Aromatics

Benzene prices on an FOB Korea basis increased sharply. As the US and China reduced tariffs each other, futures prices of several products including styrene monomer (SM) strengthened in the China domestic market. Paraxylene (PX) prices on a CFR Northeast Asia basis were bullish. Two major PX makers in China decreased operation rates and supply was perceived to be tight.

Olefins

In the Asia ethylene market, trade was muted. Since the Asia Petrochemical Industry Conference was held in Thailand in the week, many players refrained from trading.

In the Southeast Asia market, a new ethylene facility was expected to start up and an ethylene facility that was currently shut down was scheduled to restart in the second half of May onwards. Therefore, supply was seen to be more ample.

In the Asia propylene market, activity was muted in general.

In the CFR Northeast Asia market, players in the market were limited as the Asia Petrochemical Industry Conference was held.

In the Southeast Asia market, supply for propylene was in surplus as demand for derivatives was dull.

Butadiene prices in Asia increased sharply. Due to reduction of tariffs between the US and China, market sentiments strengthened and China domestic butadiene prices jumped. Along with this, possible deal levels on a dollar basis were also boosted. In China, troubles were observed at some butadiene facilities.

In South Korea, a petrochemical maker reportedly sold June loading cargoes via a tender.