurements as polymer and monomer prices are expected to drop following the slump in crude oil prices, SSESSMENTS.COM was told. Likewise, the producer stated that PE prices still have room to decrease in the near term.
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