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Player in Southeast Asia market reported that PP supply in the region appears to be tight which encourages international suppliers to push prices up. In fact, import offers to the region have gained $20-40/t compared to the pre-holidays level.

A major Thailand maker decided to increased homo-PP prices by $30/to to reach $930-940/t CIF Southeast Asia, LC AS term. Source from the producer informed, “Our PP line encountered an unexpected shutdown early this week and we are not sure how long the plant would remain offline. At the moment, we only have very small quantity to offer to regular buyers.”

Meanwhile, another Philippines PP maker said, “We have sold out PP allocation till end of Apr, hence we are not offering anything at the moment. With a number of plant issues in the region, we believed that PP supply would be tight in the near term.”

Market also received new homo-PP offer from a major Indian producer with $40/t higher than before the Chinese New Year at $890/t CIF Vietnam, LC AS term. A buyer received the new offer commented, “Our supplier informed that they have very limited allocation for export this time as they need to meet robust demand in local market. We think that this level is a bit too high and we prefer to wait until Chinese buyers completely return to the market after the Chap Goh Mei celebration to have clearer market direction.”

In the production news, The Polyolefins Company (TPC) Singapore reportedly lower production rate due to lack of propylene supply resulted from an unexpected shutdown of Shell’s cracker. Buyers informed that they should be receiving a reduced allocation from the producer at least till August this year. 

Import offer for homo-PP to Southeast Asia market currently stand at $840-940/t CIF, LC AS term.

Kindly visit CommoPlast Daily Price for detailed daily prices in China and Southeast Asia market, or contact us at commoplastinfo@gmail.com for assistance