Asia PP margins decline for 3rd week on lower prices

HOUSTON (ICIS)–Asia polypropylene (PP) margins dropped for the third week in a row for the period ending 27 May on lower PP prices and lower co-product values, the ICIS margin report showed on Tuesday.

In northeast (NE) Asia, naphtha-based PP integrated margins fell for the third week in a row, down 4.19% on lower cracker co-products and PP prices.

Naphtha feedstock costs declined by 1.85%.

For propane dehydrogenation (PDH) material, NE Asia integrated PP margins fell 6% on a 2.7% increase in propane feedstock. Standalone PP margin rose 7.3%.  

In southeast (SE) Asia, naphtha-based PP integrated margins fell 5% on a corresponding drop in co-products and about a 2% decline in PP prices.

SE Asia integrated PDH dropped almost 6.6% on a 2.7% increase in naphtha feedstock costs.