This week, LLDPE spot prices climbed, while contract prices remained constant in the European region.
An industry source in Europe informed a Polymerupdate team member, "Prices rose following the higher ethylene feedstock contract settlement for November 2024, supported by the sharp rise in naphtha costs in October, coupled with stronger upstream crude oil values."
The source added, "Material availability remained ample entering November, with both imports and domestic suppliers looking to de-stock, according to market sources. Demand is expected to remain stable to weak, influenced by seasonality as market players aim to reduce stock levels toward the year end. Spot prices remained relatively unchanged over the past week, although some sources noted that special offers available in October had disappeared following the monomer contract settlement."
The source further informed, "Many buyers are maintaining a disciplined approach, gradually and continuously reducing inventories ahead of their financial year-end in the fourth quarter. This has continued to exert bearish pressure on fundamentals and has forced many sellers under pressure to move volumes. Similarly, producers are focused on destocking to minimize risks on their books, with some offloading more inventories in the market through distributors during October and November. This could create a situation where some producers find their inventories more balanced, while others continue to face oversupply. With increased imports expected from the U.S., market fundamentals are likely to remain skewed in favour of buyers until the end of the year."
In the spot markets, LLDPE prices were assessed at the Euro 1045-1055/mt FD Northwest Europe levels, a rise of Euro (+10/mt) from the previous week.
In the contract markets, LLDPE grade prices were assessed at the Euro 1600-1605/mt FD NWE Germany and FD NWE France levels, both left unchanged from last week. LLDPE grade prices were assessed at the Euro 1600-1605/mt FD NWE Italy levels, steady week on week. Meanwhile, LLDPE grade prices were assessed at the GBP 1330-1335/mt FD NWE UK levels, a fall of GBP (-5/mt) from the previous week.
FCA Antwerp LLDPE film prices were assessed at the Euro 1030-1060/mt levels, up by Euro (+10/mt) week on week.
Ethylene spot prices on Thursday were assessed at the Euro 785-795/mt FD North West Europe levels, a decline of Euro (-25/mt) from last week.
European ethylene feedstock contract price for November 2024 settled at the Euro 1212.50/MT FD North West Europe levels. This price represents a sharp gain of Euro (+30/mt) from its October 2024 settlement levels.
