Aromatics

Benzene prices on an FOB Korea basis moved in a narrow range along with a fall in crude prices and softening China domestic prices. In the China domestic market, supply was perceived to be ample. Paraxylene (PX) prices on a CFR Northeast Asia basis strengthened. Buying interest was firm and perceptions of slack supply/demand receded.

Gasoline Component

MTBE prices on an FOB China basis did not show remarkable changes. For feedstock methanol, import of Iranian cargoes, whose prices were relatively low, was increasing. But for MTBE, demand was not rising and production volumes were not increasing.

Olefins

Ethylene prices on a CFR Northeast Asia basis were stable. As it was too early to start discussions for July cargoes, trade was inactive. On an FOB Korea basis, an ethylene maker issued a sell tender that was closed on May 29. Apart from this, at least one company had room to sell. Players in South Korea and Japan had ample room to sell and discussion levels on an FOB basis were said to be bearish.

The Asia propylene market fell on perceptions of slack supply/demand.

In the Northeast Asia market, there were surplus cargoes from South Korea and Japan. On the other hand, buying interest from Chinese end-users for imported cargoes was scarce as domestic prices were bearish recently.

In the Southeast Asia market, supply was seen to be ample as a new facility was starting up and a facility that had undergone maintenance was restarting. On the other hand, demand for derivatives was weak and supply/demand was slack.

Butadiene prices on a CFR Northeast Asia basis softened due to weak demand for tires and a decrease in China domestic prices. In the market, available cargoes from Saudi Arabia and Europe were observed. In China, a derivative SB latex factory was shut down due to an explosion that had occurred in the surrounding area. This was also a reason why sentiments in the butadiene market were weak.

To view sample report, click on the button below.