CommoPlast Article

A key local producer in Malaysia has announced September shipment offers to domestic market with MYR 80/ton ($19/ton) reductions on all PP grades, reflecting the weakness across the region while keeping PE stable from the previous month.

Material	Price List on 26 Aug. 2021	USD Equivalent	Monthly Changes	USD Equivalent
*Combined and Reported by CommoPlast*
PPH film	RM5,910	$1,407	-MYR 80	-$19
PPH yarn	RM5,710 - 5,810	$1,371 - 1,383	-MYR 80	-$19
PPH inj	RM6,010	$1,431	-MYR 80	-$19
BOPP	RM6,200	$1,476	-MYR 80	-$19
PPBC	RM5,820 - 5,890	$1,386 - 1,402	-MYR 80	-$19
PPRC	RM6,100 - 6,200	$1,452 - 1,476	-MYR 80	-$19
HD film	RM5,230 - 5,790	$1,245 - 1,379	-	-
HD blow	RM5,360	$1,276	-	-
HD inj	RM5,410 - 5,510	$1,288 - 1,312	-	-
HD yarn	RM5,320	$1,267	-	-
LD film	RM6,590	$1,569	-	-
LD inj	RM6,790	$1,617	-	-
LD coating	RM6,830	$1,626	-	-
LD Gen Purp	RM6,450	$1,536	-	-
LLDPE Film	RM0	-	-	-
All based on FD Malaysia terms Exchange rates: USD 1 = MYR 4.20

Malaysian buyers initially expected the producer to implement increases on both PP and PE grades due to the bright demand outlook as the country eases lockdown measures and manufacturing sector is ramping up operating rates.

“But overseas markets are bad. Key exporting destinations including China, Vietnam and Indonesia are not active in off-taking cargoes, hence the reduction in the local ground,” a market source commented.

Meanwhile, converters remain conservative in making large replenishments, hoping to obtain additional discounts. Apparently, end product demand slows to pick up even though the country starts to reopen from the strict movement control, as consumers refrain from going out amid the continued rising number of infection cases.

Malaysian maker cuts September PP offers to local market, maintain PE unchanged