Mideast PMDI stable for two consecutive weeks; discussions ongoing

16 May 2014 08:03 Source:ICIS News

SINGAPORE (ICIS)--Spot polymeric methyl di-p-phenylene isocyanate (PMDI) prices in the Gulf Cooperation Council (GCC) and East Mediterranean (East Med) were stable during the trading week ended 15 May, in the absence of firm discussions, sources said late on Thursday.

According to ICIS data, spot import prices were assessed at $2,120-2,140/tonne CFR (cost & freight) GCC/East Med, unchanged for two consecutive weeks.

Negotiations indicated were still ongoing. The buy-sell gap continued to be wide, as sellers were largely offering material at $2,150/tonne CFR GCC/East Med, but buyers were quoting prices below the published price range.

No firm discussions were available in the market, as buyers were said to be holding sufficient stocks or are waiting for further price falls.

A Chinese producer was offering May cargoes at $2,150/tonne CFR GCC, but was met with buying ideas at $2,090-2,100/tonne CFR GCC.

A South Korean producer said it has not received any bids, but was planning to offer early June shipments at $2,150/tonne CFR GCC/East Med.

A Japan-based seller said it sold one container at $2,150/tonne CFR GCC and would offer May shipments at $2,150/tonne CFR GCC/East Med as well because of some shortages of material from its supplier. 

However the seller added that market prices in the Middle East were at $2,120-2,130/tonne CFR GCC/East Med.

A South Korean producer was heard offering material at $2,130/tonne CFR GCC for May shipment.

A GCC-based trader said offers from a Japan-based producer were at $2,150/tonne CFR GCC for May shipment, but had not heard any customer bids.

A Europe-based seller was said to have offered material at $2,125-2,150/tonne CFR GCC.

A GCC-based end-user said its PMDI seller lowered its offer from $2,200/tonne CFR GCC to $2,175/tonne CFR GCC for May shipment, but added it was going to push the price down to $2,150/tonne CFR GCC. No deal was reached during the trading week.

By Fahima Khail