Aromatics

Benzene prices on an FOB Korea basis and paraxylene (PX) prices on a CFR Northeast Asia basis temporarily strengthened in the middle of the week but these prices were bearish throughout the week. Owing to trade frictions between China and the US, benchmark feedstock crude and naphtha prices dropped. In addition, there were concerns that demand might recede. For these reasons, the market was weighed down.

Olefins

Ethylene prices on a CFR Northeast Asia basis softened due to a fall in benchmark feedstock naphtha prices. Selling ideas were heard at $800/mt for major ports in China. As situation going forward was uncertain, trade was mainly taking place at prices linked to market quotations. For delivery to major ports in China, discussion levels were heard at a premium of $5-10/mt to CFR Northeast Asia spot quotations. Derivative makers were concerned that demand might fall sharply as trade war was intensifying.

The Asia propylene market was in a wait-and-see mood.

In the CFR Northeast Asia market, prices going forward were unclear as trade war between China and the US was intense. Both sellers and buyers were not in a hurry for trade.

In the Southeast Asia market, a Thai petrochemical maker conducted a sell tender for May loading but it eventually canceled the sale.

Butadiene prices in Asia softened. Since trade war between China and the US was intensifying, crude prices dropped sharply. Demand of tires for export also receded. Under this situation, China domestic butadiene prices decreased sharply. In trade on a dollar basis, prices were pushed down as well.

In the Southeast Asia market, a Malaysian end-user issued a buy tender.