Polymerupdate.com Global Plastics Pricing Briefs 729

In facilities news, Polymerupdate.com has learned that shipments of refrigerated propylene by Formosa Petrochemicals to its new 450,000 tonnes/yr polypropylene (PP) plant at Ningbo in eastern China have recently commenced with an aim to start commercial operations soon. In order to run the plant at 100% capacity, Polymerupdate says 37,500 tonnes of propylene is required. That propylene is supplied by Formosa from its three naphtha-fed steam crackers at Mailiao, Taiwan.

In Japan, Mitsubishi Chemicals said that inspections and repairs are being conducted at the sixth furnace of the No. 2 ethylene unit at its Kashima plant. The repairs to the furnace likely will not be completed until early May. Polymerupdate says the company is not sure when operations at the 7th and 8th furnaces can be restarted.

Test runs have started at Toray Plastics new acrylonitrile butadiene styrene (ABS) unit at Butterworth, with commercial sales expected to start next week. The new ABS unit has a production capacity of 110,000 tonnes/yr, with a 40,000 tonnes/yr transparent-grade ABS line and a 70,000 tonnes/yr general-purpose grade ABS line. Toray Malaysia’s existing ABS plant has production capacity of 220,000 tonnes/yr, with the combined total ABS production capacity of the company to hit 330,000 tonnes/yr.

In high-density polyethylene (HDPE), Q-Chem announced it plans to start up its 350,000 tonnes/yr HDPE plant in Mesaieed in the latter half of 2009. Polymerupdate has also learned that a maintenance turnaround and debottlenecking exercise has been ongoing since March 5th by Lotte Daesan Petrochemical Corp. at its styrene monomer plant at Daesan, South Korea. The site’s production capacity will go from 350,000 tonnes/yr to 500,000 tonnes/yr, with the facility to come onstream again on April 20. Polymerupdate is reporting that production issues at a Chevron Phillips Chemical’s 770 million lb/yr polystyrene (PS) plant in Marietta, OH will keep the plant offline through the first or second week of April.

In Asian pricing news, acrylonitrile butadiene styrene (ABS) rates are currently are at $1830/tonne CFR mark, but an increase to $1870/tonne CFR is being pushed in response to increases in styrene monomer, butadiene, and acrylonitrile. In HDPE pricing, Polymerupdate reports that most grades held their ground, but some regional prices of HDPE film were seen slipping, with sluggish demand in China and India weighing on spot prices. This pulled HDPE film rates down by about $10/tonne. CFR Far East Asian prices of HDPE film were assessed at $1650/tonne, while in South Asia, prices were at $1640/tonne CFR. LDPE prices remained steady across Asia, with some downward pressure on spot prices due to softer LLDPE rates and subdued buying interest in select parts of Asia. Current levels are near $1760/tonne to $1780/tonne CFR China and $1860/tonne to $1870/tonne CFR India.

In polyvinyl chloride (PVC), prices pushed higher in Asia, with CFR China up to $1120/tonne. Offers to markets like India surged to the $1200/mt CFR mark. Prices of polypropylene (PP) firmed this week in Asia, with rates driven up due to tight regional supplies and strength in upstream propylene feedstock values. Polyethylene terephthalate (PET) bottle-grade prices pushed higher this week, due to higher upstream PTA and MEG prices. Bottle-grade prices rose $20/tonne to $30/tonne.

In European pricing, propylene and PP contract prices in Europe last week were mostly flat, while homopolymer injection rates in Germany and France were assessed at euro 1265/tonne FD levels. PP copolymer contract prices in Germany and France were assessed at euro 1315/tonne FD.

PS contract prices were steady last week in Europe although prices were up from February settlement levels, with GPPS at euro 1415/tonne FD North West Europe and HIPS at euro 1460/tonne FD North West Europe.

LDPE prices for FD Germany, Italy, and France were assessed at euro 1355/tonne, with spot markets across Europe down to euro 1265/tonne FD. In PVC, suspension-grade contract prices were flat in Europe last week, with prices in Germany and France at euro 1040/tonne FD. In Italy, contract prices hit euro 1045/tonne FD.