The January ethylene contract price in Europe was agreed at EUR40 per tonne lower than December. However, for some types of polyethylene (PE), European manufacturers did not accept a decrease in export prices of PE for shipments in the CIS countries, proportional to the monomer, in the ICIS-MRC Price Review.

Negotiations on the January PE deliveries from Europe to the markets of the CIS countries started last Tuesday. A decrease in the contract price of ethylene in the region by EUR40 per ton suggests a similar decrease in the cost of PE production. For some types of polyethylene, European manufacturers have reduced prices by an amount greater than the decline in the price of monomer. For some, the price reduction was less than the monomer price reduction. In general, European PE fell at EUR30-50 per ton, depending on the type.

In particular, deals on January shipments of low-pressure polyethylene (HDPE) were in the range of EUR1 050-1 075 per tonne, FCA, for blown and injection polyethylene, which is EUR30 per tonne lower than the December level. Injection PND fell to EUR1 000-1 030 per ton, FCA.

The prices of black pipe HDPE of PE100 class are fixed in the range of EUR1 220-1 260 per ton, FCA, which is EUR30 per ton below the level of December.

The January shipment of European high-pressure polyethylene (LDPE) was in the range of EUR930-985 per tonne, FCA, while a month earlier the deals were in the range of EUR980-1,035 per tonne, FCA.