SINGAPORE (ICIS)--Indicative prices for January-shipment liquid epoxy resins (LER) in Asia were higher at around $3,000/tonne, with most producers sold out of December-shipment cargoes, industry sources said on Tuesday.
On 12 December, ICIS assessed LER prices at $2,600-2,700/tonne FOB (free on board) NE (northeast) Asia.
“We have been receiving enquiries for January-shipment cargoes but we are not keen to start discussions because we are waiting for clearer price indications for feedstocks bisphenol-A (BPA) and epichlorohydrin (ECH),” said one northeast Asian producer in Mandarin.
The producer placed selling indication for January shipment cargoes at $3,000/tonne FOB NE Asia.
“We are sold out of December cargoes so we stopped engaging in all discussions,” another northeast Asian producer said.
“However, I strongly agree that January indicative prices will be at least $3,000/tonne FOB NE Asia given recent gains in both ECH and BPA prices,” the producer said.
Epoxy resins are a family of synthetic resins, comprising products ranging from viscous liquids to high melting point solids.
They are used in wide-ranging downstream sectors from automotive and industrial paints, electrical laminates to linings for storage tanks.
Recent demand is supported by buyers based in southeast Asia and China spread across various downstream sectors.
Supply of LER is expected to be tight in January.
Taiwan’s Nan Ya Plastics plans to shut two epoxy plants on 24-31 December for scheduled maintenance. Both plants produce a total of 210,000 tonnes of LER each year.
Picture: Paint shop at a car assembly plant. Epoxy resins are used in wide-ranging downstream sectors from automotive and industrial paints, electrical laminates to linings for storage tanks. (Source: imageBROKER/REX/Shutterstock)