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Updated to Q1 2019
Melamine supply expectations are mixed depending on source. On the buy-side of the market, a relaxed 2020 picture is painted in terms of supply. Ahead of the first quarter contract discussions, suppliers have been highlighting the squeezed margin position in Europe. Producers have said that the market could become more balanced on less imported material from China going forward. Local operating rates could be managed depending on demand levels in the first quarter.
Demand expectations are mixed, due to a continued geopolitical uncertainty. Melamine demand typically follows global GDP so consumption for 2020 is largely dependent on economic growth and healthy performance in the construction and automotive industries. As a whole, 2020 should see a slight rise in growth within the construction sector, according to Oxford economics.
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Melamine was originally manufactured by heating dicyandiamide under pressure.
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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. Confirmed deals, verified by both buyer and seller, provide the foundation of our price assessments, giving you a robust reference for your negotiations.
ICIS collects pricing data on a wide range of chemical, energy and fertilizer products, including Melamine. Our extensive experience in price reporting means we can offer you access to historical data dating back more than 20 years for certain commodities.
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