NewsFlashChina toluene hits CNY 10,250/t record

27 May 2008 08:31  [Source: ICIS news]

SHANGHAI (ICIS news)--China toluene producers lifted prices to a record high at yuan (CNY) 9,600-9,850/tonne ($1,383-1,419/tonne) ex-works (EXW) and trades were done at CNY 9,910-10,250/tonne ex-tank on high costs, said producers and traders on Tuesday.

The domestic ex-works prices were CNY 500-600/tonne higher compared with last week while traded prices saw increases of CNY 500-700/tonne, said the sources.

With crude oil soaring to more than $133/barrel and high naphtha values, many producers have had to lift their offers to maintain some margins, said producers.

Deals were heard done at CNY9,910-9,920/tonne ($1,428-1,429/tonne) ex-tank in east China and CNY 10,150-10,250/tonne ($1,463-1,477/tonne) ex-tank in south China on 27 May, said traders.

Major domestic producers have increased their ex-works prices seven times in May due to continued increases in cost value while many traders are still maintaining a wait-and-see stance.

Meanwhile, the ban on chemical production during the Olympics may also limit supply, with traders expecting toluene to continue rising to even higher levels in the next two or three months.

($1 = CNY6.94)

For more on toluene visit ICIS chemical intelligence

By: Dolly Wu
+65 6780 4359

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