The Asia styrene monomer (SM) market was on a bullish trend amid tightening supply/demand fundamentals. While run rates at derivative facilities remained at a high level, many SM facilities were closed for regular maintenance.

　On the supply side, US Cosmar, South Korean SKGC and Royal Dutch Shell in Singapore were now conducting turnaround at their own facilities, and regular maintenance was taking place at a total of around 1.795 mil mt/year of SM facilities in Italy, Belgium and Japan until October. In addition, German Trinseo would close its 300,000 mt/year SM facility. Under the circumstances, supply for SM remained tight.

　In China, TangshanXuyang put its 300,000 mt/year SM facility into trial operation from Oct 25, and Abel restarted operation at its 250,000 mt/year facility at the end of October. SM facilities in China were expected to maintain high run rates in November onward. Supply for SM in China seemed abundant, but amid limited availability for imported cargoes as noted above, demand for exports remained firm, so that supply/demand fundamentals were tight. Meanwhile, Shanghai's Secco would shut down its 650,000 mt/year facility for regular maintenance from Nov 15. The maintenance period would be for 45 days. Shuangliang's 210,000 mt/year facility entered turnaround from Nov 4 or 5 and the turnaround period would be for 45 days. But run rates at many derivative facilities remained at a high level, so that buying interest for SM was strong.

　As for derivative facilities, three new EPS facilities were scheduled to be launched within the year. In addition, run rates of ABS makers would remain at high levels until December.