Exports of Russian PS, styrene plastics down 7% in Q1 2016

MOSCOW (MRC)–Shipments of Russian polystyrene (PS) and styrene plastics into foreign markets dropped in the first quarter of 2016 by 7% year on year to 17,610 tonnes, whereas shipments to Ukraine increased, according to MRC ScanPlast report on Wednesday.

Exports to Belarus and Kazakhstan decreased, whereas shipments to Ukraine increased, it added.

The fall of export shipments was registered in the general purpose polystyrene (GPPS) market (GPPS exports fell by 27% to 8,200 tonnes).

Exports of acrylonitrile-butadiene-styrene (ABS) also decreased substantially. Q1 ABS exports totalled 190 tonnes versus 820 tonnes a year earlier. At the same time, deliveries of high impact polystyrene (HIPS) grades to foreign markets increased by 5%, totalling about 5,000 tonnes.

The expandable polystyrene (EPS) market was the exception. EPS exports more than doubled and were 4,240 tonnes versus 2,000 tonnes a year earlier. Ukraine accounted for the main EPS shipments.

Ukraine remained the main consumer of Russian styrene plastics. Deliveries to Ukraine rose to 7,600 tonnes in January-March 2016, up by 41% year on year.

Strong demand for Russian material from Ukrainian processing companies was caused by the price advantage compared to prices of European and Asian producers and short delivery time.

It is worth noting that among other countries-consumers of PS, demand for Russian HIPS and GPPS grades grew significantly from Lithuanian and Polish companies.

MRC, a partner of ICIS, produces polymers news and pricing reports from Russia, Ukraine, Belarus, Uzbekistan and Kazakhstan.