15 July 2008 22:29 [Source: ICIS news]
HOUSTON (ICIS news)--One of two expandable polystyrene (EPS) producers in ?xml:namespace>
It was not clear if the August increase would take place as announced, because one producer had just started the implementation of a 4 cent/lb increase effective on Tuesday, while another producer was seeking a 3 cents/lb increase on the same date.
Transformers conceded the July increases were likely to succeed, partially or entirely, depending on purchase volumes. However, the outcome of the August initiative was still in doubt.
Prior to the Tuesday increases, EPS price of block material in Mexico was at $2,270-2,358/tonne (€1,430-1,486/tonne) according to global chemical market intelligence service ICIS pricing.
Producers were aiming to recover production margins after steep increases in raw materials, which were spawned by surging crude oil prices. However, oil prices plunged on Tuesday on dire financial news. The NYMEX crude contract for August delivery settled at $138.74/bbl on Tuesday - a loss of $6.44/bbl from the previous day.
Demand from the packaging sector remained weak in
Construction demand looked healthier, maintaining levels seen last year, but it is not growing, a producer said. However, another producer reported 5% growth this year for the construction sector.
Although the implementation of price increases was meeting success, EPS demand in
EPS producers in
($1 = €0.63)
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.
|ICIS news FREE TRIAL|
|Get access to breaking chemical news as it happens.|
|ICIS Global Petrochemical Index (IPEX)|
|ICIS Global Petrochemical Index (IPEX). Download the free tabular data and a chart of the historical index|