Sep 19, 2023
Last week MEG cargo discharge at main ports was smooth, with discharge volume slightly above 210kt. Despite active offtake, visible inventory still accumulated sharply. This week, MEG arrivals remain high, with main and secondary ports reporting around 190-200kt incoming. Recently, discharge pressure eased at Zhangjiagang trading storage area after additional tank capacity was put in place, but tight capacity continues in the Taicang area, leading to longer waiting times for unloading, especially in the PowerShell Petrochemical. MEG visible inventory will likely stay high in the near term. August imports are estimated to reach around 670-680kt, likely hitting a yearly peak. From late September, MEG imports will moderately decline, mainly due to reduced shipments from the United States and Saudi Arabia, while nearby supplies maintain ample availability.