China’s May LLDPE futures down 1.07% on upcoming PE plant restarts

18 December 2013 10:23 Source:ICIS News

SINGAPORE (ICIS)--China’s linear low density polyethylene (LLDPE) futures decreased by 1.07% on Wednesday, in tandem with the upcoming restart of local PE plants, industry sources said.

Fujian Refining & Petrochemical (FREP) plans to restart its two 400,000 tonne/year high density polyethylene (HDPE)/LLDPE swing plants on 19 December in Fujian province after two months of maintenance, according to the company source.

May LLDPE futures, the most actively traded contract on the Dalian Commodity Exchange (DCE), closed at yuan (CNY) 11,070/tonne ($1,824/tonne), down by CNY120/tonne compared with the previous day.

Around 810,000 tonnes of LLDPE were traded for delivery in May, according to the DCE data.

In the spot market, prices for the locally produced cargoes were assessed at CNY11,600-12,200/tonne, down by CNY50-100/tonne from 17 December’s levels at CNY11,700-12,250/tonne, according to Chemease, an ICIS service in China.

($1 = CNY6.07)

By Doreen Zhao