Persistent rise in Asian polyethylene offers to Brazil

27-Feb-12

Asian polyethylene offers to Brazil witnessed a US$20-50/mt rise week on week, as per Platts. The import market has been slow this week due to the Carnival holiday in Brazil. As per a trader, Braskem announced a hike of Reals 250/mt in polyethylene offers for the domestic market which could lead to a healthy import market next week. Despite the recent hikes, Asia continues to be the yardstick for the import side in the South American market as offers from USA to Latin America are US$50-$200/mt more expensive than the Asian ones. Asian HDPE film to Brazil increased by US$20-$30/mt, offer from Saudi Arabia was heard at US$1600/mt CFR, from Taiwan at US$1610/mt CFR and from Thailand at US$1630/mt CFR with some bids at US$1570/mt CFR. Some LDPE film offers from Asia to Brazil rose by fifty dollars in the week, reaching levels of US$1630/mt CFR from Thailand and US$1680/mt CFR from Malaysia. Turkey was offering LDPE to South America at US$1680/mt CFR. Saudi Arabia was still offering at US$1580/mt CFR. LLDPE butene offer from Saudi Arabia to Brazil was at US$1500/mt CFR, from Thailand at US$1510/mt CFR and from Korea at US$1530/mt CFR. US offers to South America for HDPE film were US$100-130/mt higher than those from Asia at US$1700/mt CFR.