Import homo-PP broke below $1000/ton threshold in Vietnam

Vietnamese players reported seeing import homo-PP from Middle East breached below the $1000/ton threshold today to reach $980/ton CIF Vietnam, LC AS term. This price level was last seen during mid-March 2016. Market participants are blaming such reduction to stubborn sluggish regional demand.

A trader commented, “We only purchased a small quantity after our supplier agreed to $20/ton discount from initial offer. Domestic market is pretty quiet, hence we think the downward pressure might persist in the near term.”

Another buyer added, “We refused to make any fresh replenishment as we see very little support from local demand despite firmer energy and upstream values. At the moment, we prefer to remain on the sideline waiting to see clearer market direction before plan further move.”

Import homo-PP prices to Vietnam is currently reported at $980-1020/ton, based on CIF Vietnam, LC AS term.