- ocalized PE offers in Vietnam fluctuated in the first quarter of 2020
- PE market was bearish due to manifold factors
- Sluggish PE demand expected to persist in the upcoming months
In January, localized PE offers in Vietnam were recorded on an uptrend on the back of tight supply. Offers for localized Saudi and Southeast Asian LLDPE Film C4 increased by VND1,000,000/ton ($42/ton) compared to the offers received in December. While for localized LDPE Film of Saudi origin, the offers surfaced with an increase of VND2,300,000/ton ($97/ton) compared to the same period. However, in the second half of January, SSESSMENTS.COM’s database recorded that no localized PE offers available in the market as most of the market players were in a holiday mood. Another increment of VND1,000,000/ton ($42/ton) applied on localized Saudi LLDPE Film C4 offers in February. In contrast, in the second week of February, offers for localized Saudi LLDPE Film C4 and US HDPE Film decreased between VND200,000-300,000/ton ($8-13/ton) from a week earlier due to the slow sales. As for March, no localized offers were recorded.
In the import market, at the final week of January, offers for HDPE Film and LDPE Film of Middle East origin increased between $40-50/ton, while LDPE Film of Malaysia origin and LLDPE Film C4 of Middle East origin surged by $40/ton and between $50-60/ton respectively as compared to offers at the second half of March. While February shipment offers for LLDPE Film C4 from a Saudi producer increased by $110/ton compared to January shipment due to limited supply on the producer’s end. Entering March, SSESSMENTS.COM’s data showed that limited transactions recorded in Vietnam as buying sentiment in the country eroded due to the drop in crude oil prices coupled with the fears of Coronavirus. As such, April shipment offers for HDPE Film, LDPE Film, and LLDPE Film C4 from the leading Saudi polyolefins producer surfaced in the Vietnam market with a reduction of between $50-90/ton compared to March shipment.
For other grades, In January, import offers for Saudi HDPE Blow Moulding increased by $30/ton as compared to the offers at the end of December and remained stable throughout February. While in March, Vietnamese buyers submitted bids for Indian HDPE Yarn at $110/ton lower than the initial offers at $730/ton on LC at sight, CIF Vietnam Main Port basis. Considering low crude oil and feedstock prices, market players opined to SESSMENTS.COM that bids at $700/ton-level for PE cargoes were reasonable.
Overall PE resins demand in Vietnam was sluggish during the first quarter of 2020. Buyers were keeping low inventory levels in January despite the limited supply in the market. Moreover, the Coronavirus pandemic, drop in crude oil prices, and the slow sales for finished products led converters to halt procurements in anticipation of lower PE prices. On the supply side, limited PE supply from foreign suppliers was reported in January due to maintenance season, especially from Middle Eastern producers. While in March, PE supply in Vietnam was ample, however, foreign suppliers might have shipment issues as most Southeast Asian countries have declared a state of emergency or lockdowns amid the Coronavirus outbreak, SSESSMENTS.COM noted.
Looking into Q2 2020, Vietnamese market players opined to SSESSMENTS.COM that PE prices would remain on a downtrend considering the bearish sentiment amid Coronavirus pandemic. Likewise, sluggish PE demand is predicted to persist in the upcoming months.
