06 Sep 2021
Data from CommoPlast showed that at the current ethylene price of $1030/ton CFR Northeast Asia, local PE producers in China are facing negative margins.
A key local producer in Indonesia has opened fresh weekly prices with moderate price reductions on all PP grades, under extreme pressure from the distribution market.
Apparently, spot homo-PP has more support than PE because of the shutdown at Datang Duolun Coal Chemical Corporation due to the coal consumption control.
Demand for homo-PP remains relatively healthy compared to last week, while buyers seem to lack interest in other grades on the first trading day of the week.
03 Sep 2021
The firmer offers are primarily driven by the stronger upstream styrene costs, which track the higher energy market and an uptick in demand in the nearby China market.
Meanwhile, local traders attempt to push out as much quantity as possible, fearing that the market might slip into holiday moods toward the end of the month.
Trading sentiment on the Shenhua auction platform remains healthy on the final day of the week despite the higher price levels set by the producers.
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