Buyers of polyethylene (PE) expect a decline in prices in the European market in May amid a slight decrease in spot prices last week, ICIS sources told the market.

At the same time, most traders are very reluctant to sell their stocks of material.

“I do not have large stocks, why should I sell my stuff?” Said one of the traders.

Spot prices for high-density polyethylene (LDPE) decreased by about EUR20 per tonne, LDPE last week was sold below the level of EUR1,300 per tonne of FD NWE (with delivery to North-West Europe), which is the lower part of the price range.

At the same time, spot prices of butylenes of linear polyethylene (LLP) C4 are no longer at a high level in EUR1,200 per ton, prices have decreased by approximately EUR20 per ton, according to the data of most market sources.

Prices of low-density polyethylene (HDPE) remain the lowest among the remaining PE grades, negotiations for spot material prices were conducted in the EUR1 200-1 220 per ton range.

Despite this, the buying activity is low.

“I saw a drastic reduction in demand, buyers want to get lower prices, but I do not have stock of material,” said one of the traders.

According to the Price Review of ICIS-MRC, the buying activity in the Russian PE market is still low. The introduction of restrictions on road transport on regional roads, planned shutdowns of Kazanorgsintez and Stavrolen did not lead to a significant increase in demand for PE in April. As a result of the past week, there was a rise in PE prices, but this is mainly due to the increase in the cost of logistics costs. All in more regions there are problems, there are problems with the freight of motor transport.