Prices for US molten maleic anhydride (MA) remained flat in November through December, as market participants agreed that supply-and-demand factors were relatively balanced.
But the price of primary feedstock normal butane, or n-butane, remained a concern for producers, as it began to rise steadily after falling in October. The feedstock price continued to rise in December with no signs of abating, prompting producers to announce a round of price initiatives for January.
Those initiatives were implemented with relative ease, despite some initial resistance from buyers. Demand was said to be atypically strong in December, particularly among manufacturers of unsaturated polyester resin, used in making boats and automobiles.
After January’s price increases went through, the MA market remained quiet in February, with supply/and-demand in balance and the cost of normal butane relatively stable. There were no indications of any price initiatives for March.
Updated to mid-February 2013