China BDO spot import prices set to firm on higher deals, tight supply

SINGAPORE (ICIS)–Spot import prices of 1,4-butanediol (BDO) into the China market are poised to register gains in the week ending 28 February, market players said on Monday.

According to market players, Asian-origin BDO spot bulk cargoes changed hands in the same assessment week at $1,500/tonne CFR China Main Port (CMP).

In the week ended 21 February, spot prices for import cargoes into China were assessed at $1,400-1,450/tonne CFR CMP, ICIS data showed.

Market players said the main reason for price increase in import prices was snug spot availability of BDO cargoes in the region due to a myriad of factors such as production woes, lowered operating rates due to high feedstock costs and thin margins.

As a result, market players held on to expectations of price increase in the near term amid firmer deals and existing market conditions.


Picture (top): BDO is the feedstock for the production of polytetramethylene ether glycol (PTMEG) which is to make spandex (polyurethane) fibers. (ImageSource/Rex/Shutterstock)