Transactions for localized PE in January on FD basis (including 10% VAT in VND term, all equivalent in USD excluding VAT)
| Origin | Product | Transaction Type | Offers (VND/ton) | Equivalent in USD/ton | Payment Term |
|---|
| Malaysia | LDPE Film | Offer Received | 27,500,000 | 1,057 | Cash in Advance |
| Malaysia | LDPE Film | Offer Received | 27,500,000 | 1,057 | 15 Days Credit Term |
| Saudi | LDPE Film | Offer Received | 26,800,000 | 1,030 | Cash in Advance |
| Southeast Asia | LDPE Film | Offer Received | 27,800,000 | 1,069 | Cash In Advance |
| Southeast Asia | LDPE Film | Purchased | 26,900,000 | 1,034 | Cash In Advance |
| Thailand | LDPE Film | Offer Received | 27,500,000 | 1,057 | Cash In Advance |
| Thailand | LDPE Film | Offer Received | 28,000,000 | 1,076 | 30 Days Credit Term |
| Saudi | LLDPE Film C4 | Offer Given | 24,300,000-24,500,000 | 934-942 | 15 Days Credit Term |
| Saudi | LLDPE Film C4 | Offer Given | 24,000,000-24,500,000 | 923-942 | Cash In Advance |
| Saudi | LLDPE Film C4 | Offer Received | 24,500,000-25,000,000 | 942-961 | 15 Days Credit Term |
| Saudi | LLDPE Film C4 | Offer Received | 24,000,000-25,000,000 | 923-961 | Cash in Advance |
| Saudi | LLDPE Film C4 | Purchased | 24,000,000 | 923 | Cash in Advance |
| South Korean | LLDPE Film C4 | Offer Received | 23,500,000 | 903 | Cash in Advance |
| South Korean | LLDPE Film C4 | Purchased | 23,500,000 | 903 | Cash in Advance |
| Southeast Asia | LLDPE Film C4 | Offer Received | 24,300,000-24,400,000 | 934-938 | TT |
| Southeast Asia | LLDPE Film C4 | Offer Received | 24,500,000 | 942 | Cash In Advance |
| Thailand | LLDPE Film C4 | Offer Received | 24,500,000-25,000,000 | 942-961 | 15 Days Credit Term |
Transactions for import PE in January on LC at sight, CIF Vietnam Main Port basis
| Origin | Product | Transaction Type | Offers (USD/ton) |
|---|
| Middle East | HDPE Blow Moulding | Offer Received | 860-870 |
| North America | HDPE Blow Moulding | Offer Given | 830-850 |
| North America | HDPE Blow Moulding | Offer Received | 830 |
| North America | HDPE Blow Moulding | Purchased | 800-830 |
| North America | HDPE Blow Moulding | Sell Idea | 865-870 |
| North America | HDPE Blow Moulding | Sold | 830-835 |
| Southeast Asia | HDPE Blow Moulding | Purchased | 900 |
| Far East Asia | HDPE Film | Offer Received | 880 |
| Far East Asia | HDPE Film | Offer Given | 900 |
| Middle East | HDPE Film | Offer Given | 860-900 |
| Middle East | HDPE Film | Offer Received | 810-910 |
| Middle East | HDPE Film | Sold | 870 |
| North America | HDPE Film | Offer Given | 820-850 |
| North America | HDPE Film | Offer Received | 750-840 |
| North America | HDPE Film | Sell Idea | 865-870 |
| North America | HDPE Film | Sold | 820-835 |
| Southeast Asia | HDPE Film | Offer Given | 900 |
| Southeast Asia | HDPE Film | Offer Received | 870-880 |
| Southeast Asia | HDPE Film | Purchased | 840 |
| Middle East | HDPE Pipe (PE 100) | Offer Received | 960 |
| Southeast Asia | HDPE Pipe (PE 100) | Offer Received | 1,030 |
| Middle East | LDPE Film | Bid Received | 940 |
| Middle East | LDPE Film | Offer Given | 940-1,040 |
| Middle East | LDPE Film | Offer Received | 980-1,010 |
| Southeast Asia | LDPE Film | Bid Given | 970 |
| Southeast Asia | LDPE Film | Offer Given | 940 |
