11 August 2010 11:16 [Source: ICIS news]
By Clive Ong
SINGAPORE (ICIS)--Asia polystyrene (PS) and acrylonitrile-butadiene-styrene (ABS) resin prices have been on the rebound since last week, ending a two-month price decline, traders and producers said on Wednesday.
PS and ABS offers rose nearly 5% to around $1,200/tonne (€912/tonne) CFR (cost and freight) ?xml:namespace>
“Resin prices look set to increase further this week as feedstock styrene (SM) numbers continue to surge,” said an ABS producer.
SM prices rose from $975/tonne CFR China in mid-July to around $1,120/tonne CFR China this week.
“With SM prices continuing the uptrend, resin buyers are more willing to pay up,” said a PS producer in
Low inventories of resins among end-users after many weeks of slow purchases had prompted them to emerge from the sidelines.
“End-users are keen to replenish stocks as the Chinese manufacturing season is entering its peak,” said a trader in
The manufacturing sector in
PS resins are used in the packaging, toys and consumer electronics sector, while ABS is used in the office equipment, consumer electronics, toys and automotive segments.
Traders were also seen stocking some material in anticipation of further upside potential in prices in the weeks ahead.
However, most participants remained cautious amid the current economic uncertainties in the eurozone and the
“The development in the major economies in the West over the next few months would have an impact on the demand for China-made goods and consequently styrenic resins,” said another resins producer in
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