Saudi maker slashed homo-PP offers to Vietnam; small transactions observed

A major Saudi Arabia producer has reportedly stepped back on import homo-PP offers to Vietnam from the initial prices by $20/ton after a weeklong negotiation. Latest prices stand at $1300/ton CIF Vietnam, LC AS term, and several deals have been observed. 

It is important to note that the maker’s homo-PP allocation to Vietnam for June shipment is only approximately 300 tons, and therefore, buyers reluctantly accepted the offers in small quantity.

“Our customers are not very eager to make replenishment at the moment, however, the quantity is small and we managed to sell off very quickly. Most buyers are expressing the expectation that market has hit the peak, hence prefer to wait for discounts,” a distributor added.

Last Friday, import homo-PP from another Saudi Arabia producer achieved deals at $15-20/ton discount from initial price list at $1300/ton for injection grade and $1305/ton for yarn grade, all based on CIF Vietnam, LC AS term. This could be the market ceiling prices at the moment, sources commented.