Styrolution targets price rise for European PS in January

(ICIS) -- Styrolution is targeting a EUR145/tonne (USD186/tonne) increase for its European January polystyrene (PS) because of higher styrene and butadiene costs, a source at the styrenics producer said on Friday. The styrene barge contract for January was settled at EUR1,214/tonne FD (free delivered) NWE (northwest Europe), up by EUR120/tonne from its December level.


Butadiene is also up, with the January contract settling at EUR1,700/tonne FD NWE, up by EUR 50/tonne from December. Butadiene is used in the manufacture of high impact polystyrene (HIPS).
US-based producer Styron has already announced that it will target a EUR135/tonne increase for January PS.


Buyers have become accustomed to PS pricing moving in line with its main feedstock styrene, and they are now expecting to be paying much higher prices when they settle later in the month.

2012 is expected to be a difficult year in the European PS arena as new capacity comes on-stream.

European producers have managed to maintain a fine supply/demand balance in the recent past, closing down capacity where necessary and cutting back production in line with dwindling demand.

Styrolution is 50:50 joint venture between BASF and INEOS, comprising the key styrenics activities of the two partners. It began trading on 1 October 2011.

MRC

(chemmonitor) -- Polyethylene (PE) and polypropylene (PP) markets in the Middle East will witness good margins due to firm values for a raw material this year. Meanwhile, PP and PE costs may be permanent with a tendency to decrease on the back of poor consumption.

In Saudi Arabia prices for ethane gas are stable. They are negotiated at USD 0.76 (EUR 0.61) per MMBtu. Values for Saudi propane gas demonstrate a downward surge.

PE producers will broaden the boarders of their resin market on profitable prices.

MRC

(chemmonitor) -- The Iran-based company Amir Kabir Petrochemical Co operates a low density polyethylene (LDPE) unit in Bandar Imam. Its annual output is estimated at over 295,000 tonnes. The plant is run in full.

The company does not intend to suspend productions and shut the facility in Q1 of 2012.

The producer will not reconstruct the plant till the end of Q1.

Amir Kabir Petrochemical Co also runs a HDPE unit at Bandar Imam site.

MRC

(dow) -- Dow Europe GmbH is announcing a price increase for polyethylene (PE) resins across the European, Middle Eastern and African regions.

Effective January 1, 2012, or as contract terms allow, Dow Europe GmbH increased prices for all grades of its low-density polyethylene (LDPE), linear low-density polyethylene (LLDPE) and high-density polyethylene (HDPE) resins by 120 Euros per metric ton.

MRC

(borealisgroup) -- Borealis, a leading provider of chemical and innovative plastics solutions, announced a price increase by EUR 100/tonne for all polyethylene and polypropylene types for January, 2012.

⌠This decision to increase prices reflects our assumptions on the economic development and it?s necessary for the implementation of our Value Creation through Innovation strategy, comments Gerd Lobbert, Borealis Executive Vice President Polyolefins.

MRC