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Chinese players reported that several USA suppliers have opened offers for PE cargoes to China this week, though the quantity is very limited compared to the same period last year. A total of less than 1500 tons of HDPE film, HDPE blow molding and LDPE are available at the moment and buyers are considering whether to proceed with purchases.

USA HDPE film cargoes offered at $1250/ton CFR China, LC 60 days term for December shipment, which players find it difficult to accept. “There is high level of uncertainties due to the long shipment time. Besides, the quantity is very small hence we are not very interested in this cargoes.”

“Our USA supplier is collecting bid for 1000 tons of HDPE blow molding and LDPE film. We do not expect USA cargoes to come in large quantity in the near term as most plants are trying to achieve normal run rate after the recent natural disaster,” another Chinese buyers added.

As reported earlier, most petrochemical complexes in Houston, Texas, USA have resumed operation after the Harvey hurricane swept through the area, leaving heavy flood behind. However, logistic remains the biggest challenge and suppliers here are attempting to clear out the backlog before having allocation for export. “We think more cargoes might be coming be the first quarter next year. At the moment, we are not seeing much allocation from USA,” another market source added.