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Vietnamese buyers this week reported receiving fresh ABS offers from Korean suppliers with $100/ton reduction from earlier this month, reaching $1710/ton CIF Vietnam, LC AS term. Players attributed such reduction to rapid deterioration in the upstream butadiene and styrene monomer market.

In fact, compared to earlier April 2017 butadiene based on FOB Korea term has plunged $500/ton while styrene based on same term dropped nearly $100/ton. A trader received the offer commented, “We are still having some cargoes on hand, therefore not rush to make replenishment at the moment. At the meantime, we do expect to see addition discount to come in the near term.”

Other buyers have decided to make minimal purchases due to low inventory on hand. The source said, “We are talking to the suppliers to obtain some discounts before proceed with the purchases. We aware of the upstream situation, however, we do not have much inventories left.”