20 April 2012 17:14 [Source: ICIS news]
US PP contract prices for April were at 88.50-90.50 cents/lb ($1,951-1995/tonne, €1,483-1,516/tonne) DEL (delivered) for homopolymer injection and raffia grade material, as assessed by ICIS.
Much of the PP market has a monomer-based contract that follows the monthly polymer grade propylene (PGP) cost. PGP prices held steady at 77.50 cents/lb for April.
Suppliers said they hoped the stability of a flat settlement would help improve demand.
"Right now that things seem to be stabilising a little, the hope is that customers will come back,'" said one producer. "But the demand isn't particularly strong."
Other market participants saw the rollover as a sign of inertia in the market.
"The market doesn't want to move at these levels, it doesn't want to perform," said one broker. "The only way that I know of for things to change is to see the pricing come down, and I have no indication that is going to happen next month."
While contract prices were stable, buyers said there were plenty of discounted offers for generic prime spot material.
One buyer said it bought several railcars of what it called "barefoot prime" homopolymer PP at between 72-73 cents/lb.
Major North American PP producers include LyondellBasell, ExxonMobil, INEOS, Total, Formosa, Braskem Americas, Pinnacle Polymers, ConocoPhillips and Flint Hills Resources.
For the latest chemical news, data and analysis that directly impacts your business sign up for a free trial to ICIS news - the breaking online news service for the global chemical industry.
Get the facts and analysis behind the headlines from our market leading weekly magazine: sign up to a free trial to ICIS Chemical Business.
|ICIS news FREE TRIAL|
|Get access to breaking chemical news as it happens.|
|ICIS Global Petrochemical Index (IPEX)|
|ICIS Global Petrochemical Index (IPEX). Download the free tabular data and a chart of the historical index|
Asian Chemical Connections