Short Term Forecast and Current Situation at European Polyethyleneterephthalate MarketJun 12th, 2017
According to marketing experts, the May price for polyethyleneterephthalate (PETF) in Europe was stable due to the balance of price influencing factors. Thus, the PETF price was within the range of EUR 980 – 1020 per tonne. Despite raw oil futures grew within a period from 15 May to 21 May, the import price was quite competitive together with the strong Euro towards U.S. dollar. Moreover, the price stability at the polyethyleneterephthalate market in the region is explained by the drop of buying activity while waiting for the squaring of price for June.
The key players’ expectations towards the next month situation at PETF are controversial. The suppliers assure that the June price for PETF will remain stable due to the growing price for raw materials in Asia plus warm weather in the coming season. In addition, some suppliers are temporarily shutting down their manufacturing sites for scheduled servicing which therefore will lead to supply reduction at the European market. Another factor is that the current exchange rate will impact the price of feedstock from Asia which correspondingly will be reduced.
In the mid-May, Russian producers offered PETF at EUR 1225-1300 per tonne inclusive of VAT at the domestic market. The spot market is characterised by diverse buying activity. This year Russian players are increasing the vendor share in total sale assets. Therefore, the market is incurring a deficit of spot deals. Among other things, some PETF granulate marketeers mention the low demand for polyethyleneterephthalate in Europe in May.