Asian PET Market Faces Price Decline Amid Weak Demand and Feedstock Pressure

Key Takeaways

• Polymer Pricing: PET prices in India are stable at ₹91,000 per metric ton for RELPET G5841.
• Market Dynamics: Weak demand and lower feedstock costs drive price declines globally.
• Regional Trends: Asian PET prices dropped by 3.2%, with similar reductions in MEG (3.0%) and PTA (5.9%).
• Production Updates: Chinese and Taiwanese producers restart or shut down facilities for maintenance, indicating fluctuating supply chains.
• Competitive Offerings: Malaysian and Taiwanese producers set competitive polymer prices for Southeast Asian markets.

Polymer Prices: PET Prices Steady in India Amid Global Decline

• The price of Polyethylene Terephthalate (PET) in India is reported at ₹91,000 per metric ton for both the RELIANCE brand, grade RELPET G5841, at two different locations: Ex Bhiwandi and Ex Mundra.

Polymer Demand Dips as Feedstock Costs Fall

• The global market for Polyethylene Terephthalate (PET) has seen a noticeable decline in prices, primarily due to weak demand and insufficient support from feedstock costs.
• This trend has been observed across various regions, reflecting challenges in the PET industry.
• In the Asian market, PET prices dropped by 3.2% since early November. This depreciation was driven by low production costs and limited downstream inquiries.
• MEG prices in Asia fell by 3.0%, and PTA prices decreased by 5.9%, attributed to the typical seasonal lull in market activity. Supply for PET remained abundant, but demand was notably low.

Polymer News: Production Updates from China and Taiwan Signal Market Shifts

• A Malaysian producer offered PP Film for the domestic market at the equivalent of US$ 1130/MT, PP Yarn and Injection at US$ 1100/MT, PP Thermoforming at US$ 1130/MT, PP Fibre at US$ 1150/MT, PP BC at US$ 1120/MT, PP RC at US$ 1220/MT, HDPE Film at US$ 1080/MT, HDPE Blow Moulding at US$ 1080/MT, HDPE Pipe at US$ 1120/MT, HDPE Yarn at US$ 1080/MT, LDPE Film at US$ 1300/MT, and LDPE Lamination at US$ 1400/MT, CIF Indonesia.
• Zhejiang Petroleum & Chemical (ZPC) has restarted its No.3 Styrene Monomer (SM) Plant after maintenance. The plant is located in Zhejiang, China.
• Anhui Jiaxi New Material has shut down its Styrene Monomer (SM) Plant on November 20, 2024, for maintenance work. The plant is located in Anhui, China.
• Formosa from Taiwan offered PVC S-65D at US$ 810/MT per CIF Nhava Sheva/Mundra, US$ 720/MT FOB Taiwan, US$ 760/MT CFR China, and US$ 790/MT CFR SEA for December 2024 shipment.

Expert Opinion: Competitive Pricing in Southeast Asia’s Polymer Markets

It is expected that the PET market will continue to face moderate demand, hindered by a lack of new orders, reflecting low purchasing sentiment and minimal buying activity.