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Morning Briefing - 09 Sept. 2025As the world’s third-largest importer of US PE, Brazil’s move is expected to strip US and Canadian cargoes of their competitiveness in the market, potentially forcing exporters to seek alternative destinations. |
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CommoPlast
Morning Briefing
09 September 2025
Brent: $66.02 (á $0.52)
WTI: $62.26 (á $0.39)
Naphtha CFR Japan: â $2
Ethylene CFR NEA: Stable
Ethylene CFR SEA: Stable
Propylene FOB Korea: Stable
Propylene CFR China: Stable
*Data represent closing prices of the previous trading day
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Indonesian PP, PE Market Steady; PE Sees Modest Buying Interest
The Indonesian PP and PE market started the week on a steady footing, with sellers resisting further discounts amid firm upstream costs and renewed supply concerns.
According to CommoPlast, a string of production disruptions in Indonesia and Malaysia, along with upcoming maintenance turnarounds in Vietnam, Thailand, and South Korea, has heightened concerns over regional supply heading into the final quarter of the year.
Market sentiment, however, diverged between the two products. Buyers showed a cautious uptick in PE procurement, while confidence in the PP outlook remained muted.
“Unlike PE, the Indonesian PP market remains well-supplied, with one producer actively promoting new cargoes at highly competitive price levels. This has discouraged buyers from building excessive PP inventories,” a market participant noted.
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Brazil Slaps Provisional ADD on US, Canadian PE; Trade Flow Shifts Feared
Brazil has imposed provisional anti-dumping duties (ADD) of $199.04/ton on US-origin PE and $238.49/ton on Canadian cargoes for six months, pending the outcome of a full investigation.
As the world’s third-largest importer of US PE, Brazil’s move is expected to strip US and Canadian cargoes of their competitiveness in the market, potentially forcing exporters to seek alternative destinations.
Market participants in Southeast Asia are closely monitoring the potential fallout. Some anticipate increased inflows of Middle Eastern PE into Brazil, while US and Canadian cargoes may be redirected to Asia, reshaping trade flows in the coming months.
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