Market Dynamics
Prices of European PE rose by EUR20-30/tonne
Time: 2014-06-11 Source from: mrcplast
MOSCOW (MRC) -- European producers have announced an increase of EUR20-30/tonne from May in prices of polyethylene (PE) to be shipped in June to the CIS markets, citing higher ethylene prices and limited export quotas, according to ICIS-MRC Price report.
The June contract price of ethylene in Europe was agreed up by EUR10/tonne from May. European producers announced a more significant price increase for June PE shipments to the CIS countries on the back of higher prices of the basic feedstock (ethylene) and reduced production, which resulted in limited export quotas.
Negotiations over European PE prices for June began this week. Deals for low density polyethylene (LDPE) were negotiated in the range of EUR1,260-1,330/tonne FCA. Some producers said they had contracted all their export quotas over the first three days of the trades.
Deals for June shipments of high density polyethylene (HDPE) were negotiated in the range of EUR1,175-1,240/tonne FCA, up by an average of EUR20-30/tonne from May. European producers" export quotas were also limited in the HDPE market with pipe grade PE100 to traditionally account for the greatest shortage in supply.