GCC PET prices may increase for March shipments

SINGAPORE (ICIS)–Polyethylene terephthalate (PET) prices in the Gulf Cooperation Council (GCC) region may trend up for March shipments, market sources said late on Thursday.

Many buyers and even some sellers were waiting for the monthly list price for March shipment from one of the GCC producers that is expected to be announced in the coming week.

Meanwhile, a separate GCC producer has the intention to increase its prices from around $950/tonne CFR GCC to around $1,000/tonne CFR (cost and freight) GCC, amid higher feedstock purified terephthalic acid (PTA) and monoethylene glycol (MEG) prices and a more stable upstream crude oil futures market.

China-origin material are imported into the GCC region from time to time.

Offers heard for Chinese material into the GCC region increased this week to around $985-1,010/tonne CFR GCC on the back of higher prices of feedstocks PTA and MEG, and amid expectations of higher upstream paraxylene (PX) prices in March.

Sellers are expecting demand to pick up soon to support PET prices, as downstream bottle and pre-form converters should start to beef up production in preparation for the peak demand for bottled beverage in the summer season.