| Southeast Asia | LDPE Film | Offer Received | 990-1,050 |
| Southeast Asia | LDPE Film | Purchased | 970 |
| Far East Asia | LLDPE Film C4 | Offer Given | 930 |
| Far East Asia | LLDPE Film C4 | Offer Received | 870 |
| Far East Asia | LLDPE Film C4 | Sold | 930 |
| Indian Subcontinent | LLDPE Film C4 | Offer Received | 895 |
| Indian Subcontinent | LLDPE Film C4 | Buy Idea | 890 |
| Middle East | LLDPE Film C4 | Bid Given | 930 |
| Middle East | LLDPE Film C4 | Offer Given | 860-950 |
| Middle East | LLDPE Film C4 | Offer Received | 850-960 |
| Middle East | LLDPE Film C4 | Purchased | 880 |
| Middle East | LLDPE Film C4 | Sold | 870-890 |
| North America | LLDPE Film C4 | Offer Given | 820-860 |
| North America | LLDPE Film C4 | Offer Received | 800 |
| North America | LLDPE Film C4 | Sell Idea | 855-860 |
| North America | LLDPE Film C4 | Sold | 820-840 |
| Southeast Asia | LLDPE Film C4 | Bid Given | 860 |
| Southeast Asia | LLDPE Film C4 | Buy Idea | 860 |
| Southeast Asia | LLDPE Film C4 | Offer Given | 880 |
| Southeast Asia | LLDPE Film C4 | Offer Received | 860-920 |
| Southeast Asia | LLDPE Film C4 | Purchased | 865 |
Transactions for localized PE in February on FD basis (including 10% VAT in VND term, all equivalent in USD excluding VAT)
| Origin | Product | Transaction Type | Offers (VND/ton) | Equivalent in USD/ton | Payment Term | Delivery Location |
|---|
| Saudi Arabia | HDPE Blow Moulding | Offer Given | 23,500,000 | 903 | Cash In Advance | Ho Chi Minh |
| Saudi Arabia | HDPE Blow Moulding | Offer Given | 22,500,000 | 865 | Cash In Advance | Haiphong |
| Saudi Arabia | HDPE Blow Moulding | Sold | 22,500,000 | 865 | Cash In Advance | Haiphong |
| Thailand | HDPE Blow Moulding | Offer Given | 23,800,000 | 915 | Cash In Advance | Ho Chi Minh |
| Thailand | HDPE Blow Moulding | Offer Given | 23,000,000 | 884 | 10 Days Credit Term | Ho Chi Minh |
| Saudi Arabia | HDPE Film | Offer Received | 23,000,000-23,500,000 | 884-903 | Cash In Advance | Haiphong |
| Saudi Arabia | HDPE Film | Offer Given | 23,000,000 | 884 | Cash In Advance | Ho Chi Minh |
| USA | HDPE Film | Offer Received | 22,000,000 | 846 | Cash In Advance | Ho Chi Minh |
| Malaysia | LDPE Film | Offer Received | 26,500,000-28,500,000 | 1,019-1,096 | Cash In Advance | Haiphong |
| Saudi Arabia | LDPE Film | Offer Given | 26,500,000-27,000,000 | 1,019-1,038 | Cash In Advance | Haiphong |
| Saudi Arabia | LDPE Film | Sold | 26,500,000-27,000,000 | 1,019-1,038 | Cash In Advance | Haiphong |
| Southeast Asia | LDPE Film | Offer Received | 27,000,000 | 1,038 | Cash In Advance | Haiphong |
| Thailand | LDPE Film | Offer Given | 27,000,000 | 1,038 | Cash In Advance | Ho Chi Minh |
| Thailand | LDPE Film | Offer Given | 26,800,000 | 1,030 | 10 Days Credit Term | Ho Chi Minh |
| Thailand | LDPE Film | Offer Received | 27,000,000-27,300,000 | 1,038-1,050 | Cash In Advance | Ho Chi Minh |
| Middle East | LLDPE Film C4 | Offer Given | 24,000,000-24,200,000 | 923-930 | 10 Days Credit Term | Ho Chi Minh |
| Saudi Arabia | LLDPE Film C4 | Offer Given | 23,800,000 | 915 | Cash In Advance | Haiphong |
| Saudi Arabia | LLDPE Film C4 | Offer Received | 23,800,000-25,300,000 | 915-973 | Cash In Advance | Haiphong |
