Major Chinese manufacturers PetroChina and Sinopec have lowered their prices for low-pressure polyethylene (HDPE) for blow molding in southern China amid growing supplies, ICIS reports.
PetroChina blown HDPE prices were at the level of CNY 7,900 per tonne, EXW, which is CNY200 lower from the previous day.
Sinopec offers blowing HDPE at a price of CNY8,400 per tonne, EXW, which is lower at CNY50 per tonne lower than the previous day.
In the market, traders were offering prices for blowing HDPE at the level of CNY7 700-8 250 per ton.
Earlier it was reported that in October, Sinopec and PetroChina proposals for blowing HDPE fell to CNY8 of 350-8,500 per tonne, EXW, which is CNY150 lower compared to the proposals in the second half of September.
According to the ICIS-MRC Price Review, last week in Russia, HDPE production resumed after prolonged preventive downtimes by Stavrolen and Kazanorgsintez, whose stops started on September 6 and September 26. The total annual capacity is 840 thousand tons.
The exit of the two largest HDPE manufacturers from long downtimes increased pressure on the market and led to a noticeable reduction in prices for a number of items.
The manufacturers of blown HDPE in China are PetroChina Dushanzi Petrochemical, CNOOC and Shell Petrochemical, Sinopec Maoming Petrochemical and Sinopec-SK Wuhan Petrochemical.