Sep EPDM Import Volume Increases MoM
Highlight: From January to September 2024, China’s EPDM import volume rose YoY. The import volume from South Korea increased notably. The import from Saudi Arabia is affected by shipping schedules that may remain unstable in the later period, so a YoY decrease in imports is highly expected.
Imports
According to data released by GACC, the EPDM import volume reached 12,783.61mt in September, up 1.43% YoY. The average import price was $2,315.9/mt, up 13.63% YoY. The total import volume from Jan-Sep 2024 was 117,132.21mt, up 5.25% YoY. In September, the increase in imports mainly came from South Korea, Netherlands, and Japan.
In terms of trading partners, South Korea accounted for the largest proportion of China’s imports of EPDM in September 2024, accounting for 43.82% of the total import volume, about 5,602.03mt. The second was Saudi Arabia, accounting for around 40.14% of the total imports with an import volume of 5,131.35mt. The import volume from Japan was 1,183.72mt, accounting for 9.26% of the total import volume. In China, September was the demand peak season when downstream demand increased and restocking activities grew, so overseas producers increased the supply of EPDM resources to China. Two producers in South Korea maintained stable operating rates and increased the EPDM supply to China to different degrees. China’s EPDM import from Saudi Arabia was less than expected despite a MoM growth. Due to the impact of transportation issues on the arrival time, the arrival of goods is relatively small in September.
In terms of import trade mode, general trade still ranked first, accounting for 77.16% of the total with about 9,863.9mt of EPDM imported via this mode, which increased by 5.92% YoY. The import volume via logistics goods in areas under special customs supervision was 2,219.69mt, accounting for 17.36% of the total. This part involves the transfer of goods from bonded areas to domestic circulation. Due to the improvement in domestic demand in September, the actual consumption of imported resources increased, and thereby more inventory at ports was transited to the China’s domestic market.
Exports
According to the data released by GACC, China exported 2,838.8mt of EPDM in September 2024, down 20.32% YoY. In September, China’s EPDM exports amounted to 7,266,855 US dollars, with an average export price of $2,559.84/mt, up 15.39% YoY. From January to September 2024, China exported a total of 26,254.05mt of EPDM, up 5.11% YoY.
Overall, as of September, the imported EPDM in China ramped up. In 2024, South Korea increased its supply to the Chinese market, while Saudi Arabia’s supply decreased YoY due to unit maintenance and unstable shipping time. Looking ahead to EPDM imports in October, downstream restocking may decrease with the weakening demand from September. In addition, the EPDM import from Saudi Arabia is expected to decrease in October given the sustained unsteady shipping schedule. As a result, the overall import resources may be tight, giving favorable support to the EPDM market price.
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