Pricing and Markets

May 3, 2018

COIM Institutes Freight Surcharge

May 3, 2018

Due to the increase in transportation costs and the shortages currently being experienced
in the bulk trucking industry, effective June 1, 2018, COIM USA will be implementing
surcharges on all COIM arranged bulk polyol deliveries as outlined below:

$500 on short haul shipments
$900 on long haul shipments

May 3, 2018

COIM Institutes Freight Surcharge

May 3, 2018

Due to the increase in transportation costs and the shortages currently being experienced
in the bulk trucking industry, effective June 1, 2018, COIM USA will be implementing
surcharges on all COIM arranged bulk polyol deliveries as outlined below:

$500 on short haul shipments
$900 on long haul shipments

May 1, 2018

May Benzene Falls

US May benzene contracts settle lower on longer global supply

01 May 2018 17:41 Source:ICIS News

HOUSTON (ICIS)–US May benzene contracts settled 6 cents/gal ($18/tonne) lower from April, putting prices at $2.93/gal free on board (FOB) US Gulf, as global supply lengthened, ICIS confirmed on Tuesday.

Photo by Cultura/REX/Shutterstock

The May settlement was the fifth consecutive month of decreases since contracts hit a 2017 high in December.

The $2.93/gal settlement was in line with expectations from market players towards the end of last week.

Spot benzene prices trended lower throughout most of the month, as lengthening supply in Asia and some downstream styrene turnarounds depressed prices, even while crude oil prices firmed and spot toluene prices, the feedstock for on-purpose benzene units, firmed on stronger gasoline markets.

On-purpose benzene economics are currently unfavourable for toluene disproportionation (TDP) units, while stronger values for paraxylene (PX) have kept economics for selective toluene disproportionation (STDP) units relatively healthy.

US benzene contracts usually settle on the last working day of the prior month and are heavily influenced by movements in spot prices.

Major US benzene producers include ExxonMobil, Flint Hills Resources, LyondellBasell, Marathon Petroleum, Shell and Phillips 66.

AECE367E4F7EDDD09D6906B656B02B1C.jpg

https://www.icis.com/resources/news/2018/05/01/10217275/us-may-benzene-contracts-settle-lower-on-longer-global-supply/?utm_source=dlvr.it&utm_medium=twitter

May 1, 2018

May Benzene Falls

US May benzene contracts settle lower on longer global supply

01 May 2018 17:41 Source:ICIS News

HOUSTON (ICIS)–US May benzene contracts settled 6 cents/gal ($18/tonne) lower from April, putting prices at $2.93/gal free on board (FOB) US Gulf, as global supply lengthened, ICIS confirmed on Tuesday.

Photo by Cultura/REX/Shutterstock

The May settlement was the fifth consecutive month of decreases since contracts hit a 2017 high in December.

The $2.93/gal settlement was in line with expectations from market players towards the end of last week.

Spot benzene prices trended lower throughout most of the month, as lengthening supply in Asia and some downstream styrene turnarounds depressed prices, even while crude oil prices firmed and spot toluene prices, the feedstock for on-purpose benzene units, firmed on stronger gasoline markets.

On-purpose benzene economics are currently unfavourable for toluene disproportionation (TDP) units, while stronger values for paraxylene (PX) have kept economics for selective toluene disproportionation (STDP) units relatively healthy.

US benzene contracts usually settle on the last working day of the prior month and are heavily influenced by movements in spot prices.

Major US benzene producers include ExxonMobil, Flint Hills Resources, LyondellBasell, Marathon Petroleum, Shell and Phillips 66.

AECE367E4F7EDDD09D6906B656B02B1C.jpg

https://www.icis.com/resources/news/2018/05/01/10217275/us-may-benzene-contracts-settle-lower-on-longer-global-supply/?utm_source=dlvr.it&utm_medium=twitter

April 29, 2018

Epoxy Resin Price Pressure

Tight supply, import prices pressure up US epoxy after bullish Q1

17 April 2018 21:32 Source:ICIS News

HOUSTON (ICIS)–US epoxy resins continue to be pressured up by tight supply and high import prices, much like in the first quarter.

EpoxyThe ICIS US liquid epoxy resin contract price had a significant increase of 31 cents/lb ($683/tonne) during Q1 2018.

Meanwhile, market players said most of the 10-12 cent/lb price increase initaitives appear to be going through this month, setting the stage for another rise in the contract price.

“I see [epoxy] resin and feedstock pricing going up,” a source said.

Prices in Asia have remained at or near the record high of $3,000/tonne for all of this year, putting upward pressure on imported material.

“Spot import prices remain firm, ” a source said. “But prices should go down in the near future.”

Imported material has been quoted in the mid-$1.40s/lb, with some sources seeing higher prices in the $1.50s/lb, though this is not market-wide.

However, a gap appears to be re-opening between domestic and imported material, as some sources have noted that prices for domestic material is higher.

As a result, producers in northeast Asia are expected to continue sending cargoes to the US as they anticipate greater netbacks.

Demand from the coatings sector for epoxy resins generally starts to pick up in the second quarter.

But persistent winter weather, especially in the northeast where snow and freezing temperatures have been seen this month, is likely delaying the start of the peak coatings season.

Looking ahead, demand is expected to be strong, with much of it attributed to reconstruction activity in parts of the US that were impacted by hurricanes and wildfires in 2017.

As a result, the markets are not expected to see downward momentum, keeping the situation challenging for buyers.

“The markets are volatile,” summed up a source.

ICIS had assessed the US March liquid epoxy resin contract price at $1.58-1.63/lb DEL (delivered) North America.

Major US epoxy resin producers include Hexion, Huntsman and Olin.

A3901D1AB05CCA5220E3F8AF67E5DB70.jpg

Focus article by Tarun Raizada

https://www.icis.com/resources/news/2018/04/17/10212574/tight-supply-import-prices-pressure-up-us-epoxy-after-bullish-q1/