Methyl ethyl ketone Overview transcript
Methyl ethyl ketone or MEK is a solvent used mainly in paints and coatings and adhesives. It is also found in household products such as lacquer, varnishes, and paint remover.
Japan, Taiwan, China and the US are key exporters to markets such as South Korea, Indonesia and Thailand. Most sellers outside of China have long-term supply contracts, with distributors across Asia, and prices are usually settled on a monthly basis.
The Chinese tend to be spot sellers and any big swings in their supply can quickly impact regional prices.
The predominance of long-term supply agreements has done little to keep Asian prices stable in recent years, with demand growth outstripping capacity expansions in Asia, any tightening in supply due to plant shutdowns can effect prices significantly.