China’s Tianjin Dagu to shut SM, ABS, EPS units for maintenance
15 March 2012 06:39 [Source: ICIS news]
SINGAPORE (ICIS)--?xml:namespace>China’s Tianjin Dagu Chemical plans to shut its 500,000 tonne/year styrene monomer (SM) unit at Tianjin in northern China in late March or early April, in line with a turnaround at an upstream cracker, a company source said on Thursday.
The source did not give details of the upstream plant.
The producer’s downstream 200,000 tonne/year acrylonitrile-butadiene-styrene (ABS) unit and 120,000 tonne/year expandable polystyrene (EPS) unit will also be shut at the same time, the source added.
In addition, Dagu Chemical has decided to cancel its contract supply and suspend spot sales in April, according to the source.
The company will reduce its traditional SM supply to eastern and southern China in 2012, as demand increases in northern China because of more downstream capacities coming on stream, added the source.
As a result of the shutdown, some downstream producers will be actively stocking up on SM cargoes, said a market player.
North China SM prices are expected to be boosted by the reduced supply and recovered demand from the downstream EPS sector, the player added.
By: Echo Chen
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