03 June 2010 02:19 [Source: ICIS news]
HOUSTON (ICIS news)--US acrylic acid and acrylate esters negotiated contract prices rolled over for June as weaker feedstocks halted months of upward momentum driven by tight supply, market sources said on Wednesday.
Some buyers had predicted that negotiated prices would fall proportionally along with formula pricing, which declined by 8-9 cents/lb ($176-198/tonne) (€144-162/tonne), several sources said.
But improved acrylates demand amid ongoing supply constraints counterbalanced a 12-cent/lb drop in feedstock chemical-grade propylene (CGP) values for May.
June CGP has been nominated down by 4 and 5 cents/lb by two ?xml:namespace>
Acrylates buyers, who include paint manufacturers, said they continued to struggle with limited supply of raw materials, particularly butyl acrylate (butyl-A), sources said.
A coatings maker said its allocation of acrylates from one major producer improved from a low of 50% in May to 90% for June, but still forced the buyer to continue substitutions and reformulating paints in order to take advantage of cheaper, more available material.
US acrylates producers include Dow Chemical, BASF and Arkema Emulsion Systems.
($1 = €0.82)
To discuss issues facing the chemical industry go to ICIS connect
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|