08 February 2011 10:02 [Source: ICIS news]
LONDON (ICIS)--INEOS is targeting an increase of €150/tonne ($203/tonne) in the price of coloured acrylonitrile butadiene styrene (ABS) deliveries in Europe from 1 March, because of soaring feedstock costs, a company source said on Tuesday.
The source cited recent spikes in upstream costs, including the increases in the upstream February styrene barge contract. Two of the contracts settled at an increase of €105/tonne from January, while the other rose by €78/tonne.
“For the second month styrene increased much more than expected, so we need to raise prices to retain margins,” the source said.
Consumers, however, were adamant that not even February’s targeted €150/tonne hike was justified by the cost increases seen so far, especially after the €100-130/tonne rise that took place in January.
Several customers said, however, that they could negotiate more modest increases of around plus €80/tonne.
“INEOS are out. We are simply not buying from them any more,” insisted one buyer.
Coloured injection moulding-grade ABS was currently assessed at €2,200-2,370/tonne FD (free delivered) NWE (northwest Europe).
($1 = €0.74)
For more on ABS visit ICIS chemical intelligence
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|
Asian Chemical Connections