BASF seeks US Nov acrylates increases, lifts FM on GAA

Source: ICIS News


HOUSTON (ICIS)--US November acrylates price-hike initiatives emerged on Friday from major producer BASF, which is seeking gains of 3 cents/lb ($66/tonne) for its glacial acrylic acid (GAA) and the acrylate esters.

In a letter to its customers, BASF did not provide specific rationale for its proposal, but stipulated an effective date of 1 November.

Feedstock pressure and supply constraints previously prompted separate October increase initiatives of 9-10 cents/lb ($198-220/tonne), which are beginning to settle moderately below sellers' targets.

Supply limits remain in place, but have eased since Hurricane Harvey hit the US Gulf Coast in late August.

Also this week, BASF lifted its force majeure on GAA, but did not confirm whether its acrylates remained on sales control as they had been for several weeks.

Last month, US September acrylates settled flat from August as US producers and customers contended with production and transportation disruptions caused by Harvey.

The rollover held the September butyl acrylate (butyl-A) contract range, for example, at 91-95 cents/lb FD (free delivered), as assessed by ICIS.

Acrylates are commonly used to make products including paint and coatings, plastics and construction and pressure-sensitive adhesives.

US acrylates suppliers include Arkema, BASF, Dow Chemical and Sasol.