| Saudi Arabia | LLDPE Film C4 | Purchased | 24,000,000-25,000,000 | 923-961 | Cash In Advance | Haiphong |
| Saudi Arabia | LLDPE Film C4 | Sold | 23,800,000 | 915 | Cash In Advance | Haiphong |
| Saudi Arabia | LLDPE Film C4 | Offer Received | 24,000,000-25,500,000 | 923-980 | Cash In Advance | Ho Chi Minh |
| Saudi Arabia | LLDPE Film C4 | Offer Received | 25,000,000 | 961 | 15 Days Credit Term | Ho Chi Minh |
| Saudi Arabia | LLDPE Film C4 | Sell Idea | 23,800,000 | 915 | Cash In Advance | Ho Chi Minh |
| Thailand | LLDPE Film C4 | Offer Received | 23,800,000 | 915 | Cash In Advance | Ho Chi Minh |
Transactions for import PE in February on LC at sight, CIF Vietnam Main Port basis
| Origin | Product | Transaction Type | Offers (USD/ton) |
|---|
| Middle East | HDPE Blow Moulding | Offer Given | 840-900 |
| Middle East | HDPE Blow Moulding | Offer Received | 820-840 |
| Middle East | HDPE Blow Moulding | Sell Idea | 830-840 |
| North America | HDPE Blow Moulding | Offer Received | 800-860 |
| North America | HDPE Blow Moulding | Purchased | 770-850 |
| Southeast Asia | HDPE Blow Moulding | Offer Received | 950 |
| Far East Asia | HDPE Film | Offer Received | 900 |
| India Subcontinent | HDPE Film | Offer Received | 810 |
| Middle East | HDPE Film | Offer Given | 835-870 |
| Middle East | HDPE Film | Offer Received | 820-900 |
| Middle East | HDPE Film | Sold | 850-870 |
| North America | HDPE Film | Offer Received | 820-890 |
| Southeast Asia | HDPE Film | Offer Received | 870 |
| Middle East | HDPE Pipe Black (100) | Offer Given | 980 |
| Indian Subcontinent | HDPE Yarn | Offer Given | 830 |
| Indian Subcontinent | HDPE Yarn | Offer Received | 840-845 |
| Indian Subcontinent | HDPE Yarn | Sold | 830 |
| Southeast Asia | HDPE Yarn | Offer Given | 910 |
| Southeast Asia | HDPE Yarn | Sold | 910 |
| China | LDPE Film | Offer Received | 885 |
| Middle East | LDPE Film | Offer Given | 980-990 |
| Middle East | LDPE Film | Offer Received | 960-1,020 |
| Middle East | LDPE Film | Sell Idea | 960-970 |
| Middle East | LDPE Film | Sold | 980 |
| North America | LDPE Film | Offer Received | 970 |
| Southeast Asia | LDPE Film | Offer Given | 1,020-1,030 |
| Southeast Asia | LDPE Film | Offer Received | 1,020-1,080 |
| Southeast Asia | LDPE Film | Purchased | 1,070 |
| Southeast Asia | LDPE Film | Sold | 1,020 |
| Indian Subcontinent | LLDPE Film C4 | Bid Received | 800 |
| Indian Subcontinent | LLDPE Film C4 | Offer Given | 840-870 |
| Indian Subcontinent | LLDPE Film C4 | Offer Received | 840-845 |
| Indian Subcontinent | LLDPE Film C4 | Sold | 820 |
| Middle East | LLDPE Film C4 | Bid Given | 855 |
| Middle East | LLDPE Film C4 | Buy Idea | 850 |
| Middle East | LLDPE Film C4 | Offer Given | 860-920 |
| Middle East | LLDPE Film C4 | Offer Received | 850-950 |
| Middle East | LLDPE Film C4 | Sold | 850-900 |
| North America | LLDPE Film C4 | Offer Received | 860 |
| North America | LLDPE Film C4 | Sold | 845 |
| Southeast Asia | LLDPE Film C4 | Offer Given | 920 |
| Southeast Asia | LLDPE Film C4 | Offer Given | 920 |
| Southeast Asia | LLDPE Film C4 | Offer Received | 880-900 |
| Southeast Asia | LLDPE Film C4 | Purchased | 935 |
Transactions for import PE in March on CIF Vietnam Main Port basis
| Origin | Product | Transaction Type | Offers (USD/ton) | Payment Term |
