Based on players’ reports, a number of irregular origins have made their way to the PP markets in Italy and China over the week, putting pressure on regional sellers to continue reducing their prices, which have been tracking a downward trend for the last few months in both markets, as per ChemOrbis. The newly emerged origins were attributed to the current economic climate across the globe, as well as sluggish demand in other global polymer markets, some of which saw thin activity this week in the absence of buyers due to the Eid holiday in Muslim countries.
PP players in China reported that irregular Israeli origins appeared at the lower end of the price ranges this week. According to some traders, more irregular origins are likely to make their way to the Chinese market in the weeks ahead owing to globally slow demand conditions, maintaining the pressure on mainstream suppliers. Italy’s local market has also been attracting PP cargoes from overseas countries for some time, with players reporting Singaporean and South African origins this week at much lower prices compared to that for West and South European origins. A converter who purchased some Singaporean cargoes from a local reseller said he found the done deal level very competitive. The firm exchange rate parity, which has been hovering around 1.38 recently, allows non-European sellers to offer relatively competitive prices on euro basis to Italy. A buyer, meanwhile, expects to receive new import offers for Indian origin with monthly decreases for November.