Europe nylon 6 buyers aim for Dec rollover despite upstream cost rise

10 December 2013 16:00 Source:ICIS News

LONDON (ICIS)--European nylon 6 buyers and one producer are expecting December contract prices to rollover despite a €109/tonne increase in the upstream benzene December contract price, they said on Tuesday.

Although upstream cost rises are putting upward price pressure on the whole of the polyamide chain, buyers argue that this has been counterbalanced by the short working month in December and traditional year-end destocking.

Several nylon 6 producers are targeting December price increases of up to half of the benzene cost increase, arguing the need to restore margins.

They also said consumption is above traditional December trading patterns because buyers are pre-buying in anticipation of higher prices in January. Producers also said that pre-buying in Asia is also stimulating export demand.

($1= €0.73)

By Mark Victory