05 April 2013 23:59 [Source: ICIS news]
The April pre-discounted phenol contract price settled at €1,556-1,596/tonne ($2,007-2,059/tonne) FD (free delivered) NWE (northwest
The April European benzene contract settled at €992/tonne FD NWE.
Said one phenol buyer: “The decrease is very much welcomed in the industry, but the drop is insufficient to make the industry feel comfortable again.”
Q1 demand for phenol has been relatively stagnant, and no major shift in the supply and demand dynamic of the market is expected in the coming months.
Because of this, operating rates in
“Production will remain low in the second quarter because there are no indications that demand is going to get much better,” said a phenol supplier.
A second seller of phenol described its demand as “very bad”.
However, sources say volumes are moving, albeit at low levels and consumers are keeping orders to a minimum.
“Demand is weak but I think the closure of
A second producer said there really was nothing new to say about the phenol market.
“People are just waiting,” he said.
Buyers said there was no shortage of phenol available, and some were even struggling to honour their contractual commitments.
The phenol contract in Europe is largely linked to feedstock benzene price movements, although a quarterly fee, also known as the adder, can be an influencing factor for some producers and consumers in
($1 = €0.77)
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