Petrotahlil - Turkey’s import PPBC inj. market had hovered within a narrow range since mid-July up until now amid some increase attempts and modest replacement activities. This was due to the fact that activity cooled off following a 15-week bullish run.
In September, the rising trend resumed as South Korean producers lifted their prices again for new shipments citing output issues. Multi-month high propylene prices in Asia contributed to the firming. According to ChemOrbis Price Wizard, spot propylene prices hit almost an 8-month high on FOB South Korea basis, while they reached a 4-month high on CFR China basis by late last week.
South Korean PPBC inj. prices were reported at $1080-1120/ton CIF Turkey, cash no duty in H1 September. The range pointed to $20-50/ton increases with respect to the last week of August, as per data from ChemOrbis.
A trader reported, “We were offered at $1080/ton CIF while our bid at $1070/ton was rejected by our Korean source. They said they plan to issue another $10/ton soon, moreover. Higher import prices are creating an upward pressure on the locally-held market nowadays.”
South Korean SK is reportedly conducting a planned maintenance at its plant, while Lotte Chemical did not have much volumes to allocate either. A player said, “Suppliers preferred to sell their materials to China, India and North Africa given better netbacks compared to Turkey.”
Follow us on twitter@petrotahlil
Source : ChemOrbis