SINGAPORE (ICIS)--Spot import prices of toluene di-isocyanate (TDI) to the Gulf Cooperation Council (GCC) increased for the second consecutive week to hit fresh record highs on the back of tight supply.
In the week ended 2 November, TDI prices were assessed at $4,600-4,700/tonne CFR (cost and freight) GCC, up by an average of $100/tonne from the previous week, according to ICIS data.
The prices have resumed their uptrend after pausing for three weeks in October.
Current prices are 43% higher compared with levels on 20 July, when the sharp spike started, based on the data.
A deal for northeast (NE) Asian-origin TDI was heard done this week at $4,700/tonne CFR GCC, which marks the highest price in the market since ICIS began tracking the data in August 2011.
For Asian-origin TDI, offers were mostly heard in the $4,600-4,650/tonne CFR GCC range.
Tight supply due to recent production issues has been driving up TDI prices, but this could ease in the coming weeks as a key NE Asian producer was heard to be running at full capacity after a turnaround.
The Middle East imports most of its TDI from northeast Asia.
Additional reporting by Pearl Bantillo
Picture: Toluene diisocyanate (TDI) is used to make polyurethanes, which go into foams for furniture such as sofa and bed. (Photographer: Mark Hunt/REX/Shutterstock)