Asia’s polybutylene terephthalate (PBT) prices fell in northeast Asia and India to $1.95-2.00/kg CIF (cost, insurance & freight) NE (northeast) Asia/India in early December, tracking weak demand from downstream markets towards the end of 2012.
This trend was reversed when prices recovered to $2.00-2.08/kg CIF NE Asia/India by mid-January, following an upswing in feedstock butanediol (BDO) and purified terephthalic acid (PTA) spot prices. Active restocking by buyers early in January after holding lean inventories towards the year-end supported higher offer prices.
A number of upcoming facilities in Asia commencing operations in 2013 weighed on market sentiment amid dull demand.
With the overall PBT demand much dependent on the global economy, its outlook continues to remain clouded by an uncertain global economic outlook.
Market participants continued to point out that the bigger market was in the compounded segment. The natural-grade PBT is usually compounded with ingredients such as glass fibre to create electrical end-products that are allocated for exports.
Updated to mid-February 2013