LONDON (ICIS)--Acrylic acid (AA) spot prices in Europe are lower on the high end of the range this week as traders said on Wednesday they had dropped offers on low demand.
Traders said ongoing slow demand since December had resulted in price reductions, but most market participants said buying interest is at the expected level for the time of year.
“Demand is pretty poor, it is awfully quiet,” a trader said.
January and February AA demand is typically weaker than that seen during the peak spring months, as end-use construction activity is largely dependent on weather conditions.
Availability is balanced to long. AA spot prices are at €1,410-1,430/tonne FD (free delivered) NWE (northwest Europe), €20/tonne lower on the high end.
Acrylate esters spot values are steady this week.
Another distributor said: “Well, we don't see that much doom and gloom, it is a usual January/February. It is like we expected - not too exciting. March and April look good though. March and April 2013 were not so good, we see more positive signs for 2014… rather than the huge spread of uncertainty in 2013.”
Demand is expected to pick up in the coming months, with some players hopeful that consumption levels will be healthier than they were during the spring in 2013.
Nevertheless, the distributor added: “Hope doesn't buy more acrylates.”
Acrylic acid is used almost exclusively to make acrylate esters. Major markets include surface coatings, adhesives and sealants, textiles, plastics additives and paper treatment.
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