Import homo-PP to China weakened, deals improved

Several major Middle Eastern homo-PP suppliers have decided to lower their offers to China today after two weeks holding firm on their prices due to persistent sluggish buying interest and softer trend in near by Southeast Asia market. On an average, prices based on CFR China, LC 90 days have inched down $10-30/ton compared to yesterday, yet this seems to touch the market acceptance point which trigger a good respond from buyers’ side.

A distributor sold Omani homo-PP injection at $960/ton CFR China, LC 90 days term, some $20-30/ton reduction compared to earlier this week said, “We managed to sell quite well at the new price levels, mostly to converters. We are not having any yarn cargoes at the moment. It appears that buyers are attracted to the offers at the lower end of the overall price range as local cargoes are now traded at much higher levels.”

Another trader sold Saudi Arabia homo-PP yarn at $960/ton CFR China, LC 90 days term said, “We cut our offers by $10-20/ton from yesterday as the previous price levels were not very attractive. Our customers appear to just wait for the discount to come, and indeed we manage to sell a good quantity after the reduction.”

CommoPlast data shows that at the moment import homo-PP to the country is about $73/ton lower than local market, on an average, which could play an important role in steering buyer’s attention to the import ground.