Aromatics

　 Benzene prices on an FOB Korea basis moved in a narrow range. A sense that prices had bottomed out also emerged amid recent price declines. Paraxylene (PX) prices on a CFR Northeast Asia basis saw significant declines mid-week. Views arose that demand might recede due to planned maintenance for derivative purified terephthalic acid (PTA) facilities.

Olefins

　 Ethylene prices on a CFR Northeast Asia basis inched up. As benchmark feedstock crude oil and naphtha prices ceased falling, downward pressure on ethylene receded, leading to an autonomous rebound. Meanwhile, market sources pointed out that with demand remaining weak, it was unlikely for ethylene prices to widen their spread against naphtha prices. In Southeast Asia, a derivative facility of a petrochemical maker experienced a glitch, leading to a surplus of ethylene.

　 The Asia propylene market saw across-the-board gains. Coupled with crude oil prices gaining this week, buying interest for imported cargoes strengthened as several propane dehydrogenation (PDH) facilities in China were shut down, leading to soaring domestic prices. Under these circumstances, the Asia propylene market strengthened.

　 The Asia butadiene market remained soft. In the CFR Northeast Asia market, no buying interest was seen from end-users in Taiwan and South Korea, and buyers were limited to end-users in China. As Chinese end-users had no interest in imported cargoes unless prices were lower than domestic market levels, market sentiments were weak. Chinese butadiene makers began to reduce production due to deteriorating profitability.

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