US PP August contracts remain flat with propylene

26 August 2011 17:07  [Source: ICIS news]

HOUSTON (ICIS)--US polypropylene (PP) contract prices remained flat for August, following a rollover in feedstock propylene, sources said on Friday. 

US PP contract prices for August were at 89-91 cents/lb DEL (delivered) ($1,962-2,006/tonne, €1,373-1,404/tonne) for homopolymer injection and raffia grade material, as assessed by ICIS.

Much of the PP market has a monomer-based contract that follows the monthly polymer grade propylene (PGP) cost. Propylene settled flat at 78 cents/lb for August.

The flat settlement was in contrast with higher prices in the secondary market, which in some cases were higher than contract prices, traders and distributors said.

"It's a twisted month," said one trader, who said generic prime PP was selling for 92-93 cents/lb when it was available. The same material was selling for 78 cents/lb in June and July, the trader said.

The higher secondary market prices were attributed to tight supply, as producers held on to inventory ahead of planned cracker turnarounds in September and October, sources said.

Major North American PP producers include LyondellBasell, ExxonMobil, INEOS, Total, Formosa, Phillips Sumika, Braskem Americas, Pinnacle Polymers, ConocoPhillips, Flint Hills Resources and Dow Chemical.

($1 = €0.70)

For more on PP visit ICIS chemical intelligence


By: Michelle Klump
+1 713 525 2653



AddThis Social Bookmark Button

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.

Printer Friendly

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