S Korea’s GS Caltex to export 6,000 tonne solvent oil in January

23 December 2011 11:25  [Source: ICIS news]

SINGAPORE (ICIS)--South Korea’s GS Caltex Petrochemical plans to export 6,000 tonnes of aromatic solvent oils in January, down by 25% from December volumes amid soft demand, a company source said on Friday.

To boost sales, the company has cut prices of its January cargoes by $10-55/tonne (€7.7-42.4/tonne) from December to $1,100-1,110/tonne on a free on board (FOB) basis, the source said.

The upcoming week-long holiday in China for the Lunar New Year celebration on 21-28 January makes most Chinese traders reluctant to buy cargoes.

Downstream users usually cut back on spending before the holidays.

Moreover, the Chinese market would be in oversupply in January because overseas suppliers are sending more than 10,000 tonnes of aromatic solvent oils to the country in that month, industry sources said.

GS Caltex Petrochemical exported 8,000 tonnes of aromatic solvent oil in December at $1,120-1,165/tonne FOB.

($1 = €0.77)

By: Kim Lu
+65 6780 4359

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