Oxea seeks 4-cent hike for US butac for 1 August

14 July 2014 20:42 Source:ICIS News

HOUSTON (ICIS)—Oxea is seeking a 4-cent/lb ($88/tonne) increase for US butyl acetate (butac) effective 1 August, the company announced on Monday.

The company did not give reason for the increase. However, sentiment in the butac market has been that demand was strong, and the market was tight due to production issues of butac suppliers.

Oxea earlier this month declared force majeure at its oxo intermediates plant in Bay City, Texas.

Meanwhile, Dow Chemical also announced it was seeking a separate 4-cent hike for butac in August.

Both companies had sought 3-cent increases for July. There was no confirmation in the market on whether those increases were accepted, and ICIS-assessed prices for butac rolled over last week.

Current ICIS-assessed prices for contract butac are 91-94 cents/lb. Distributor prices are 92-94 cents/lb, and spot butac is assessed at a range of 82-95 cents/lb.

Major US butac suppliers are Dow, Eastman and Oxea.

By Andrew Guy Jr