Polyethylene terephthalate (PET) prices fell across the Asian region this week, weighed down by weaker upstream costs and subdued purchasing activity. An industry source in Asia, speaking on condition of anonymity, told a team member that the OPEC+ alliance has hinted at a production hike in November, while the restart of crude exports from Iraq’s Kurdish region has further pressured international oil prices. The dip in crude values, combined with softer demand, cascaded into downstream markets, dragging PET prices lower.
Asian PET markets were hit by reduced costs of upstream Purified terephthalic acid (PTA) and Monoethylene glycol (MEG), both critical raw materials for PET production. This decline, coupled with restrained buying from consumers and traders, applied downward pressure on prices. With weakened consumption and cautious market behavior, the overall supply-demand balance tilted further toward excess supply, reinforcing the downward trajectory. Market sentiment remains fragile, with expectations that prices will stay under pressure until demand strengthens or raw material costs stabilize.
In North East Asia, PET bottle grade prices were assessed lower at USD 750-770/mt FOB, down USD (-10/mt) from last week. In South East Asia, bottle grade PET prices dropped more sharply to USD 820-850/mt FOB, reflecting a week-on-week decline of USD (-20/mt). Producers in China and Southeast Asia continued cutting offers through the week to remain competitive amid falling PTA and MEG prices. A trader in China noted that declining crude oil prices and broader macroeconomic concerns are undermining confidence, creating an environment of persistent price weakness.
Within China’s domestic polyester yarn and fiber markets, trading activity stayed thin, with low liquidity reflecting the cautious stance of participants. While the overall sentiment was weak, the upcoming National Day holiday on October 1 encouraged some downstream restocking, as buyers sought to secure supplies in advance of potential demand shifts or disruptions. Traders highlighted that seasonal replenishment could lend temporary support, though overall confidence remains muted heading into the holiday period.
In India, PET prices fell to USD 810-820/mt CFR, marking a decrease of USD (-20/-30/mt) from the previous week. However, Reliance Industries Limited (RIL) announced a domestic price increase of Re.1/kg basic, effective October 1, 2025, highlighting a divergence between global weakness and localized adjustments. Pakistan’s PET prices dropped to USD 860-900/mt CFR, down USD (-10/mt), while Sri Lanka and Bangladesh both recorded USD (-10/mt) declines, assessed at USD 820-870/mt CFR and USD 830-860/mt CFR, respectively.
Feedstock movements reflected mixed trends. In China, MEG prices slipped to USD 500-505/mt, down USD (-5/mt), while CFR South East Asia MEG held steady at USD 510-515/mt. PTA values edged higher, with CFR Far East Asia assessed at USD 605-615/mt, up USD (+10/mt), and CFR South East Asia at USD 620-630/mt, up USD (+5/mt).
Plant activity also shaped sentiment. CNOOC and Shell Petrochemicals Company (CSPC) is preparing to shut its No.1 MEG unit in Guangdong, China, for maintenance in October 2025, though the exact timing remains unconfirmed. The unit has a production capacity of 400,000 mt/year. Meanwhile, INEOS Zhuhai is expected to restart its No.3 PTA unit in early October following maintenance that began on September 23, 2025. The Zhuhai-based plant has a capacity of 1.25 million mt/year.
With costs sliding and demand staying soft, PET prices across Asia remain under pressure, and the market outlook continues to lean cautious until clearer signs of demand recovery or feedstock stability emerge.
