The highlight of the local PE market is the sharp decline in spot LDPE film prices amid the loosening supply outlook. In spite of the initial mixed pricing trend, spot LDPE film offers on 16 October indicated a CNY 200/ton reduction from the previous week.
The Southeast Asian PP market continues to experience a tug-of-war between sluggish demand and heightened concerns over volatile energy prices, exacerbated by geopolitical tensions in the Middle East. While some Chinese suppliers have slightly reduced their import offers by $10/ton, most regional sellers are attempting to hold firm on their current price lists
However, the expectation among Chinese buyers for additional price reductions persists. Nevertheless, market data suggests that any substantial cuts are unlikely in the short term, as current price levels are nearing the cost threshold for producers.
While the local PP market experienced a pronounced downturn, the PE sector saw a mixed bag of price movements, reflecting a lack of consensus among sellers. Some sellers opted for a modest increase of CNY 50-100/ton, while others reduced their offers by a similar margin.