16 November 2010 21:19 [Source: ICIS news]
LONDON (ICIS)--European November liquid epoxy resin (LER) prices fell by €150-200/tonne ($203-270/tonne) while standard solid epoxy resins dropped €300/tonne amid weakened demand, particularly from the downstream construction and coatings sectors, sources confirmed on Tuesday.
The size of the price declines was also attributed to a correcting of the €1,210/tonne in hikes seen from January to August this year, resulting from production outages and strong demand exacerbated by panic buying. After the €100-110/tonne decrease in October LER numbers, customers felt that prices were finally returning to more stable levels.
“We are over the crest of the hill and returning to the level of sanity,” said one customer.
“Suppliers have learnt that these overheated prices were not sustainable in the long term, and we are now returning to more moderate levels,” another buyer added.
Down from the August highs of €3,000-3,160/tonne FD (free delivered) NWE (northwest Europe), the November range for LER was assessed by ICIS at €2,700-2,800/tonne FD NWE.
The drop in solid epoxy resins was more dramatic given even longer market fundamentals, and prices were reduced by €300/tonne to €3,800-3,950/tonne FD NWE.
($1 = €0.74)
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