CHINAPLAS ’13: More traders in east, north China to sell PP to south
21 May 2013 10:58 [Source: ICIS news]
GUANGZHOU (ICIS)--Increasing number of traders in east and north China are now trying to sell polypropylene (PP) to the southern part of the country, an industry source said on Tuesday.
The price of PP in south ?xml:namespace>China is higher than that in east China and north China.
The price of PP yarn in south China on 20 May was at yuan (CNY) 10,600-10,700/tonne ($1,726-1,743/tonne), while the price in east China was at CNY10,350-10,600/tonne and the price in north China was at CNY10,250-10,500/tonne, according to Chemease, an ICIS service in China.
Furthermore, the source said at the Chinaplas conference that the freight rate from east to south or from north to south was no more than CNY300/tonne. Hence, there are margins.
Industry sources said the gap is wide partly because there are no methanol-to-olefins (MTO) or coal-to-olefins (CTO) plants which produce cheaper PP in south China.
Chinaplas, Asia’s largest plastics raw material and machinery exhibition, runs on 20-23 May.
($1 = CNY6.14)By: Lizzie Yu
For the latest chemical news, data and analysis that directly impacts your business sign up for a free trial
to ICIS news - the breaking online news service for the global chemical industry.
Get the facts and analysis behind the headlines from our market leading weekly magazine: sign up to a free
trial to ICIS Chemical Business.