Europe April PTA settles at PX pass-through

20 June 2008 23:59  [Source: ICIS news]

LONDON (ICIS news)--April European purified terephthalic acid (PTA) contracts have generally been agreed up €17/tonne ($26/tonne), in line with the upstream paraxylene (PX) increase, market sources said on Friday.

European sellers had originally said they would target more than the PX pass-through level, based on firmer market fundamentals.

However, major production issues involving two cases of force majeure at BP and Interquisa meant that the tone of discussions changed, as sellers accepted that the market was going through an unusual period and such issues could not be used to determine price direction.

The pre-discounted price range for April was pegged between €814-841/tonne FD (free delivered) NWE (northwest Europe).

Two sellers said they had also settled May contracts at the pass-through level, at plus €25/tonne.

Consumers were concerned over June and July PTA pricing, which was set to be much firmer due to rapid increases in European and Asian PX costs.

Major European PTA producers include BP, Interquisa and Artenius.

($1 = €0.65)

For more on visit ICIS chemical intelligence
To discuss issues facing the chemical industry go to ICIS connect

By: Edward Cox
+44 20 8652 3214

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