20 Feb 2023
On the other hand, Zhongjing Petrochemical and other PP producers are falling under rising cost pressure as both propane and propylene hit multi-month highs on supply tightness.
As discussed earlier, the twelve months uptrend has reached a plateau and likely to see minor corrections as sellers attempt to attract sales ahead of the fasting month and the Ramadan season.
The surge in PE prices is supported by the reduced availability across South Korea and the Middle Eastern region and the rising upstream ethylene costs. Still, the demand in Southeast Asia might not be strong enough
Market participants continue to wait on the sidelines while hoping for more stimulus from the government on the Two Session Congress meeting this 5 March 2023.
An increasing number of buyers told CommoPlast they plan to source just the needed quantity from the domestic market to avoid currency exchange risks, especially when the economic outlook remains cloudy.
The producer maintained a neutral pricing strategy, avoiding any abrupt and sharp price hikes to keep buyers active.
16 Feb 2023
Weak demand has been pressurizing the market, however, the recent start-up at CNPC Guangdong Petrochemical (Jieyang) and Sinopec Hainan Refinery stoke fears over the rising domestic availability.
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