Global IPEX slumps 10.6% in August on lower chemical prices across all regions

LONDON (ICIS)–The ICIS Petrochemical Index (IPEX) fell 10.6% month on month in August as petrochemical and plastics prices fell across all regions amid weaker demand levels and lower crude oil values.

The IPEX in northeast Asia posted the sharpest fall, slumping by 10.7% in the month. Butadiene (BD), benzene, and styrene drove the drop and only methanol posted an increase.

Prices in northwest Europe were down 10.6%, with benzene, styrene and toluene pushing the index down. Butadiene was the only European product that posted an increase in prices in August.

The US Gulf index experienced the softest decline, with benzene, toluene and styrene leading the fall. In this region, pricing dropped across every commodity, with the exception of ethylene, propylene and butadiene.

The Global IPEX index is down 8.4% year on year.

The ICIS petrochemical index tracks the movement of prices for the 12 major petrochemicals and polymers: ethylene, propylene, butadiene, benzene, toluene, paraxylene (PX), polyethylene (PE), polypropylene (PP), styrene, polystyrene (PS), methanol and polyvinyl chloride (PVC) with the regional indexes weighted by capacity. The IPEX values are related to a January 2000 base of 100. IPEX values are subject to change retrospectively as monthly contract prices are settled.