HOUSTON (ICIS)--Brazil’s sole polyethylene (PE) producer Braskem is reducing domestic prices for high density polyethylene (HDPE) effective 1 June, a company source said on Monday.
The reduction for HDPE will be R100/tonne ($44/tonne) and will not affect any of the other grades of PE.
Prices of plastic resins have moderated in Brazil of late, perhaps because the upcoming soccer World Cup has not provided, so far, the boost that most market players expected.
PE prices were reduced twice in April: the first reduction was currency related, the second one was intended to spur sagging demand and deter imports.
Currently, LDPE prices in Brazil are at $2,769-2,858/tonne FOT (free on truck), while LLDPE butene prices are at $2,590-2,680/tonne FOT. HDPE blow moulding prices are at $2,590 -2,724/tonne, according to ICIS data.
Prices in Brazil include PIS/COFINS taxes which add at least 9.25% to the price.
($1 = R2.27)