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Updated to Q1 2017
US ethylene dichloride (EDC) prices moved up $50/tonne FOB US Gulf during the first quarter.
Even so, US producers fought tightening margins as feedstock ethylene costs moved up sharply in January to peak in early February.
The EDC price increase roughly followed its raw material cost factor derivative polyvinyl chloride (PVC). EDC accounts for about 45% of PVC raw material costs. PVC rose about $100/tonne during the quarter and contract prices rose 4 cents/lb, or $88/tonne.
US EDC exports fell during the last four months of 2016 compared with the same period in 2015, but started 2017 with the highest January export volumes of the past four years. Still, US exports were up 10% for 2016 compared with 2015.
US EDC prices are expected to continue to follow the values for PVC during the second quarter.
ICIS provides pricing information, news and analysis for all major petrochemical and chemical markets, including Ethylene dichloride.
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ICIS price assessments are based on information gathered from a wide cross-section of the market, comprising consumers, producers, traders and distributors from more than 250 reporters world-wide. Confirmed deals, verified by both buyer and seller, provide the foundation of our price assessments.
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