Saudi maker lifted homo-PP offers to Vietnam, China on limited supply

A major Saudi Arabia producer has announced fresh homo-PP offers to Vietnam and China with $30/ton and $20/ton hike respectively compared to last week. Limited supply due to persistent plant issue is the main driver supporting the quick price hike.

The producer’s latest price list stands at $1150/ton to Vietnam and $1110/ton to China for both yarn and injection grades, all based on CIF/CFR, LC AS term.

Buyers are not surprised with the firming trend but find it difficult to accept the hike given the state of end product demand and cloudy outlook. 

“We plan to bid at $1120/ton, which is unchanged from last week. Prices are escalating too swiftly and might remain firm in the near term, however, we are not confident to procure large quantity,” a Vietnamese woven bag maker informed. The source added that duty-free cargoes from Thailand are also priced at $1150/ton CIF Vietnam, making the Saudi material less competitive. 

A distributor source informed about the lack of homo-PP injection quantity due to the persistent plant issues that the producer has been facing since late February.