24 May 2010 21:45 [Source: ICIS news]
HOUSTON (ICIS news)--A US butadiene (BD) producer nominated a June contract hike of 5 cents/lb ($110/tonne or €88/tonne), two cents lower than a competitor’s nomination last week, market sources said on Monday.
The nomination, which would push US BD contract prices to 94 cents/lb, was the same increment as May contract settlements, according to data from global chemical market intelligence service ICIS pricing. It would also be the sixth consecutive BD contract price increase.
US BD contracts usually settle at the lowest price nominated by the four main US producers. The remaining two suppliers were expected to step out with their initiatives by 28 May.
Buyers said they expected imported BD from Asia, Europe and Brazil to bring prices down, but added that recent shipments would not reach the market in time to influence June contract ideas.
"There’s a lot of product out there right now being imported, but people can’t get it unloaded yet,” a buyer said.
US BD supply had loosened as imports hit the market in the second quarter after being extremely tight during the beginning of the year, sources said.
US BD producers include ExxonMobil, INEOS, LyondellBasell, Shell and TPC Group. Buyers include Invista, International Specialty Products (ISP), Lanxess, Michelin and Negromex.
($1 = €0.80)
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|
Asian Chemical Connections