Polyethylene terephthalate (PET) prices in Latin America increasing for March, driven by higher feedstock costs and the earlier rising trend in other regions, particularly in the US and Asia, regional sources said on Tuesday.
A 3 cent/lb ($66/tonne) increase for February PET in the US lent support to stronger market sentiment in the Americas, and especially in neighbouring Mexico.
Local sources said that PET domestic prices for March in Mexico rose by approximately 1 cent/lb
The perception of demand in Mexico was mixed, with some sources expecting buyers to build inventories in anticipation of the peak season for bottled drinks as the weather warmed.
However, other sources this week cited poor demand and weak market sentiment in Mexico during February because of uncooperative weather, along with continued market uncertainty as a result of US President Donald Trump’s intended trade and immigration policies.
Before any March increase, February PET domestic prices in Mexico were assessed at $1,245-1,300/tonne DEL (delivered).
Prices also rose in Argentina and Brazil, sources said.
Latin America PET producers are DAK Americas, Indorama, Mossi & Ghisolfi. - ICIS