23 November 2011 22:37 [Source: ICIS news]
HOUSTON (ICIS)--US acrylonitrile butadiene styrene (ABS) spot prices were assessed on Wednesday to have fallen by 10 cents/lb ($220/tonne, €163/tonne) across the board since 21 October on decreased feedstock costs and demand.
As an example, bulk medium injection grade material decreased from 135 cents/lb to 125 cents/lb, a 7% drop as assessed by ICIS.
Acquiring feedstock has not been an issue for the producers.
Butadiene (BD) prices continued to fall as one producer has nominated a 10 cent/lb reduction for the December contract. The ICIS-assessed price for acrylonitrile (ACN) decreased last week, while spot prices for styrene increased slightly.
The end-of-the-year efforts to reduce and control inventory, coupled with high unemployment in the US, the debt crisis in Europe and production cutbacks in Asia, have all contributed to suppressing market activity, market sources said.
As the year nears its end, demand weakens for many chemicals as downstream users trim back production and companies try to destock inventories.
One buyer said the ABS market would bottom out in December before rebounding in January.
US ABS producers include INEOS, SABIC and Styron.
For more on acrylonitrile butadiene styrene, butadiene and styrene, visit ICIS chemical intelligence.
($1 = €0.74)
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