Australia PE Market Showed Disparate Movement Of Import Offers And Demand Condition
- Import PE offers from a Thai producer adjusted following international market trend
- PE demand remains sluggish
- Players expressed pessimistic pricing outlook
The Australia PE market is showing a disparate movement of import offers and demand condition this week. Market sources informed SSESSMENTS.COM that import PE offers were generally stable to firmer as compared to last month. According to the sources, a US producer continues to roll over LLDPE Film C4 offers from two weeks ago although the distributor only disclosed the price to the parties who submitted inquiries. Meanwhile, a Thai PE producer adjusted up offers for HDPE grades to Australia by $20-30/ton as compared to last month. Sources pointed out that the market is still waiting for August shipment price quotation from other suppliers before making any decisions.
Australia PE market has largely been weighed by persistent bearish sentiment amid falling demand from the end-user segment. Over the week, business activities are reportedly getting slower as the government imposed movement restrictions. As SSESSMENTS.COM quoted from a Middle Eastern producer’s analysis, demand for HDPE Pipe Black (100) in Australia market has started to slow down due to current condition. No supply issue was reported by market players this week.
For the outlook, the majority of market players in Australia voiced out to SSESSMENTS.COM that the firm import PE prices would not be able to sustain. With feedstock prices being lower from last month and now stabilizing, PE prices should be theoretically moving lower.
