21 September 2012 22:44 [Source: ICIS news]
MEDELLIN, Colombia (ICIS)--US industrial-grade ethylene glycol (EGI) contract values surged for September by 5 cents/lb ($110/tonne, €85/tonne) as the market is tight, sources said on Friday.
Contract values for EGI were assessed by ICIS as higher at 57-60 cents/lb.
Tightness is not projected to improve immediately and there is limited product available for export, sources said.
In fact, numerous sources said the market is so snug that product from Asia is being imported to cover demand.
Consumers said that some producers have announced an additional hikes for October pricing.
Diethylene glycol (DEG) pricing for September contracts also moved up, amid a snug market and recent production problems, which have exacerbated the supply situation.
Contract values for DEG were assessed higher at 59-63 cents/lb.
The DEG spot market remains limited because of depleted inventories.
Major EG producers in the US include LyondellBasell, Huntsman, MEGlobal, Indorama, SABIC and Shell.
($1 = €0.77)
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