Fresh FOB Korea deal done for prompt loading.
Downstream markets stay firm to steady.
The Asian ethylene market was quiet on June 26 as most buyers in Northeast Asia were away due to public holidays.
A key South Korea-based producer concluded a deal through a sell tender at $850/mt FOB Korea, with the cargo loading date of July 3-7, a market source said.
“Considering the freight cost from South Korea to China to be about $50-$60/mt, the CFR price [of the cargo] is about $900/mt.
This cargo may match the demand from a Japan-based producer for term delivery obligations,” said the source.
Platts Asian Ethylene Daily Rationale
The CFR Northeast Asia ethylene spot price was assessed unchanged day on day, and up $10/mt week on week, at $850/mt on June 26, below a selling indication at $850/mt FOB Korea plus freight at around $50-$60/mt, amid muted discussions.
The CFR Southeast Asia ethylene price was assessed unchanged ay on day and week on week at $790/mt on June 26, above a bid at $730/mt FOB Southeast Asia plus freight at around $40-$50/mt, below selling indication at above $750 FOB Southeast Asia plus freight at around $40-$50/mt, amid lack of firm trades.
FOB Korea ethylene was assessed up $10/mt week on week at $815/mt on June 26, below a selling indication heard at above $850/mt, and tracking the trend in the CFR Northeast Asia market.
A deal was heard concluded at $850/mt FOB Korea for a 3,500-5,000 mt cargo loading over July 3-7.
However, this deal was excluded as the loading date range was not within the Platts assessing range.