Aromatics

　 Benzene prices on an FOB Korea basis strengthened. This was owing to a rise in crude prices amid the continued tense situation in the Middle East. Paraxylene (PX) prices on a CFR Northeast Asia basis softened in mid-week, pressured by softening PX futures prices in China. The PX futures market was weighed down by views that PX production would recover in China.

Olefins

　 Ethylene prices for CFR Northeast Asia and CFR Southeast Asia both increased. In the Northeast Asia market, several naphtha crackers in South Korea were expected to be shut down from September onward due to facility restructuring and scheduled maintenance. In addition, unplanned shutdowns of several naphtha crackers in Japan intensified the sense of tight supply in Northeast Asia. Deals were reported for a cargo loading in China at $1,040/mt last week, and for a cargo loading in South Korea at $1,050/mt this week.

　 The propylene market in Asia strengthened, bolstered by higher crude prices and tight supply. In the CFR Northeast Asia market, sentiments strengthened against a backdrop of tight supply and rising feedstock costs. Additionally, in China, Yantai Wanhua's propane dehydrogenation (PDH) facility was shut down due to troubles, leading the company to buy in the spot market to cover the shortfall. Following this, China domestic prices increased. In the Southeast Asia market, market sentiments remained strong amid tight supply.

　 Butadiene prices in Asia were bullish. In the Asia market, butadiene supply was tight against a backdrop of naphtha cracker troubles. Delayed shipments from an Indian petrochemical maker apparently contributed to supply shortfalls in South Korea and Southeast Asia. Amid this, several traders were trying to sell US and European cargoes into Asia.

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