Europe ethanolamines prices face upward pressure on better demand

12 March 2014 10:55 Source:ICIS News

LONDON (ICIS)--European ethanolamine spot prices are facing further upward pressure on limited imports and strong demand, producers and consumers said on Wednesday.

“Cheap imports are still very limited and the volume demand on spot market is currently very strong”, said one producer.

Another producer said: “Our order book is nicely filled.”

The tightness is said to be finally pushing prices up, with hopes of March contract increases.

Ethanolamines prices start moving a little”, said one distributor.

Diethanolamines (DEAs) continue to be tightest, and the price pressure here is said to be spilling over into other products which contain DEAs – particularly triethanolamine (TEA) 85%. Monoethanolamine (MEA) is also seeing some upward price pressure with talk of €10-20/tonne increases.

Producers are very optimistic on higher quarterly pricing, despite reductions in key feedstock ethylene.

“Everyone tries to increase prices for next quarter,” said the distributor.

A quarterly buyer said: “Producers  look for increases but will not necessarily get them.”

By Rhian O'Connor