Mexico’s April PE production falls on plant maintenance

13 April 2012 19:44  [Source: ICIS news]

HOUSTON (ICIS)--Polyethylene (PE) supplies in Mexico has declined slightly in April as plant maintenance affects mainly two grades, a source at Pemex said on Friday.

Availability of high density PE (HDPE) for blow moulding applications was affected by a recent stoppage at Pemex's 80,000 tonne/year Mitsui plant, which is now in process of restarting, the source said.

In addition, the low density PE (LDPE) plant at Cangrejera will stop one of its three production trains on 16 April for planned maintenance that should last one month. Each train at Cangrejera has a nominal capacity of 100,000 tonnes/year.

Operations at all other PE plants in Mexico were said to be normal. This includes the 300,000 tonne/year Morelos swing plant and the 100,000 tonne/year Asahi HDPE plant.

With some inventories built up during the slow Easter holiday and two other trains running normally, availability of product will not be seriously affected, the source said.

Demand has not awakened so far in April, but there were expectations about renewed strength for the second half of the month.

Imported HDPE was also said to be in short supply, particularly for high molecular weight (HMW) applications.

Prices have remained stable for all grades of PE. Market participants envisioned steady conditions for the remainder of April.

By: George Martin
+1 713 525 2653

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