PTA price falls on surplus inventory amid thin trade

Asian PTA markers inched down US$6 a ton CFR China and CFR Southeast in the third week of January.

In China, several parcels of bonded goods on one-day trip were traded at US$536-538 a ton midweek.

Yisheng Petrochemical’s cash-based daily prices were down US$10 on the week while Hengli Petrochemical issued self-lifting offers at US$560-565 a ton, down US$5.

Purified terephthalic acid prices moderated a bit in Asian markets on surplus inventory amid thin trade. Meanwhile, buyers were heard to have lowered their bids further amid falling PET and polyester prices.

In China, a majority of polyester fiber and PET resin plants were heard operating at reduced rates of 70%-75%.

In US, market expectations for the January paraxylene contract called a decrease from December, which would imply a decrease in the January PTA price.

January PX contract was called for a US cent 1 decrease, which would mean a US cent 0.67 decrease in PTA price.

In Europe, PTA spot remained unchanged as market remained well supplied, despite the outage at Artlant’s PTA plant in Sines, Poland.

Courtesy: Weekly PriceWatch Report