EDC Weekly Report 21 April 2018

Weekly Price Trend: 16-04-2018 to 20-04-2018

• The above graph focuses on the weekly price trend of EDC for the current week.
• As per the above graph, it has been inferred that this week the prices of EDC have remained firm in compare to previous week and at the end of this week prices were assessed at the level of Rs 17/kg.

Booking Scenario

INDIA & INTERNATIONAL

• This week in the domestic market, prices of EDC have remained firm in compare to previous week and were assessed at Rs 17/kg.
• In international market, prices of EDC also have remained firm in compare to earlier week.
• The spat of imposing tariffs on each other continues to hamper the economy of two nations. After US imposition of tariffs on Chineses goods, China has further imposed tariffs of 25% on imports of EDC and PVC from US. Now traders are moving US-origin ethylene dichloride cargoes to Thailand or India instead of China.here has been long run imorpts of EDC from US by China in past. Around 70% of EDC is imported from US by China.
• According to traders they are trying to ease the impact of the tariff by moving US-origin cargoes to Thailand and India instead of China, and moving Asian-origin cargoes, mostly from South Korea and Taiwan, to China instead of Thailand and India.
• KBR announced the successful completion of the ethylene plant revamp project for Korea Petrochemical Ind. Co. (KPIC) in Ulsan, Korea.
• KBR has provided its proprietary Selective Cracking Optimum Recovery (SCORE) technology license, basic engineering design and proprietary equipment supply services to expand KPIC’s existing plant ethylene capacity from 486,000 to 800,000 metric tons per year (m.t./yr).  The revamp included the addition of two new highly selective SC-1 proprietary furnaces and targeted product recovery system modifications to provide superior yield, energy and operational performance.
• This week feedstock ethylene prices have plunged.
• FOB Korea prices of feedstock ethylene USD 1400/MT
• CFR China prices of feedstock ethylene USD 1365MT
• CFR South East Asia prices of feedstock ethylene USD 1280MT.

 $1 = Rs. 66.03
 Import Custom Ex. Rate USD/ INR: 66.70
 Export Custom Ex. Rate USD/ INR: 65.00