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WeeklySSESSMENTS: Vietnam PE Prices Week Starting July 13


Import PE Prices In Vietnam On Rally, Leave Domestic Demand In Mixed Performance

  • Localized and import PE prices were recorded in a similar trend this week
  • Demand for PE resins captured in a mixed performance due to manifold reasons
  • Players foresee sustainability on PE prices on the back of supply conditions

On the week commencing July 13, import PE prices in Vietnam recorded a rally and left the domestic demand in a mixed performance. According to the data obtained by SSESSMENTS.COM, most of the import PE offers to the Vietnam market are captured on an uptrend this week. As notified by a trader, the leading Saudi polyolefins producer decided to roll over the prices for LLDPE Film C4 and marked-up the offers for HDPE Film by $20/ton, both compared to last week’s level. From a Thai PE producer, the offers are counted as one of the highest offers available in the Vietnam market, especially for HDPE Film, owing to the limited supply from the producer’s end. As noted, the Thai producer is currently offering HDPE Film at above thousand levels; at $1,040/ton on LC at sight, CIF Vietnam Main Port basis. While for other grades such as LDPE Film, a trader received offers from the producer at $50/ton higher than late June’s level. At the same time, the trader also received offers for HDPE Yarn and LLDPE Film C4 from the Thai producer, but no price comparison available. On the other side, US LLDPE Film C4 via a trader went up between $10-20/ton on a weekly interval. From the leading Indian petrochemical producer, HDPE Yarn and LLDPE Film C4 offers were hiked by $40/ton from last week. On the contrary, a converter reported receiving offers for import Singaporean LDPE Film at $20/ton lower than the offers available two weeks ago, stood at $1,000/ton on LC at sight, CIF Vietnam Main Port basis. Despite the decrement, such a level is still deemed too high and the converters are not sure whether to proceed with procurement or not. 

In the domestic market, a trader informed SSESSMENTS.COM that the company has increased offers for localized South Korean LLDPE Film C4, US HDPE Blow Moulding, and Malaysia LDPE Film by VND500,000/ton ($21/ton) on the week-on-week comparison. From the converters’ side, one of them reported on receiving offers for localized LLDPE Film C4 of South Korea origin at VND1,000,000-1,300,000/ton ($43-56/ton) higher than the deals concluded a fortnight ago.

This week, SSESSMENTS.COM captured a mixed performance in domestic demand for PE resins, and one of the main reasons is the current uptrend in international prices. Some players stated that this week’s demand has improved compared to a few weeks ago as supported by the uptrend in international market prices coupled with limited supply for all PE grades in the Vietnam market. In contrast, some others said that buying sentiment remains bearish as most buyers prefer to adjourn procurement activities due to high prices, particularly for import materials. Besides, these buyers are also not interested in procuring since they believe that the current uptrend will only be short-lived and they still have sufficient supply on their hands. On the supply front, some players said that inventory for all PE grades in the domestic market is quite tight this week. 

For the outlook, Vietnamese market players contacted by SSESSMENTS.COM believe that offers for localized and import cargoes will be stable to firmer as supported by the supply shortage. Demand-wise, players opined that the rainy season will affect buying sentiment in the days to come.

Localized PE offers on cash, FD basis (including 10% VAT in VND term and excluding VAT in USD term)

OriginProductTransaction TypeOffers (VND/ton)Equivalent in USD/tonDelivery Location
USAHDPE Blow MouldingOffer Given24,500,000956Haiphong
ThailandHDPE FilmOffer Received24,200,000-24,500,000945-956Ho Chi Minh
MalaysiaLDPE FilmOffer Given26,500,000-27,000,0001,035-1,054Haiphong
SaudiLLDPE Film C4Offer Received23,500,000917Ho Chi Minh
South KoreaLLDPE Film C4Offer Given24,000,000-24,500,000937-956Haiphong
South KoreaLLDPE Film C4Offer Received24,200,000-24,500,000945-956Haiphong

Import PE offers on LC at sight, CIF Vietnam Main Port basis

OriginProductTransaction TypeOffers (USD/ton)
Southeast AsiaHDPE Blow MouldingOffer Received920
Southeast AsiaHDPE Blow MouldingPrice List960
Far East AsiaHDPE FilmOffer Received930
Middle EastHDPE FilmOffer Given930
Middle EastHDPE FilmOffer Received930
Southeast AsiaHDPE FilmOffer Received935-1,040
Southeast AsiaHDPE FilmPrice List960
Indian SubcontinentHDPE YarnOffer Received900
Southeast AsiaHDPE YarnOffer Given940
Southeast AsiaHDPE YarnOffer Received940
Southeast AsiaLDPE FilmOffer Given1,000
Southeast AsiaLDPE FilmOffer Received1,000
Southeast AsiaLDPE FilmPrice List1,030-1,070
Indian SubcontinentLLDPE Film C4Offer Received890
Middle EastLLDPE Film C4Offer Given910
Middle EastLLDPE Film C4Offer Received900-910
North AmericaLLDPE Film C4Offer Received870-910*
Southeast AsiaLLDPE Film C4Offer Given930
Southeast AsiaLLDPE Film C4Offer Received910*-930
Description: *Shipment from Malaysia

Tags: Asia Pacific,English,PE,SEA,Vietnam,Weekly

Published on July 16, 2020 12:17 PM (GMT+8)
Last Updated on July 16, 2020 12:17 PM (GMT+8)