Price and market trends: US SBR contracts roll over, gain

21 April 2014 00:00 Source:ICIS Chemical Business

US styrene-butadiene-rubber (SBR) contract prices for April rolled over or increased by several cents/lb, depending on feedstock costs for butadiene (BD) during the month the SBR contracts were based on, sources said on 9 April.

ICIS has assessed April contract prices for SBR non-oil grade 1502 at 104-114 cents/lb FOB (free on board), up 1 cent/lb from March, and oil-extended grade 1712 at 98-108 cents/lb FOB, up 0.5 cent/lb from March.

Some buyers saw April SBR prices remain the same because their SBR contracts were based on April BD contract prices, which rolled over at 68 cents/lb for three producers and 78 cents/lb for one producer.

US SBRHowever, other buyers saw an increase in April pricing because their SBR contracts were based on BD prices from the month before, and March BD contracts had risen by 8 cents/lb for three producers and 13 cents/lb for one producer.

An SBR producer, whose prices were based on BD from the previous month, said that its April contracts rose by about 5 cents/lb.

The producer added that its prices still fell between the ICIS-assessed range.

Meanwhile, US February contracts for styrene, the other feedstock for SBR, had settled at an average increase of 1 cent/lb.

The movement did not have a significant impact on SBR contract prices.

By Tracy Dang