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SUBSCRIBER NOTE: Platts proposes new assessments for US recycled PET bales

S&P Global Platts proposes to launch three new spot price assessments for US post-consumer polyethylene terephthalate bottle bales effective April 1, 2020.

Platts proposes launching these new assessments to reflect the evolving consumer and commercial demand for recycled content in packaging and end-use products.

Prices would be published basis FOB Los Angeles and FOB Chicago. The daily assessments would take into consideration price information for the greater Los Angeles and Chicago areas gathered before the close of the assessment process at 4:00 pm CST.

FOB Los Angeles prices would reflect (a) premium-grade material primarily sourced from redemption centers with a minimum PET content of 70% and (b) curbside material with a minimum PET content of 60%. Bales sourced from the Los Angeles area should consist of at least 80% clear bottles.

The Chicago assessment would reflect mixed-colored bales, excluding black and solid colors, sold on a FOB basis with a minimum PET content of 60% and gathered from a curbside collection process. Bales could consist of clear, transparent green, or transparent light blue bottles.

Transaction size for both locations would be in a range of 35,000-40,000 lb (approximately one 53-foot trailer load). The assessment would reflect material that is picked up on the same day up to seven days forward from the date of the transaction. Prices would be published in US cents/lb.

Platts invites all stakeholders and interested parties to engage in the feedback process. The feedback period will conclude on February 28, 2020.

Please direct any questions or comments to americaspetrochemicals@spglobal.com with a copy to pricegroup@spglobal.com. For written comments, please provide a clear indication if they are not intended for publication by Platts for public viewing.

Platts will consider all comments received and will make comments not marked as confidential available upon request.