Thailand HDPE film slipped below $1350/ton mark in Vietnam

Several Vietnamese players reported having purchased Thailand HDPE cargoes at $1340/ton for film and $1350/ton for yarn grade, all based on CIF Vietnam, LC AS term. Such move rocked the HDPE market, which has been retaining the firm stance over past months on the supply tightness condition. 

“Most other Middle Eastern cargoes are still priced at around $1380/ton level and that make Thai cargoes more competitive given the shorter shipping time. We purchased a small quantity while waiting for further reduction,” a buyer informed.

Other market players have started leveraging on the latest development and become more aggressive in bidding for other cargoes. “We received bids at as low as $1320/ton for Kuwait HDPE film and we find it very difficult to attract deal at the moment. This could drag market lower in the near term,” an international trader complained.

Though players are not expecting import HDPE film to breach below the $1300/ton threshold, most are hoping to see small to moderate decrease in the coming days. “We would buy in larger quantity if overseas sellers agree to $1320-1330/ton CIF Vietnam levels. Demand across the region is soft and there is a good chance for us to achieve such prices,” a converter added.