Europe TiO2 Q1 prices up €50-100/tonne on feedstocks
27 January 2012 23:59 [Source: ICIS news]
LONDON (ICIS)--European titanium dioxide
(TiO2) first-quarter prices have risen by €50–100/tonne ($70–130/tonne) on the back of firmer feedstock rutile and ilmenite costs, sources confirmed on Friday.
Several customers said they took on up to €150/tonne increases, but this is still considerably less than the €300/tonne hikes
originally targeted by manufacturers amid weak demand.Lacklustre demand
across all downstream industries severely affected TiO2 producers’ price hike initiatives and there is plenty of extra material on offer in the market.
One buyer said demand is up to 20% lower in southern Europe because of uncertainty surrounding the eurozone debt crisis and – in contrast to January 2011 – spot material is readily available.
Consequently, many buyers got away with rollovers in January and are taking the price rise on for just the second two months of the quarter.
The size of the price increase customers took on differed depending on the producer and grade and, as a result, there is a fairly wide range in the market. Downstream laminates producers are paying prices at the lower end of the range, while masterbatch customers are nearer the high end.
No European manufacturer is offering material for less than €3,000/tonne FD (free delivered) NWE (northwest Europe), while buyers and sellers are saying prices will go up to around €3,400/tonne.
($1 = €0.76)For more on TiO2 visit ICIS chemical intelligence
By: Amandeep Parmar+44 208 652 3214
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