Initial Europe ACN contract prices up €25-30/t on feedstock rise

13 December 2013 16:52 Source:ICIS News

LONDON (ICIS)--Initial European acrylonitrile (ACN) December contract prices have been agreed at increases of €25-30/tonne ($34-41/tonne), market sources said on Friday.

The price rise was the result of feedstock propylene contract price increases, which were tempered by ammonia spot price falls. December ACN negotiations are ongoing.

Some buyers continue to argue for more limited price rises of €20/tonne, because of weak demand resulting from year-end destocking. Producers continue to target price rises of €30/tonne.

The December propylene contract price rose by €30/tonne. At the broadly accepted production ratio of 1.1 tonnes of propylene to 1 tonne of ACN, this equates to a €33/tonne cost rise from propylene.

($1 = €0.73)

By Mark Victory