DOP/DINP players seek hikes

31 May 2004 00:01  [Source: ICB]

European phthalate plasticisers producers are confident they will achieve higher prices in June, with some sellers suggesting further increases into the third quarter (Q3).

Producers of dioctyl phthalate (DOP) and its main competitor diisononyl phthalate (DINP), have introduced price increases of €50-60/tonne in the market for June.

Currently, prices for the materials are quoted within a range of €810-850/tonne. Sellers are confident that reasonable demand and tight supply should support their price strategy, although they admit that efforts to raise numbers in Q1 were only partially successful. The need to pass on higher production costs is cited as a key factor in the current attempts to raise prices.

DOP output in Europe has been held back by a series of oxo-alcohol production issues in the first five months of the year, which has left the market balanced to tight.

Oxeno-Degussa, a leading producer of DINP, admits that it has had technical problems with its syngas unit at Marl, Germany, which has curtailed oxo-alcohol output. The problem is not expected to be resolved until early June. A catalyst change at Oxeno-Degussa’s unit, which was scheduled to take place in June, has now been delayed until October. Oxeno-Degussa admits it is considering declaring force majeure but a final decision has yet to be taken.

The already tight phthalate plasticisers market has been made tighter still by Cepsa’s decision to close its 35 000 tonne/year plasticisers unit in the second quarter of this year. The company says the plant is no longer competitive or profitable.

Players say domestic demand is at expected levels for the time of year, while exports into Asia, Africa and the East Mediterranean are healthy, despite the relative strength of the euro against the US dollar.

< previous article(VIDEO - ICIS news Europe Lunchtime Bulletin 18 January 2010)

For the latest chemical news, data and analysis that directly impacts your business sign up for a free trial to ICIS news - the breaking online news service for the global chemical industry.

Get the facts and analysis behind the headlines from our market leading weekly magazine: sign up to a free trial to ICIS Chemical Business.

Printer Friendly