24 April 2012 17:00 [Source: ICIS news]
LONDON (ICIS)--Epoxy resin producer Spolchemie is targeting a €100/tonne ($132/tonne) increase effective from 1 May for solid epoxy resin (SER) and liquid epoxy resin (LER) contracts, but buyers on Tuesday said they will resist because demand is weak and the market is long.
“This increase is additional to the announcement published in April and reflects the continued [feedstock] cost increases as well as unsustainable low margins,” the Czech Republic-based company said on Monday.
Another two producers are targeting increases of €50/tonne for the same reasons as Spolchemie.
However, buyers said they will not accept price increases and will instead target rollovers or decreases.
“I don’t expect increases in May, because the market is long and feedstock costs have stabilised in recent weeks, so there is no reason to increase prices,” a buyer said.
Epoxy resin May contract price discussions will get underway this week.
Follow Janos Gal on Twitter
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