Diminishing demand weight down Asian PET market

The Asia PET market this week extended further reduction compared to last week in the face of weak demand and pressure from the energy market. Chinese PET is reported at $20-30/t lower to reach $750-760/t FOB China term, yet many players are complaining about the difficulties in concluding deal.

A Chinese producer informed, “Market sentiment is getting weaker as buyers have already replenished sufficient material and now going off for the long holidays. We expect demand to pick up in March as it is the traditional peak season for PET bottle application.” A beverage bottle maker in China confirmed this by claiming to have purchased sufficient cargoes from local suppliers at CNY5700-5800/t ($740-755/t excluding VAT) EXW China, and not in need to buy additional quantity in the near term.

An international trader added, “We are offering Chinese PET to Japan at $750/t FOB term and received bid at another $20-30/t lower. Weak energy and upstream costs are pressurizing the market, and we are not confident about the outlook in the coming days.”

Demand in Southeast Asian market appears to be not so encouraging with an Indonesian buyer stated, “We have sufficient material for the coming month already, hence not in rush to make additional purchases. We expect a softer outlook for PET in the near term owing to the approaching Chinese New Year holidays, hence we prefer to conserve wait-and-see stances.” 

Import PET prices to Southeast Asia market currently stand at $770-790/t CIF, LC AS term.

Kindly visit CommoPlast PET Price Table for China and Southeast Asia market, or contact us at commoplastinfo@gmail.com for assistance.