Plastics Technology

JUL 2018

Plastics Technology - Dedicated to improving Plastics Processing.

Issue link: https://pty.epubxp.com/i/995540

Contents of this Issue

Navigation

Page 55 of 67

Lower prices of some key feedstocks coupled with improved supply-demand balance resulted in a flat-to-lower pricing trend for PE, PVC, PS, ABS, PC and nylon 6. Tight supplies and higher prices of other feedstocks and their intermediaries resulted in an upward pricing trajectory for PP, PET and nylon 66. These are the views of purchasing consultants from Resin Technology, Inc. (RTi), Fort Worth, Texas (rtiglobal.com); CEO Michael Greenberg of the Plastics Exchange in Chicago (theplasticsexchange.com); and Houston-based PetroChemWire (PCW, petrochemwire.com). PE PRICES FLAT TO LOWER Polyethylene prices in May were a mixed bag for the first time in years. Two suppliers offered a decrease of 3¢/lb for LLDPE and no change on other grades. Dow announced a 4¢/ lb increase for June, while other suppliers postponed their 3¢/lb price hikes. Mike Burns, RTi's v.p. of client services for PE, predicted that June prices would be flat, with a good chance of that trend continuing into this month and beyond. Flattening of PE prices was apparent in secondary markets. PCW reported that spot PE prices were mostly unchanged amid sluggish trading activity by the end of June's first week. "Export volumes were limited as suppliers waited for a clearer view of domestic demand and inventories." The Plastics Exchange's Greenberg reported that while the market has been awash in butene LLDPE and injection-grade HDPE, film and injection grades of LDPE were more difficult to source, at least at prices agreeable to processors. PP PRICES UP Polypropylene prices moved up 5¢/lb in May in step with propylene monomer contracts, while another 2¢/lb was tacked on to rein- force suppliers' margins. Spot monomer prices were surging by as much as 6-7¢/lb, so industry sources figured another PP price hike was likely for June. "We see June prices Mixed Bag for Prices of Volume Resins Prices are up for PP, PET and nylon 66; flat-to-down for most others. By Lilli Manolis Sherman Senior Editor going up 5¢/lb or more, in step with pro- pylene contracts," said RTi's Scott Newell, v.p. of PP markets . The runup of monomer tabs was driven by higher oil prices, pro- pylene supply tightness at refineries, and reports of production outages at dedicated propylene plants. Newell ventured that July PP prices could be flat, and perhaps lower, if June proves to be the peak for monomer tight- ness. "I think there could be a lot of demand destruction for PP if these prices are sustained. Expect to see imports increasing." He said PP demand was gener- ally good, starting in April, after lagging for six or seven months. PCW reported spot PP prices as flat to higher as supply remained tight due to strong domestic demand and three production outages. Similarly, Greenberg characterized the spot PP market as chal- lenged by scarce supplies and rising prices: "While some buyers' Polyethylene Price Trends HDPE Injection MAY JUNE HDPE Blow Molding MAY JUNE HDPE HMW MAY JUNE LDPE MAY JUNE LLDPE Butene MAY JUNE 3¢/lb Market Prices Effective Mid-June 2018 Resin Grade ¢/lb POLYETHYLENE (railcar) LDPE, LINER . . . . . . . . . . . . . . . . . . . . . . . . . . . 101-103 LLDPE BUTENE, FILM . . . . . . . . . . . . . . . . . . . . 84-86 NYMEX 'FINANCIAL' FUTURES . . . . . . . . . . . . 48 JULY . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 48 HDPE, G-P INJECTION . . . . . . . . . . . . . . . . . . . . 103-105 HDPE, BLOW MOLDING . . . . . . . . . . . . . . . . . . . 93-95 NYMEX 'FINANCIAL' FUTURES . . . . . . . . . . . . 50 JULY . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 50 HDPE, HMW FILM . . . . . . . . . . . . . . . . . . . . . . . 110-112 POLYPROPYLENE (railcar) G-P HOMOPOLYMER, INJECTION . . . . . . . . . . . 83-85 NYMEX 'FINANCIAL' FUTURES . . . . . . . . . . . . 57 JULY . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 57 IMPACT COPOLYMER . . . . . . . . . . . . . . . . . . . . . 85-87 POLYST YRENE (railcar) G-P CRYSTAL . . . . . . . . . . . . . . . . . . . . . . . . . . . 109-111 HIPS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 115-117 PVC RESIN (railcar) G-P HOMOPOLYMER . . . . . . . . . . . . . . . . . . . . . 83-85 PIPE GR ADE . . . . . . . . . . . . . . . . . . . . . . . . . . . . 82-84 PET (truckload) U.S. BOT TLE GR ADE . . . . . . . . . . . . . . . . . . . . . 75-77 Polypropylene Price Trends Homopolymer MAY JUNE Copolymer MAY JUNE 7¢/lb 7¢/lb 54 JULY 2018 Plastics Technology PTonline.com YO U R B U S I N E S S Resin Pricing Analy sis

Articles in this issue

Links on this page

Archives of this issue

view archives of Plastics Technology - JUL 2018