09 June 2010 05:03 [Source: ICIS news]
SINGAPORE (ICIS news)--Saudi Basic Industries Corp (SABIC) has reduced its July Asia Contract Price (ACP) nomination for monoethylene glycol (MEG) by $120/tonne (€101/tonne) from its June level, a company source said on Wednesday.
“We have decided our July ACP at $850/tonne CFR (cost and freight) Asia to reflect more the current spot market prices,” the source said.
Asian MEG spot prices dived to eight-month low of $700/tonne CFR CMP (China Main Port) this week after a steep fall in crude oil values, according to global chemical market intelligence service ICIS pricing.
“We are not in a rush to match current spot levels as this would further upset the market,” the source added.
“We’re starting to negotiate with SABIC for some adjustments on the contract formula, as it is due soon,” a Chinese end-user said.
($1 = €0.84)
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|