22 January 2013 22:23 [Source: ICIS news]
HOUSTON (ICIS)--A third US acrylic acid and acrylate esters producer has announced its intent to raise prices by 7-8 cents/lb ($154-176/tonne, €116-132/tonne), effective 1 February, sources confirmed on Tuesday.
In a letter to customers, BASF cited higher raw material costs as its primary rationale for the increase.
BASF’s acrylates proposal, which seeks an increase of 8 cents/lb for 2-ethylhexyl acrylate (2-EHA), and an increase of 7 cents/lb for glacial acrylic acid (GAA) and the other esters, is the third initiative for February among the major producers.
Dow Chemical proposed acrylates increases of 3 cents/lb for January and 9 cents/lb for February. Although Arkema submitted no January proposals, it is seeking gains of 11-14 cents/lb for February.
BASF said late last week that it had achieved its proposed gains of 5-6 cents/lb for January.
However, for most customers, January acrylates negotiations were still under way, with most buyers insisting that broad January pricing would likely rise by only 1-2 cents/lb because market conditions remain largely soft, including ample supply and lacklustre-but-improving demand.
Current GAA prices are in a range of $1.10-1.14/lb, as assessed by ICIS.
($1 = €0.75)
For more on acrylates, visit the ICIS Plants & Projects database
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