MOSCOW (MRC) - August contract price of ethylene in Europe was agreed down EUR20/tonne below the level of the July. However, European producers of polyethylene (PE) have cut prices more significantly, according to ICIS-MRC Price Report.
Negotiations on the European export prices of PE began on 1 August, many market participants reported a further (fourth consecutive month) decline in export prices from European producers. In some cases, the decline in prices reached EUR50/tonne in August, while ethylene prices fell by EUR20/tonne.
August deals for high density polyethylene (HDPE) were done in the range EUR1,070-1,150/tonne FCA, while the July deals had been done in the range of EUR1,070-1,170/tonne FCA. Negotiations on black pipe PE100 was heard in the range EUR1,230- 1,270/tonne FCA.
Deals for the August shipments of low density polyethylene (LDPE) were discussed in the range of EUR1,140 - 1,200/tonne FCA, while a month earlier deals for the supply of this type of PE were done in the range EUR1,180-1,250/tonne FCA.
Some companies reported that during the whole July they occasionally bought small volumes of LDPE at EUR1,050 - 1,080/tonne FCA.
MRC