APLA ’12: Weak PET demand projected for 2013

11 November 2012 17:25  [Source: ICIS news]

RIO DE JANEIRO (ICIS)--Demand for polyethylene terephthalate (PET) in the Americas and other global regions has been below expectations in 2012 and is expected to remain weak in 2013, a market participant said on Sunday.

The increasing use of recycled PET (R-PET) is partly to blame for lacklustre demand of virgin material, the participant said on the sidelines of the Latin American Petrochemical Association (APLA) annual meeting.

Mexico’s R-PET share of PET consumption is estimated at 7-9%, and would be greater if additional R-PET production capacity were available, the source added.

In years prior to 2012, virgin PET consumption was rising steadily year on year, and had been expected to continue growing along similar lines until demand slowed this year, the source said.

Also contributing to weaker PET demand are the health concerns about soft drinks reducing demand for the bottles used to create soft drinks, re-use of empty PET bottles, reduced purchasing power because of the global recession, slowing growth rates in China and declining demand for polyester fibre.

The APLA conference ends on Tuesday.


 


By: Ron Coifman
+1 713 525 2653



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