Problems at Brazil’s Braskem HDPE plant tighten markets

24 August 2012 21:28  [Source: ICIS news]

HOUSTON (ICIS)--One of three Braskem high density polyethylene (HDPE) plants at Triunfo, Brazil, is experiencing problems of undisclosed nature, forcing a reduction in production that is affecting exports, a company source said on Friday.

The unexpected outage at the 150,000 tonne/year film plant has tightened the domestic market and the plant will not be able to supply some of the regular export clients, the source said.

The shortages are being covered with material from a 90,000 tonne/year plant in Camacari, which does not produce enough material to supply all clients.

The domestic market and exports to the south cone of South America will be covered, but exports to Andean countries and overseas locations will be curtailed.

News of the shortage has echoed in other markets, tightening supply of HDPE film grades, which are lately selling at low density polyethylene (LDPE) levels, which usually commands a premium.

By: George Martin
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