30 March 2012 09:04 [Source: ICIS news]
The company is currently running the plant at 90% capacity, the source said.
“The plant is produce non-oil grade SBR 1502 currently, we may begin to produce oil-extended SBR
Fuxiang Chemical restarted its 50,000 tonne/year butadiene rubber (BR) plant at the same site on 28 March and is expected to run it at 60% capacity in April, the source said without specifying the current rate.
“Poor margins may be a reason for Fuxiang Chemical to reduce SBR and BR production in April because the [high] prices of butadiene (BD), a feedstock of SBR and BR,” an industry source said.
BD prices were assessed at yuan (CNY) 26,000/tonne ($4,127/tonne) ex-tank Yangtze, while non-oil grade SBR was assessed at CNY23,500-24,300/tonne EXWH (ex-warehouse) east China, according to data from Chemease, an ICIS service in China on 29 March.
BR was assessed at CNY27,800-28,300/tonne EXWH east
“Compared with BD prices, non-oil grade SBR 1502 and BR should be priced at above CNY25,000/tonne and CNY30,000/tonne, respectively, to ensure margins for makers,” the source added.
($1 = CNY6.30)
|ICIS news FREE TRIAL|
|Get access to breaking chemical news as it happens.|
|ICIS Global Petrochemical Index (IPEX)|
Asian Chemical Connections