NWE LDPE place rates slide; agreement costs under pressurePosted by Oddershede Poulsen on February 3rd, 2021 European reduced density polyethylene place prices dipped today by Eur10/mt ($ 14.86/ mt), shutting Wednesday at Eur1,460-1,465/ mt FD NWE on improved product accessibility and slow need. Upstream energy markets additionally softened today. European naphtha shut Wednesday at ,046.25/ mt CIF NWE, down .50/ mt on the week. At the same time, agreement cracker margins improved. The rise in May olefin rates prompted agreement cracker margins to greater than dual in May from April, closing Wednesday at Eur157/mt. Turkish item was heard being provided at European main ports at Eur1,350-1,390/ mt CIF, resources stated. A converter reported getting Turkish product at Eur1,450/ mt FD NWE. European traders and also distributors costs deals went to Eur1,480-1,510/ mt. " here is exhausted with rate increases," a representative claimed. "The Eur25/mt increase in ethylene May agreement cost will not likely hand down to polyethylene." Spot costs were as a result analyzed down Eur10/mt at Eur1,460-1,465/ mt FD NWE. In Turkey also, place rates retreated to ,730-1,735/ mt CFR, as schedule of Iranian item and also relaxed demand remained to depress costs, resources said. In the UK, area costs were additionally listened to softer. "Bids have fallen to GBP1,250/ mt ($ 2,064/ mt) FD, while offering interest continues to be at GBP1,270-1,280/ mt FD," a source stated. In the April contract market, converters reported working out at either rollover or an increase of Eur10/mt. Platts LDPE assessment for April went to Eur1,620-1,625/ mt FD NWE, a Eur10/mt increase for the month. " April was a short month, as well as in addition to far better accessibility of LDPE, we worked out either at a rollover or an increase of Eur10/mt with our distributors," a converter reported. The May contract market was still in change, resources stated. A major European manufacturer stated it was taking a look at a reduction in contract rates by Eur25/mt in Europe and GBP50/mt in the UK. " The marketplace is weak," he claimed. "Gross prices for May for us are Eur1,590-1,595/ mt FD in NWE and GBP1,300/ mt in the UK." But some producers were targeting rises. The ethylene May agreement worked out at record high degrees of Eur1,230/ mt, an increase of Eur25/mt on April. Dow announced a rise of Eur100/mt for LDPE May contracts. Many converters were still to position themselves securely. "End-user need is slow as well as credit lines are maxed out," a converter claimed.Like it? Share it! More by this author |