Page 24 - Plastics News February 2025
P. 24
ENVIRONMENT NEWS
China's PET Bottle Chip Prices Surge
Amid Rising Costs and Cautious Demand
ET prices in New Delhi have surged to trend, with average PET bottle chip prices hitting
`92/kg, driven by higher raw material $882/ton between January 13-17.
Pcosts due to U.S. sanctions on Russia and
increased energy demand. Despite low produc- Global factors have significantly influenced the
tion costs, downstream buyers remain cautious, PET market. U.S. sanctions on Russia have dis-
limiting trading activity. The market is expected rupted oil supplies, driving up raw material costs.
to remain volatile, closely tracking international Additionally, a cold wave in the U.S. has spiked
oil price movements and supply conditions. energy demand, further tightening PET’s prima-
ry input, PTA. Despite cost pressures, cautious
Key Market Trends buyer sentiment and the upcoming Spring Festi-
val have restrained market activity.
♦ Price Increase: PET prices in New Delhi rose
by `2/kg since February 1. Industry Updates
♦ Cost Pressures: Sanctions and oil supply dis- MOL Petrochemicals increased its butadiene
ruptions have raised PET raw material costs. unit’s operating rates after maintenance, while
♦ Supply Adjustments: New production ca- SASA’s new PET line in Turkey (483,000 tons/
pacities, including SASA’s PET line in Turkey year) is set to commence operations by early
and MOL Petrochemicals’ butadiene unit in March. Meanwhile, Shanghai SECCO Petrochem-
Hungary, are expected to impact market dy- ical raised acrylonitrile prices in China, and Ku-
namics. wait’s Polypropylene plant is scheduled for a re-
start on February 20.
♦ Forecast: PET prices in Asia are projected
to fluctuate between $865-$905/ton, influ- With oil prices remaining volatile, PET markets
enced by oil price trends. are expected to follow raw material price trends,
keeping the industry on alert for demand fluc-
PET Market Developments
tuations and supply adjustments.
On February 6, PET prices in New Delhi reached Source: Nexizo
`92/kg, up from `90/kg on February 1. The Chi-
nese market also experienced a strong upward
24 PLASTICS NEWS February 2025
