PET buyers sidelined on uncertain outlook
In Southeast Asia, PET prices witnessed no major changes over the past week while activity was limited as buyers were said to be limiting their purchases in response to the uncertain market outlook. Import PET prices were quoted at $810-840/ton CIF SEA, cash equivalent basis, slightly firmer when compared with the prior week. A converter reported receiving offers for South Korean PET at $840/ton and Thai PET at $830/ton CIF, commenting, “We are delaying our purchases until we can get a clearer idea of the market outlook. We are seeing normal demand for our end products and are planning to source some material before the Chinese New Year holidays, but we will determine the timing of our purchases based on market developments.” A trader offering Chinese PET at $810-820/ton CIF stated, “Trading activity is limited in the first week of the year as volatile oil prices and the slump in China’s stock market pushed buyers to the sidelines. PET prices are mostly steady for now, but we anticipate further reductions in oil prices remain below the $35/barrel threshold.” Prices also followed a stable to slightly firmer trend in the region’s local markets, with a Malaysian producer stating that they lifted their local prices by MYR50/ton ($12/ton) while maintain their export prices.