Europe POM buyers delay Q2 contract talks on cheap imports

16 April 2013 17:33  [Source: ICIS news]

LONDON (ICIS)--Some European polyacetal (POM) buyers are delaying second-quarter contract price negotiations because of lower-priced imports arriving from Asia, they said on Tuesday.

One buyer said that it had been offered spot POM from Asia for as low as €1.40/kg ($1.81/kg) FD Europe.

“[Second quarter contracts are] not finalised yet, lots of cheaper materials [from Asia] means we're holding off,” a buyers said

Although spot material from Asia does not traditionally arrive in sufficient quantities to influence contract discussions, some European buyers said that they are delaying second-quarter negotiations because of low-priced imports.

Demand is stable compared with March, and broadly in line with April 2012 volumes, but remains at a low level becuase of poor macroeconomic conditions reducing consumer purchasing power.

Nevertheless, some buyers said that material arriving from overseas has coupled with the weak demand to create a long market.

($1 = 0.77)

By: Mark Victory
+44 208 652 3214

AddThis Social Bookmark Button

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.

Printer Friendly