Malaysian producer slashes December PP, PE offers to Indonesia

A major Malaysian producer has reportedly opened fresh PP and PE offers for December loading to Indonesia with large decreases from November, reflecting the intense downward pressure from the sluggish demand regionwide. 

The producer’s latest price list and changes month on month are shown in the following table:

While buyers might be more interested in the PE cargoes due to the lack of availability from other sources, it is expected that homo-PP parcels would face stiff resistance in this market, especially with the presence of competitive Chinese and South Korean materials. 

“The challenges are the constant weakening domestic market in recent weeks. Buyers might take time to negotiate for steep discounts before making purchases,” a market source said.