03 October 2011 13:24 [Source: ICIS news]
BERLIN (ICIS)--Export prices of European chlorinated solvents are down by $50/tonne (€38/tonne) on ample availability and slower demand, market sources said on Monday.
Methylene chloride prices are at $850–1,000/tonne FOB (free on board) NWE (northwest Europe), down by $50/tonne across the board, whereas perchloroethylene (perc) prices are at $2,000–2,150/tonne FOB NWE, down by $50/tonne at the high end.
Good supply levels and lower buying interest caused by global economic uncertainty are the drivers of these decreases, sources said.
Buyers are reluctant to build up inventories in the expectation of decreases or to purchase material that might take several weeks to be delivered.
In addition, trading activity in the domestic market is relatively thin in comparison to previous years and producers are more inclined to offset lower demand by increasing export activity.
The dry-cleaning industry accounts for 43% of European perc demand, while 32% is used for metals cleaning, according to one European producer.
Methylene chloride is used in many diverse applications, which include paint stripping, metal cleaning and finishing, pharmaceuticals, polycarbonates, cellulose esters and photographic film.
Export markets for both methylene chloride and perc include the Middle East, North Africa and India.
($1 = €0.75)
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