Qatar maker cuts PE offers to China, healthy transaction achieved

A major Qatari producer has announced weekly PE offers to China with $20/ton reduction on LDPE film compared to the previous announcement to $1160/ton CFR China, LC AS term. Meanwhile, LLDPE film prices remain unchanged at $1150/ton with the same term.

The maker withdraws the offers for LDPE film shortly after opening new prices given the satisfactory response from the market. A buyer confirmed ten containers of this grade said, “There is no more quantity available though we have extra inquiries. The market is very active today.”

Other buyers, who confirm orders later, are unable to obtain any container. This highlights the possibility that import LDPE film to China might have reached the bottom. “This level is about CNY100-200/ton ($16-32/ton) below the current domestic prices, hence trigger demand. The market is entering long weekend holiday next week, and it very much depends on the inventories digestion rate, the near-term trend might only gain stabilization,” a source added.