Rising feedstock costs lead to price increase nominations for US IPA market

Author: Deniz Koray

2021/01/13

HOUSTON (ICIS)--The US isopropanol (IPA) market is weighing price increase nominations  for the second time in less than a month.

However, after seeking a 5 cent/lb increase in December, producers are now seeking a 10 cent/lb ($220/tonne) increase.

ExxonMobil and LyondellBasell introduced their second set of nominations. In addition, Sasol is seeking its first increase, at 5 cents/lb.

Although representatives for these companies did not respond to requests for comment, multiple players noted the nominations.

Separate price increase nominations can be seen below:

Company Product Date of Proposed Increase Amount
ExxonMobil IPA 4-Jan 10 cents/lb
LyondellBasell IPA 6-Jan 10 cents/lb
Sasol IPA 1-Jan 5 cents/lb

Buyers said that higher prices were reflected this week in pricing letters, but they were still uncertain if higher prices had been fully implemented, partially implemented, or if discussions were ongoing.

Domestic IPA prices are assessed at 61-65 cents/lb delivered (DEL) US Gulf.

Prices for the past year can be seen in the chart below.

ICIS Editorial Chart goes here

US IPA suppliers include ExxonMobil, Dow Chemical, LyondellBasell, Monument Chemical and Shell Chemical.