Korean PE offered above $1200/ton threshold in Vietnam

Vietnamese players reported to have received new PE offers from a major South Korean producer at above $1200/ton mark this week, hitting $1205/ton for LLDPE film and $1210/ton for HDPE yarn, all based on CIF Vietnam, LC AS term. This is the first time import PE to Vietnam jump above the mark since late April, thanks to improved demand condition in China and surging upstream costs.

Buyers on the other hand, still showing resistance to such drastic movement and many prefer to wait for other international sellers to open new offers before taking position. A market source said, “We are not able to accept cargoes above the $1150/ton at the moment though it is clear that September shipment offers are moving higher. This is because ethylene market has reached multi month high levels and there is a risk that small correction might take place.”