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As market sentiment across Asia region turns sour due to slower than expected recovery in demand after the long Lunar New Year holiday in China, import homo-PP to Vietnam has been steadily going lower over the past week. Today, a major Saudi Arabia producer decided to cut offers for the third time in two weeks, bringing latest price list to $1260/ton for yarn and $1250/ton for injection grade, all based on CIF Vietnam, LC AS term.

Deals have been achieved with additional $15-20/ton discount at $1240/ton for yarn and $1235/ton for injection grade, with the same term. However, buyers are not aggressive, instead, more on catching the bottom strategy.

“We are not very optimistic about the medium-term outlook and May and June is traditional low demand season, which also clashes with Ramadan month this year. We are taking a very cautious stance as there are still some rooms for additional reduction in the coming days, and hence we only purchase a small quantity this time,” a buyer commented.