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Material prices continue to fall in November


Western European standard thermoplastic buyers stood firm last month against producer demands to retain a proportion of the lower feedstock costs to bolster their profit margins. For the most part, converters achieved price concessions in line with the reduction in monomer costs.
PE prices dropped €20/tonne along with ethylene costs, while import-pressured HDPE blown film grades were down €25/tonne. PP, GPPS and PET were also down in line with the respective €55/tonne, €24/tonne and €80/tonne falls in propylene, styrene and the PX/MEG cost mix. Under-pressure PVC producers, on the other hand, were unable to restrict PVC's price fall to the €10/tonne impact of lower ethylene costs and notations fell by €20-30/tonne.
Polymer demand was better than the very poor October month as converters took advantage of the lower prices and various 'special offers' available to replenish their inventories.
Despite cutting back production in recent months as demand faltered, producers were left with more than sufficient stocks to satisfy demand.

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