US EPS poised to rollover again in June

David Love

24-May-2016

HOUSTON (ICIS)–The US expandable polystyrene (EPS) market appears to be poised for a price rollover in June, market participants said on Tuesday.

EPS prices also rolled over in May, after a 5 cent/lb ($110/tonne) price increase in April. The April price increase was the first time that prices had gone up since May 2015.

Market participants are continuing to watch feedstock benzene and styrene prices for direction. Both markets have been largely flat over the last two months. Spot benzene has traded within a 17 cent/gal range since 4 May. Spot styrene has fluctuated within a 2.17 cents/lb band since the middle of March.

Asian EPS prices have continued to drift lower on limited near-term demand. Lower Asian prices have opened the door for some exports to the US market. However, most US buyers are waiting for prices to drop to the mid-to-upper 70 cents/lb range, given the long lead time on deliveries. A couple of spot sales were heard to have been done at 79 cents/lb.

June demand in the domestic EPS market looks good, according to one producer.

Like the US, Mexican EPS prices are expected to rollover in June, according to market sources. EPS prices also rolled over in May. Demand remains good, and the outlook for June is the same. EPS producers are heard to be running at full capacity, with no issues seen.

North American EPS producers include Dart Polymers, Flint Hills Resources, Grupo Idesa, Nexkemia Petrochimie, NOVA Chemicals, Plasti-Fab, StyroChem International and Styropek.

READ MORE

Global News + ICIS Chemical Business (ICB)

See the full picture, with unlimited access to ICIS chemicals news across all markets and regions, plus ICB, the industry-leading magazine for the chemicals industry.

Contact us

Now, more than ever, dynamic insights are key to navigating complex, volatile commodity markets. Access to expert insights on the latest industry developments and tracking market changes are vital in making sustainable business decisions.

Want to learn about how we can work together to bring you actionable insight and support your business decisions?

Need Help?

Need Help?