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According to market sources, domestic traders in Vietnam are lifting their locally held homo-PP cargoes on the first trading day of the week in line with the up-coming increases in import duties.

A buyer reported receiving Saudi’s homo-PP yarn at VND27,000,000/ton ($1085/ton without VAT) said, “We think this offers is reasonable considering the currency exchange rate and the hike in import duties. Orders for our end product still low, hence we are not planning to buy in large quantity.” The source added that over the past week no overseas suppliers open new import offers.

Another trader, whose offers for the same Saudi Arabia cargoes stand at VND27,000,000/ton ($1085/ton without VAT) added, “Domestic market has been standing low for too long and we think with firmer stance from import market, it make sense for local suppliers to lift offers. We are not seeing aggressive buying interest, yet we plan to hold firm stance on our cargoes. The absence of import material due to more attractive China demand means local supply might tighten in the coming weeks.”

At the moment, only a specific Saudi Arabia’s homo-PP cargoes are reported higher in local ground, other origins are not having new movement. However, it is expected that traders would press on to increase prices, following the recent development in the import market.