Europe PTA June contracts settled at €55 increase

27 July 2007 23:59  [Source: ICIS news]

LONDON (ICIS news)--European purified terephathalic acid (PTA) June contracts were settled at an increase of €55/tonne ($75/tonne) over May levels; €10/tonne more than the June paraxylene (PX) pass-through, buyers and sellers confirmed on Friday.

May prices were assessed at €837-866/tonne FD (free delivered) NWE (northwest Europe), according to global chemical market intelligence service ICIS pricing.

A tight market on the back of Spanish PTA producer Interquisa’s force majeure was a key factor in suppliers’ ability to achieve increases, buyers admitted.

Most buyers agreed that unbalanced supply and demand dynamics had provided them with little room for negotiation.

Producers’ reported receiving various enquiries from non-customers and noted that their inability to meet needs due to contractual requirements had helped their stance considerably.

Expectations of a longer market in August would affect July contract price negotiations, sources added.

PTA is combined with monoethylene glycol (MEG) to create polyethylene terephthalate (PET), which is used in the making of crystalline resin. The top European producers are Artenius and BP.

($1 = €0.73)

By: Fiona Bond
+44 20 8652 3214

< previous article(VIDEO – ICIS news Americas Lunchtime Bulletin 29 Oct 2009)

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