New York — The spot US linear low density polyethylene and high density PE blowmolding export prices have increased to the highest levels since the US shutdown responding to the coronavirus pandemic.
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US LLDPE export prices rose to their highest pricing in about four months, while HDPE blowmolding hit the highest level since late February.
S&P Global Platts assessed LLDPE July 6 and 7 at $738-$760/mt (33.50-34.50 cents/lb) FAS Houston, with rail car pricing discussed at 31 cents/lb. The previous high for LLDPE was on March 16 at $739-$761/mt (33.50-34.50 cents/lb) FAS Houston, with rail car pricing discussed at 31 cents/lb.
HDPE blowmolding was assessed $11 higher on the day July 7 at $782-$804/mt (35.50-36.50 cents/lb) FAS Houston with rail car pricing discussed at 33 cents/lb. The previous high for HDPE blowmolding was on February 25 at $783-$805/mt (35.50-36.50 cents/lb) FAS Houston, with rail car pricing also discussed at 33 cents/lb.
The FAS assessments include an additional 3 cents/lb to cover packaging and transportation costs.
During the time HDPE blowmolding reached its last high, US began shutting down businesses in response to the coronavirus pandemic, which caused pricing and demand to drop, market sources have said. In recent weeks, demand has slowly picked back up as sources have noted an increase in international demand and as producers have pushed for higher pricing for PE resins.
The LLDPE assessment has increased $44, or about 6.2%, since January 2, 2020, and has fallen $89, or 10.6%, on the year, according to Platts data. The HDPE blowmolding assessment has increased $88, or about 12.5%, since January 2, 2020, and fallen $67, or 7.8%, year on the year.