- Domestic, import prices up $22/mt on week
- Prices significantly under year-ago levels
Both import and domestic polyethylene terephthalate ended the day's session July 1 up $22/mt on the week as feedstock prices gain strength.
S&P Global Platts assessed import PET prices at $937/mt-$959/mt (42.5-43.5 cents/lb), up $22/mt on the week, based on an unconfirmed pricing indication received at 44-45 cents/lb.
Meanwhile in the domestic market, US PET also saw weekly gains of $22/mt to end midweek at $959/mt-$981/mt (43.5 cents/lb-44.5 cents/lb), continuing its month-long bullish price trend.
Higher pricing came amid an uptick in upstream purified terephthalic acid contracts, which settled at 36.62 cent/lb for June—a slight increase from the May settlement of 35.12 cents/lb. The June monoethylene glycol contract remains at 22.19 cents/lb, while the July contract price has yet to settle. Market participants expect an increase in the July MEG settlement amid higher ACP nominations.
Despite a slight uptick in weekly pricing, prices for import PET remain 31% under levels seen this time last year, while domestic prices are 25% lower than year-ago levels.
Although demand for food packaging has been strong since February, it has been weak from industrial sectors driven by low automotive and construction demand. And though these industries have largely started up again, consumption has been slow to recover, according to Platts Analytics.
Globally, PET pricing remained stable on the week in both the Asian and European markets amid subdued demand.