In H1 June, players expect an increase in demand for PE and PP. "June is the last 'strong' month in terms of manufacturing, then come vacations, production downtime, etc., we expect an increase in consumer activity. We anticipate that some firms will make stockpiles," - one Polish trader has said.
From next month, materials shortages from Asia are expected due to a doubling of polymer transportation costs.
As previously reported by Chem-Courier, demand for food film and plastic bottles may increase in the near future due to European events such as the Olympics and the Football Championship, which will take place this summer.
PE
- Market players have noted that compared to LDPE and PP, HDPE was the least sought after.
- Some traders have reported seeing a shortage of imported HDPE.
- There has been a shortage of blow-moulding in the market.
- Players have noted a shortage of LDPE with MFI=0,3, although some traders have material in stock.
- Market players have claimed that there has been a limited supply of C4-LLDPE with MFI=20 and MFI=50 due to delivery issues from the main manufacturer in Saudi Arabia.
- Some traders who had stocks on hand have tried to sell European material at a discount of €10 - 20/t, but due to low demand, Offers were practically rejected.
- Off-grade PE materials cheapened compared to the previous week.
- Many sales firms have kept prices at the previous week's level. ‘There is no demand, we are waiting for June and new prices,’ a market player has added.
PP
- The last week saw low activity from PP consumers. ‘We had concerns about availability and prices, but purchases were minimal,’ a market representative has said.
- Players have noted an off-grade materialshortage. However, there is no scarcity of virginones.
- Serbian and Slovakian producers have closed their order books in the middle of the month.
- It became known that the Turkish PP producer is limiting material availability for June due to maintenance work at the plant.
- Market players have noted a shortage of PP with high melt flow rates.
- The average price of European PPhas remained at last week's level. However, some traders have offered material at a discount of around €20/t.
