(ICIS) -- The gap between low density polyethylene (LDPE) and C4 linear low density polyethylene (LLDPE) is at an all-time high, market sources said on Thursday.
⌠We are seeing a difference of about ┬150/tonne ($205/tonne) and even more between the two grades, said a trader selling both polyethylene (PE) grades.
A more traditional price gap between LDPE and C4 LLDPE had been around ┬50/tonne, with LDPE commanding a premium. This delta had been relatively static for several years, before imports of LLDPE started to have an effect in Europe in the third quarter of 2010.
The new price differential was due to the double effect of LDPE prices strengthening and LLDPE prices weakening due to the increased availability of imports: several sources now felt that this would be the new order in future PE pricing.