19 April 2013 21:50 [Source: ICIS news]
NEW YORK (ICIS)--The US paraxylene (PX) April contract was fully settled down by 7.25 cents/lb ($160/tonne, €123/tonne), sources said on Friday.
The April US PX contract is now at 72.25 cents/lb DEL (delivered), down from 79.50 cents/lb DEL in March.
April values have been poised to fall on the back of significantly reduced contract values in the PX Asian Contract Price (ACP), which was settled at $1,400/tonne CFR (cost & freight) Taiwan for April, a 16% reduction from a deal that was settled in March at $1,670/tonne CFR Asia.
In March, other Asian end users disagreed with their respective sellers and decided to settle their March deals, according to individual contracts.
US market players watch trends in Asian pricing, which they use as the basis of their price negotiations.
US supply and demand are in balance, said a PX buyer.
US PX spot prices were notionally down by 3 cents/lb on Friday, following a softening in Asian spot PX prices.
PX is primarily used to make purified terephthalic acid (PTA), an intermediate chemical used in the production PET. A major outlet for PET is in the production of plastic bottles for beverages.
Major US PX producers include BP Chemicals, ExxonMobil Chemical, Chevron Phillips Chemical and Flint Hills Resources.
($1 = €0.77)
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