Lack Of Supporting Factors, Vietnam PP Price Trend Predicted To Shift In The Near Term
- Local, localized and import PP Homo Raffia prices move in tandem
- Import PP Homo Raffia offers of Thailand origin resurfaced
- Vietnamese market players foresee PP price trend would shift in the near term
As the import PP Homo Raffia prices remain on the uptrend supported by the firm monomer prices, Vietnamese traders decided to amend the offers for local and localized cargoes. Local PP Homo Raffia prices increased by VND800,000/ton ($34/ton). Likewise, localized PP Homo Raffia of Saudi origin went up by VND600,000/ton ($26/ton). Seeing the uptrend in the PP market, a trader intends to make upward price correction on localized PP Homo Raffia of South Korea origin between VND500,0000-1,000,000/ton ($21-43/ton). In the import market, PP offers from a Thai producer have finally resurfaced in the Vietnam market after being absent for more than a month. However, the offers deemed unworkable as the producer offered PP Homo Film at $1,095/ton and $1,065/ton for PP Homo Raffia, all on LC at sight, CIF Vietnam main port basis. From another Thai PP producer, SSESSMENTS.COM noted that offers for PP Homopolymer grades increased between $30-40/ton. Likewise, the leading Indian petrochemical producer adjusted up the offers for PP Homo Raffia by $15/ton. All price changes are on a weekly comparison.
The uptrend in the PP prices coupled with the relatively tight supply in the Vietnam market have pushed some converters to secure materials. However, in general, buying sentiment for PP resins remains dull as the sales for the end-products have yet to show any significant improvements, dampened by the rainy season. On the supply front, no significant issues were reported to SSESSMENTS.COM since demand remains tepid.
Looking ahead, Vietnamese market players predicted that the room for PP prices to maintain the current trend is very limited. Citing the weak buying sentiment and expectation of ampler supply in August, PP price trend would retreat in the near term, SSESSMENTS.COM was told.
