One of the local traders in Indonesia revealed to SSESSMENTS.COM that most traders in the country have adjusted down its local PE offers further this week amid an unprecedented drop in downstream demand. As such, the trader quoted lower offers to the domestic market this week in response to a wave of price cuts in the market. In contrast, good downstream demand has contributed to the increase in PP prices this week.
As compared to Monday’s level, the trader initiated a price reduction of IDR300,000/ton ($20/ton) for LLDPE Film C4, on the back of sour demand and influx of imported cargoes. The trader emphasized that the influx of imported cargoes and bearish macroeconomic conditions will continue to put a lid on the potential rebound in LLDPE Film C4 prices. Similarly, SSESSMENTS.COM was informed that local HDPE Film offers from the trader’s end were slightly down by IDR100,000/ton ($7/ton) as compared to the same period. Supply shortage served as a cushion for HDPE Film offers from falling further. As for PP, the trader applied a price increase of IDR100,000/ton ($7/ton) on PP Homo Film, PP Homo Injection, and PP Homo Raffia from a week earlier, holding firm on the back of healthy demand.
