04 October 2009 13:09 [Source: ICIS news]
BERLIN (ICIS news)--US acrylates demand has improved in recent months as the "cash for clunkers" programme spurred activity in the automobile industry, but there are doubts about whether the pick-up will last, an acrylates buyer said on Sunday.
That deficit would now be around 20-30%, showing the benefit of the government stimulus under the "clunkers" scheme, the source said.
The US government stimulus gave car buyers a $4,000 (€2,760) contribution to the purchase of a new vehicle so long as it was replacing an older vehicle that would be permanently taken off the road.
Consumers took up the incentive enthusiastically, delivering a big boost to car sales in July and August.
But after the plan ran its course, September's sales figures were dented.
Analysts have warned that car sales are sensitive to swings in consumer confidence, which has taken a new hit from the latest US jobs data.
There was a bigger-than-expected loss of 263,000 jobs in September and an increase in the unemployment rate to a 26-year high of 9.8%, from 9.7% in August.
US butyl acrylate prices rose 3 cents in September to 65-71 cents/lb FD (free delivered), according to data from global chemical market intelligence service ICIS pricing.
($1 = €0.69)
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