MOSCOW (MRC) -- Russia's high density polyethylene (HDPE) imports totalled 43,100 tonnes in the first three months of the year, down by 19% year on year. Decline in imports resulted from a weaker demand at some sectors of consumption and growth in domestic production, according to MRC DataScope.
March HDPE imports into Russia fell to 14,300 tonnes, compared with 15,500 tonnes in February, the main decrease in March purchases occurred for local pipes producers. Total HDPE imports in Russia dropped to 43,100 tonnes in January - March 2015, compared with 53,300 tonnes year on year. The dependence on imports resulted from a weaker demand for this type of polyethylene, in particular, from the producers of pipes, cables and wires, as well as due to growth in domestic production.
Structure of HDPE imports over the reported period was as follows. March imports of HDPE for pipe extrusion reduced to 1,300 tonnes, compared to 3,300 tonnes in February, including because of the limited export quotas from European producers. Total HDPE imports in Russia were 5,500 tonnes in January - March 2015, compared with 10,200 tonnes year on year.
The key factors that contributed to lower imports, was the low demand for finished products and high prices for HDPE in foreign markets.
March imports of HDPE for extrusion coating of large-diameter pipes remained practically at the level of February at 5,100 tonnes. Total imports of HDPE for extrusion coating of large-diameter pipes in the country were 14,800 tonnes in January-March 2015, compared with 18,200 tonnes year on year. The main reason was the growth of domestic production of this type of polyethylene, in particular, Metakley last year began production of this type of polyethylene at the capacities of Gazprom neftekhim Salavat.
Import of injection moulding HDPE rose to 4,300 tonnes in March, compared with 2,600 tonnes in February because of the serious decline in production at Russian plants. Russia's imports of injection moulding HDPE exceeded 11,100 tonnes in Q1 2015, up 4% year on year.
March imports of HDPE for extrusion blowmoulding into Russia decreased to 2,100 tonnes, compared with 2,600 tonnes in February. The main reason for the decline in import volumes was the increase in the domestic production. Total imports of HDPE for extrusion blowmoulding into Russia were 7,300 tonnes in the first three months of the year, compared with 6,500 tonnes in the same period a year earlier.
The total imports of HDPE in other sectors of consumption in January-March 2015 slightly exceeded 4,500 tonnes, compared with 7,700 tonnes in the same timea year earlier.
MRC