17 October 2011 18:31 [Source: ICIS news]
Butac distributor prices, the main consumer range, were expected to take a big dive in October and began dropping late last week.
Sources said the range is now perched at 88-92 cents/lb ($1,940-2,028/tonne, €1,397-1,460/tonne), compared with the previous 96-100 cents/lb.
“It took awhile for a few folks to realise the downstream derivative affect,” a distributor said.
The new average distributor price of 90 cents/lb is 8 cents/lb lower than the previous average of 98 cents/lb.
The butac drop follows that of spot feedstock US chemical-grade propylene, which has sunk 31% since late August on soft demand and ample supply, sources said.
Butac producers tried to raise prices in September but the market rejected the proposals. Germany-based Oxea even floated a proposed increase for October but it gained no support.
Major US butac producers include Dow Chemical, Eastman Chemical and Oxea Group.
($1 = €0.72)
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