NEW YORK (ICIS)--Indorama has announced a 3.0 cents/lb ($66/tonne) price increase on all grades of its US polyethylene terephthalate (PET) resin, effective on 1 July, the company said in letter made available on Thursday.
The increase announcement is due to the continued increase in raw material costs, the company said.
The increase applies to PET supplies from Indorama’s subsidiaries, Starpet and Auriga Polymers.
Some market sources have previously said that price increases are needed to cover ground lost in April due to the unexpected split settlement in the contract price for upstream paraxylene (PX) and the direct feedstock for PET, purified terephthalic acid (PTA).
PET in the US market is primarily used to produce plastic beverage bottles, rather than textiles as the latter is not as big of an outlet in the US.
PET producers in the US include DAK Americas, Indorama, Mossi & Ghisolfi (M&G) and Nan Ya Plastics.