LONDON (ICIS)--European acrylonitrile (ACN) producers on Friday refused to confirm an initial February contract price reported by a buyer at plus €8/tonne.
Producers said the initial settlement was not reflective of February negotiations which remain ongoing. They argue that globally tight ACN supply supports price rises beyond €8/tonne.
“I think €8/tonne is far too low for me. In the tightness of the market it's far too low,” a producer said.
Sources said that rising feedstock ammonia costs had placed upward pressure on the ACN contract price. Nevertheless, free on board (FOB) Yuzhny spot ammonia prices have fallen by $4-20/tonne since the beginning of 2014.
Contract prices for ACN’s other feedstock, propylene, rolled over in February.