Launch of new polyethylene terephthalate capacities in the past year and a half have pushed Turkey to a greater self-sufficiency and allowed it to grow as a PET exporter since the beginning of this year, data shows.
Turkey was a net exporter of 1,444 mt of polyethylene terephthalate in Q1 2015. It became a small net exporter of 176 mt in Q4 2014, but its net export position was consolidated in the first quarter of this year, data from statistical agency Turkstat revealed.
This was on the back of new capacity coming on stream in Turkey in the past year and a half.
Koksan’s PET facility in Gaziantep, Turkey, began commercial production in November 2013.
Koksan has two lines, both with installed capacity of 216,000 mt/year.
Its first line was completed in late 2013. It is unknown if the second line is fully operational.
Turkey was a net importer of 199,349 mt of PET in 2013. This figure shrunk sharply to 26,104 mt in 2014.
PET exports are likely to be boosted further, with new operational capacity in 2015.
Indorama Ventures’ plant with single line capacity of 252,000 mt/year in Corlu, Turkey, began commercial production in March 2015.
The new plant was previously owned by India’s Polypex, but was acquired by Indorama Ventures at the beginning of March.
Germany has been Turkey’s main export destination in the past two years.
In 2013 and 2014, exports to Germany accounted for 46% and 43% of total exports, volumes totalling to 28,292 mt and 45,089 mt respectively.
Turkey also exported significant volumes to Italy.
Exports to the United Kingdom have been limited.
Producers in the UK are offering very competitive prices, according to a PET trader in the UK. It would be interesting to see what Indorama’s strategy is in light of aggressive acquisitions globally to expand PET capacity, the trader added.
Turkey is also well placed to serve markets in Southeast Europe, which are deficit PET markets and rapidly expanding PET consumption.
Turkish imports will also be controlled by officials through tariff quotas placed on certain countries. Import duties have been put in place for PET from China, India and Taiwan, in an effort to reduce anti-dumping.
– Platts.com
