BASF seeks immediate hike in global amines prices

LONDON (ICIS news)–BASF plans to increase global prices for ethanolamines, ethylene amines and isopropanolamine by with immediate effect, the company said on Thursday.

It has sought a Euro50-100/tonne rise in Europe, while the proposed rise in Asia, the Americas and other non-European countries would be $60-120/tonne.

BASF said the price rise was in response to recent increases in raw material prices as well as higher costs for energy and production. Strong upstream sentiment has seen increases on both ethylene and propylene, and BASF was keen to pass on these costs.

Second quarter contracts for ethyelene were settled at Euro865/tonne free delivered (FD) Northwest Europe (NWE), up Euro80/tonne on quarter one. Propylene contract prices climbed to Euro825/tonne FD NWE, up Euro40/tonne over the same period.

BASF said its proposed price increases for ethylene and propylene derivatives were effective immediately, or as contracts allowed. However, market players indicated that it may be difficult to achieve the targeted increases.

The ethanolamines market was described as fairly flat and resellers said that demand was still fairly quiet. Monoethanolamine (MEA) prices were currently quoted in the range Euro1,200-1,300/tonne, according to global chemical market intelligence service ICIS pricing. Diethanolamine (DEA) was assessed at Euro1,100-1,150/tonne, while 99% grade triethanolamine (TEA) was at Euro 1,240-1,320/tonne.

Ethylene diamine (EDA) buyers were still hopeful of maintaining current price levels of around Euro1,600-1,700/tonne, although some accepted that an increase was necessary. Other producers have targeted second quarter increases of Euro20-50/tonne. 

BASF was currently preparing for maintenance turnarounds on ethanolamines and ethylene amines, with units at Ludwigshafen, Germany, and Antwerp, Belgium, both due to go offline in late April/May.

Ethanolamines, ethylene amines and isopropanolamines are used in the manufacture of woods products, agrochemicals, process chemicals for gas scrubbing, lubricants, cement additives and surfactants for cleaning products.

(Rachel Robson contributed to this article.)