Asian ethylene margins drop on weaker spot ethylene values

16 October 2017 22:23 Source:ICIS News

HOUSTON (ICIS)--Asian ethylene margins came down during the week ended 13 October, tracking weaker spot ethylene values, the ICIS margin report showed on Monday.

In northeast Asia, naphtha-based ethylene margins fell 7.3% week on week, while LPG-based margins fell 7.5%.

In southeast Asia, naphtha-based ethylene margins fell 8.6% week on week, while LPG-based margins fell 10%.

Spot ethylene in NE Asia was down $28/tonne during the week, while spot values in SE Asia fell $25/tonne.

Cracker co-product credits were also down across the board, falling $24/tonne for naphtha-based ethylene margins and $13/tonne for LPG-based ethylene margins.

This all offset slight declines in feedstock costs for LPG. On an ethylene production basis, LPG fell $4/tonne. On the same basis, naphtha increased by $4/tonne.

Ethylene margins have fallen four consecutive weeks across the board.

By John Detrich