|---|
| Middle East | HDPE Blow Moulding | Offer Given | 840 | LC at sight |
| Middle East | HDPE Blow Moulding | Buy Idea | 800 | LC at sight |
| North America | HDPE Blow Moulding | Bid Received | 680-740 | LC at sight |
| North America | HDPE Blow Moulding | Buy Idea | 800 | LC at sight |
| North America | HDPE Blow Moulding | Offer Given | 750-840 | LC at sight |
| North America | HDPE Blow Moulding | Offer Received | 850 | LC at sight |
| North America | HDPE Blow Moulding | Sell Idea | 800 | LC at sight |
| Far East Asia | HDPE Film | Offer Received | 780-900 | LC at sight |
| Indian Subcontinent | HDPE Film | Offer Received | 820 | LC at sight |
| Middle East | HDPE Film | Buy Idea | 650 | LC at sight |
| Middle East | HDPE Film | Offer Given | 830-840 | LC at sight |
| Middle East | HDPE Film | Offer Received | 730*-840 | LC at sight |
| Middle East | HDPE Film | Purchased | 710*-860 | LC at sight |
| Middle East | HDPE Film | Sold | 830 | LC at sight |
| North America | HDPE Film | Offer Received | 730-780 | LC at sight |
| Southeast Asia | HDPE Film | Bid Received | 850 | LC at sight |
| Southeast Asia | HDPE Film | Offer Given | 840-900 | LC at sight |
| Southeast Asia | HDPE Film | Offer Received | 820 | LC at sight |
| Indian Subcontinent | HDPE Yarn | Bid Given | 730 | LC at sight |
| Indian Subcontinent | HDPE Yarn | Offer Given | 820 | LC at sight |
| Indian Subcontinent | HDPE Yarn | Offer Received | 780-840 | LC at sight |
| Indian Subcontinent | HDPE Yarn | Offer Received | 800 | LC 90 days |
| Southeast Asia | HDPE Yarn | Offer Given | 890 | LC at sight |
| Indian Subcontinent | LDPE Film | Offer Given | 950 | LC at sight |
| Indian Subcontinent | LDPE Film | Bid Received | 930 | LC at sight |
| Middle East | LDPE Film | Bid Received | 870 | LC at sight |
| Middle East | LDPE Film | Offer Given | 900-950 | LC at sight |
| Middle East | LDPE Film | Offer Received | 900*** | LC at sight |
| Middle East | LDPE Film | Purchased | 900***-990 | LC at sight |
| Middle East | LDPE Film | Sold | 930-950 | LC at sight |
| Southeast Asia | LDPE Film | Offer Given | 940-1,000 | LC at sight |
| Southeast Asia | LDPE Film | Sold | 960-1,010 | LC at sight |
| Far East Asia | LLDPE Film C4 | Offer Received | 910-930 | LC at sight |
| Indian Subcontinent | LLDPE Film C4 | Offer Given | 810 | LC at sight |
| Middle East | LLDPE Film C4 | Offer Given | 810-850 | LC at sight |
| Middle East | LLDPE Film C4 | Offer Received | 830**-850** | LC at sight |
| Middle East | LLDPE Film C4 | Purchased | 830-910 | LC at sight |
| North America | LLDPE Film C4 | Offer Given | 780-800 | LC at sight |
| North America | LLDPE Film C4 | Sold | 800 | LC at sight |
| Southeast Asia | LLDPE Film C4 | Offer Given | 820-850 | LC at sight |
| Southeast Asia | LLDPE Film C4 | Sold | 800 | LC at sight |
| North America | mLLDPE C6 | Offer Received | 1,050 | LC at sight |
| Southeast Asia | mLLDPE C6 | Offer Received | 1,050 | LC at sight |
Description: *Shipment from Malaysia and Singapore, **Offers for April shipment, ***Offers for April shipment, shipped from Malaysia and Singapore
Tags: Asia Pacific,English,PE,Quarterly,SEA,Vietnam
Published on April 8, 2020 1:26 PM (GMT+8)
Last Updated on April 8, 2020 1:36 PM (GMT+8)
