Market participants anticipated heightened challenges for the PVC sector, driven by slothful domestic demand recovery and rising international trade barriers, particularly in India. Adding to these difficulties are renewed shipping bottlenecks, which further weigh on an already lethargic market.
The PP block copolymer market remained relatively subdued this week, a trend expected to continue in the near term as buyers have exhausted their annual import quotas and are in the middle of quota renewal. Both Indonesian importers and overseas suppliers are exercising caution, refraining from cargoes that are scheduled to arrive in January.
The polypropylene (PP) block copolymer market remains subdued, impacted by both ongoing macroeconomic uncertainties and the impending expiration of import quotas in December 2024. Buyers are notably hesitant to commit to deep-sea shipments due to concerns that these cargoes may arrive before the renewed quotas can be secured
In the local Indonesian market, HDPE and LLDPE film suppliers have implemented modest price increases, attributing this to tighter spot availability and escalating restocking costs due to the Rupiah's ongoing depreciation against the US dollar.
Despite the supply concerns, demand remains muted. Converters in the flexible packaging sector report no significant improvement in end-product demand, and ongoing collection issues have pressured many to limit sales, prioritizing financial stability over volume.