CFR Far East

　 In the CFR Far East market, prices for delivery to Japan softened since available cargoes for August delivery were ample. For first-half August delivery, some sellers had a full propane cargoes and there were also several offers for pure propane cargoes for second-half August delivery. As of Jul 10, the Japan Index moved down by $9.75/mt from Jul 4 to $540.25/mt for propane and $510.25/mt for butane. The China Index for propane gained by $6.88/mt to $565.38/mt and while that for butane increased by $4.00/mt to $539.00/mt. In the CFR China market, butane demand was firm and this was cited as a bullish factor. One South China importer and one petrochemical company in East China were trying to buy spot cargoes. Further, one petrochemical company in Indonesia and one importer from Taiwan were looking for cargoes for August delivery in the spot market.

FOB Middle East

Discussions for 44,000mt 50:50 cargoes for August loading were held at a discount of $40/mt to the August CP. Several sellers having similar cargoes were seen but they did not actively offer. This was because Indian importers had no buying interest and buyers were limited. The sellers gave up selling cargoes on an FOB Middle East basis and were considering selling the cargoes on a CFR basis. Demand for cargoes containing butane for delivery to Southeast Asia and China was viewed to be firm. Regarding term discussions, Indian Oil Petroleum Corporation (IOC) issued a buy term tender for 2026. IOC was trying to buy one cargo of up to 45,000mt 50:50 per month for loading in January to March, April to June, July to September and October to December. The closing time of the tender for the periods was July 14, July 15, July 16 and July 17, respectively.

Asia Pressurized Market

In the FOB South China marker, a Vietnam importer was said to have bought spot cargoes from South China. According to sources, the prices were at a premium in the $30's/mt to the July CP. Meanwhile, players in North China were looking for spot cargoes. These companies could consider purchasing cargoes if they were from refineries in Korea. For term cargoes, a major Vietnam supplier reportedly reduced term prices for Haiphong for the second half of 2025 by several dollars in terms of a premium to the CP from the first half of 2025. As a result, Vietnamese players were negotiating with suppliers on a reduction in term prices on an FOB South China basis as well.