2023 China PE Import Volume Inched Down by 0.18% Y-O-Y
In 2023, China’s total PE import volume was 13,441.1kt, down 0.18% Y-O-Y. China’s PE import volume continued the downtrend in 2023 mainly mainly due to the following reasons. First, China’s PE prices stayed at a low level, so more overseas resources flowed to South Asia and Southeast Asia with higher prices. Second, overseas PE prices remained at a high level, and the exchange rate of USD kept rising, reducing the profits from importing PE resources. In addition, China’s newly added capacity was put into production continuously, pushing up China’s output, while the demand recovery was under expectation, dampening the importing appetites of traders in China.
According to GACC, China’s PE import volume of PE in 2023 was 13,441.1kt, down 24.2kt or 0.18% Y-O-. In 2023, PE imports were mainly concentrated in Q3 (3,504.7kt, 26.07%) and Q4 (3,611.7kt, 26.87%). Therein, the PE import volume in September reached a yearly high of 1,253.2kt, which was mainly boosted by China’s traditional demand peak season. Meanwhile, the demand recovery in the U.S. and Europe was under expectation, so resources from the Middle East, the U.S. and Singapore flowed to China’s market, especially those from the U.S. with notable price advantages. The lowest import volume was in April because China’s demand weakened, while the exchange rate of USD improved, dampening the profit from importing PE. In addition, overseas units witnessed intensive maintenance in Q1, dragging the overseas supply, so the import volume in April declined significantly.
2022 and 2023 China PE Import Volume by Trade Partner
According to GACC, China’s top five PE import origins in 2023 were the U.S., Saudi Arabia, U.A.E., Iran and South Korea, with their total volume accounting for 65.94% of total PE imports.China imported 2,505.6kt of PE from the U.S., up 149.53% Y-O-Y and ranking first. This was mainly due to weaker-than-expected market demand in Europe and the U.S., and more resources gradually flowed to China’s market. Saudi Arabia and U.A.E. ranked second and third with their low production cost due to abundant upstream feedstock. Iran ranked fourth due to its declined output caused by unstable operating rates. In addition, China’s PE price was at a low level, so more resources from Iran flowed to Turkey and India. In 2023, PE import volume from Iran was 1,294.3kt, down 36.22% Y-O-Y.
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