June increase sought for US polyester polyols

28 April 2008 20:43  [Source: ICIS news]

HOUSTON (ICIS news)--US polyol producer Oxid will seek 5 cent/lb ($110/tonne) price hikes on all aromatic polyester polyols, effective on 1 June, the producer said on Monday.

“Producers are getting it from all sides,” said Jim Carazola, a representative with Oxid.

The high cost of aromatic feedstock and the energy-intensive nature of polyol production means margins have been squeezed by record-high energy prices, Carazola said.

US natural gas futures were trading on Monday at $11.195/m Btu, the final day of trading for May futures. This compares with $7.958/m Btu a year ago.

Other producers were heard to be still considering price hikes on polyester and polyether polyols, sources said.

Polyester polyol is used in the manufacture of rigid polyurethane (PU) foams.

The average price of US polyester polyol was 92-97 cents/lb DEL (delivered) in bulk, according to global chemical market intelligence service ICIS pricing.

Other polyester polyol producers in the US include Bayer, Dow and Stepan.

($1 = €0.64)

By: Landon Feller
+1 713 525 2653

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