PET Prices In Vietnam Market Predicted To Continue Current Trend Amid Traditional Low Season
- Local and import PET offers moved to different directions
- PET demand remains on a bearish note due to the rainy season
- Local and import PET offers expected to decline further following demand movement
Market sources expressed an opinion to SSESSMENTS.COM that PET prices in the Vietnam market predicted to continue the current trend amid the traditional low season. In the domestic market, offers for local PET Bottle cargoes recorded stable to softer by VND200,000/ton ($8.5/ton) while in USD denomination, offers captured lower by $10/ton. Additionally, market talks have it that offers from a new Vietnamese PET producer were available in the domestic market at $680/ton on cash, FD Vietnam basis. However, some sources have yet to receive the offers and did not inquire for the cargoes either due to concern over quality. From the import market, offers for Taiwanese and Thai PET Bottle cargoes decreased between $10-20/ton. As for other origins, offers for import Chinese PET Bottle cargoes remained unchanged. Additionally, sources revealed that the offers for import PET Bottle of Indonesia origin stood at $710-715/ton on LC at sight, CIF Vietnam Main Port basis. All price changes on the week-on-week comparison.
As reported to SSESSMENTS.COM, PET demand in Vietnam remains on a bearish note as the finished product sales are affected by the rainy season. Moreover, buyers already have sufficient inventory on hand from the previous procurements. Sources added that some buyers even claimed to have sufficient inventory for productions until the end of 2020. Hence, buyers are not in a rush to make fresh procurements for both local and import cargoes. On the supply side, no issues were reported this week.
Pertaining to the near-term outlook, the majority of Vietnamese market players predict that PET demand will remain slow due to the rainy season. As such, local and import PET Bottle offers are expected to decline further following the demand trend, SSESSMENTS.COM was told.
