China Aug MEG Imports Rise 12% on Month, Fall 1,69% on Year
OREANDA-NEWS. October 11, 2012. China's monoethylene glycol imports in August rose 11.76% from a month earlier to 659,089 mt, customs data released Saturday showed. The imports were down 1.69% from a year ago.
Chinese buyers sought spot MEG cargoes for August in a bid to cover a supply shortfall from Kuwait due to an unplanned outage.
Kuwait's Equate shut its 550,000 mt/year MEG plant on July 31 after a fire. Platts reported that the MEG plant would be restarted in the middle of November.
China's MEG imports from Kuwait fell 36.67% on month to 45,193 mt.
Market sources said China's MEG imports from Saudi Arabia would likely fall in the coming months also due to a plant shutdown. Saudi Arabia's Eastern Petrochemical Company, or Sharq, shut its 700,000 mt/year No. 4 MEG plant in Jubail from early September for 10-12 weeks of maintenance. Sharq is owned 50% by Sabic and 50% by a Japanese consortium led by trading house Mitsubishi Corp. China imported 303,953 mt of MEG from Saudi Arabia in August, up 5.69% from a month earlier.
Meanwhile, China's MEG imports from the US plunged 73.76% from a month earlier to 3,204 mt as Hurricane Issac disrupted MEG plant operations there late August. With a tight supply situation still persisting in the US, China's MEG imports from the US will likely be at a low level in September as well, according to market sources.
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