US styrene suppliers not looking to raise prices in March

HOUSTON (ICIS)–US styrene suppliers are opting not to seek price increases for March contracts, market sources said on Friday, with a couple saying they would seek rollovers.

The lack of March styrene contract price hikes comes after the March benzene contract settled at a 14 cent/gal decline from February.

Styrene demand has also eased following recent production issues earlier this quarter.

Buyer reaction to producers’ decision not to raise prices has been thin.

Suppliers and consumers were still negotiating February styrene contracts. Initial February styrene contracts emerged this week with increases of 0.5-1.50 cents/lb ($11-33/tonne) on the back of strong feedstock benzene costs from February and tight supply.

The initial increase was below the 4 cent/lb increase that suppliers had announced for February because of the 25 cent/gal increase in the February benzene contract.

Additional February styrene contract settlements are expected to emerge next week.

January styrene contracts were settled at 84.25-88.25 cents/lb FOB (free on board).