21 August 2012 21:32 [Source: ICIS news]
HOUSTON (ICIS)--US acetic acid spot prices rose by $50/tonne (€41/tonne) on the high side of the range during the past seven days on further tightening from a force majeure, sources said on Tuesday.
US acetic acid FOB (free on board) export prices now run at $615-715/tonne, sources said, about 4% higher on an average basis from the previous range of $615-665/tonne.
The jump represents another breakout to a new high this year for spot US acetic acid, which moved up initially in July following the force majeure declared by BP on material produced at a Texas plant. BP announced the action in a 23 July letter to customers.
One buyer had heard of spot acetic acid hitting $750/tonne in the past week, although it could not be confirmed, and that number had since retreated.
Another source reported hearing highs of $683-705/tonne.
“The FM has helped everyone get prices up, that is for sure,” a buyer said.
A popular buy point was around $661/tonne, according to market sources.
There was more talk that BP would end the force majeure soon - some said within the next week.
BP has not issued a statement on when the force majeure would end. Major US acetic acid sellers include BP, Celanese and Eastman Chemical.
($1 = €0.81)
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