Asian ethylene dichloride prices moved up from the last
assessment on December 15, owing to tighter supply. On Thursday,
the CFR Far East Asia marker rose by $13/mt to $293/mt, while the
CFR Southeast Asia marker increased by $10/mt to $300/mt.
Industry sources said that supply was limited owing to less
imports. “Plants in the Middle East are lowering their operating
rates, leading to fewer cargoes for sale,” said a regional trader.
Another regional trader noted that demand was better in
Southeast Asia. Another source added that less cargoes of
US-origin was headed towards the region, leading to constrained
availability of cargoes. VCM: Asian vinyl chloride monomer prices
dropped by $85/mt from the last assessment on December 15, on
the back of a weaker downstream market. CFR China PVC was
assessed at $910/mt, down $10/mt from the last assessment on
December 14. Industry sources said that discussions for CFR China
PVC deals were little, as buyers awaited February offers. Another
regional trader added that VCM plants in China were lowering
operating rates and workers were preparing to take leave for the
Lunar New Year holidays starting January 27.Rationale
EDC: EDC was assessed up $13/mt from the last assessment on
December 15 at $293/mt CFR Far East Asia, and up $10/mt at $300/
mt CFR Southeast Asia Thursday. No deals were heard. Negotiations
for February cargoes were completed, according to market sources.
Buying ideas for March were heard from $280-$295/mt CFR FEA ,
and selling ideas were heard at $300/mt and above CFR FEA.
According to industry sources, the tradable level for CFR SEA was
heard at $300/mt. VCM: The CFR Far East Asia VCM price moved
down $85/mt from the last assessment on December 15 to $720/mt
Thursday. No deals were heard. Buying ideas were heard from
$700-$710/mt, while a selling indication was heard at $750/mt. The
CFR Southeast Asia VCM price fell by $85/mt to $740/mt, tracking
the fall in the CFR FEA price.
