Ammonium Sulphate Price in India

PS Chemical Industry

Chemical Industry

Demand sluggish ahead of China holiday „„

Trading activity muted upstream for SM

Asian general purpose polystyrene fell $5/mt from last Friday to $1,275/mt CFR China and $1,295/mt CFR Southeast Asia Friday, while high-impact polystyrene fell $5/mt over the same period to $1,345/mt CFR China and $1,360/mt CFR Southeast Asia, amid sluggish demand ahead of the holiday in China. Expandable polystyrene was unchanged from last Friday at $1,210/mt FOB Northeast Asia for general purpose and $1,265/mt FOB Northeast Asia for flame retardant. There was little fundamental change seen from last week, with buying interest subdued ahead of the Labor Day holiday in China and with the Japanese market already on holiday. “There’s barely any deal concluded this week; inquiries from customers are also limited,” a producer said. Demand from Southeast Asia had been strong earlier but was now muted ahead of Ramadan, a PS producer source said. End-users were opting to wait-and-see instead of stocking up before the break, which was contrary to past years, a trader noted. Trading has also been muted in the feedstock styrene monomer market, which rose $2/mt on the week to $1,078/mt CFR China, tracking the recent strength in crude.

Rational

General purpose polystyrene was assessed down $5/mt from last Friday at $1,275/mt CFR China and $1,295/mt CFR Southeast Asia Friday, maintaining the spread between the two markers. High-impact polystyrene was assessed down $5/mt over the same period at $1,345/mt CFR China and $1,360/mt CFR Southeast Asia. Expandable polystyrene FOB Northeast Asia was assessed flat from last Friday at $1,210/mt for general purpose grades, based on a tradable indication heard at that level, and at $1,265/mt for flame retardant grade, maintaining the price spread between the trades.

 

Chemical Industry
Chemical Industry

Asia and Middle East Naphtha Chemical Industry Commentary

Chemical Industry

Chemical Industry – The strengths seen in the Asian naphtha flat prices, which tracked crude markers closely had started to slow down towards the end of the trading week. At Monday’s Asian close, benchmark Mean of Japan naphtha physical rose $7/mt from Monday, marking a six-month high level of $616.125/mt (Chemical Industry). However, the second-half June naphtha physical crack on the benchmark against ICE Brent crude futures dipped $1.1/mt to $53.15/mt. At 0300 GMT Monday, the crack spreads was pegged lower at a notional level of $52.375/mt. The mild slip on the cracks had drawn out a few more demand for paraffinic naphtha from Northeast Asia, with some seeking to cover requirements before the start of holidays next week. Mitsubishi Chemical, is seeking open spec naphtha supplies for second-half June delivery into Kashima, in a tender closing April 26, Chemical Industry sources said. Japan has a string of public holidays that includes the Golden Week, the Showa Day and the Emperor’s accession day, spanning from April 29 to May 6. Yeochun NCC, in South Korea and Formosa Petrochemical Corp., in Taiwan, are both seeking H1 June delivery open-spec naphtha supplies on Monday. Both tenders will close on April 26. Thailand’s PTT Chemical Industry is offering 27,500 mt of light naphtha with minimum 80% paraffin content and maximum 400 ppm sulfur content, ex-Map Ta Phut, for June 6-15 loading. The tender closes April 26 at 0300 GMT, with same-day validity. In other news, Japan’s largest refiner JXTG Nippon Oil & Energy said Monday that it will shut its sole 135,000 b/d crude distillation unit at the Sakai refinery from mid-May to early July for a scheduled turnaround. As of Monday morning, JXTG had yet to shut the 90,000 b/d No. 2 CDU at its 180,000 b/d Mizushima-B plant in western Japan for maintenance which is scheduled to start from late April. The 90,000 b/d CDU Chemical Industry at the Mizushima B-plant will be shut until early July as it will be undergoing a major turnaround, which takes place once in four years.

 

Chemical Industry
Chemical Industry

Imported Data – PVC

Imported date

Asia PVC spikes after Dongxing Chemical blast

Local China price hits multi-month highs

Imported Data of Asian PVC – rebounded $20-$30/mt week on week Friday, driven by the supply crunch concerns in China after a plant explosion, as reported by  Imported Data. According to Market sources and local media reports, a blast hit Dongxing Chemical’s 400,000 mt/year carbidebased PVC plant in Inner Mongolia. It is the fourth chemical plant explosion in China to have occurred since late March, which sparked fresh concerns on further supply crunch as the government would tighten its safety checks on chemical plants across the country (Imported Data). The government is currently conducting inspections at over 2,000 chemical plants. After the blast at Dongxing Chemical, China’s local Market spiked Yuan 200/mt week on week Friday to Yuan 7,200/ mt for ethylene-based PVC and Yuan 6,900/mt for carbide-based PVC. Ethylene-based PVC hit a three-month high Friday, while carbidebased PVC climbed to a seven-month high, S&P Global Imported Data showed. Market sources said China’s PVC exports would likely be limited following the explosion. Meanwhile, spot demand in India was seen to be healthy as some end-users were actively seeking spot cargoes in a bid to build inventories ahead of the monsoon season. An ongoing sunset review on anti-dumping duty in India remained to be a focus of the Market as some sources said India may eliminate its antidumping duty completely from June. Looking forward, some Market sources said Asian PVC Market would likely track firmer feedstock Market, notably crude oil. June ICE Brent futures jumped $2.07/barrel week on week to be assessed at $74.20/b at 4:30 pm Singapore time (0830 GMT) Friday, S&P Global Imported Data showed.

Rationale

CFR China PVC price rose $30/mt (Imported Data) week on week to be assessed at $840/mt Friday above a buying idea of $830/mt CFR China. CFR India PVC price also rose $20/mt to $870/mt during the same period, with a transaction level was heard in a range of $870-$880/mt (Imported Data) CFR India. Meanwhile, CFR Southeast Asia PVC price was assessed at $830/mt Friday, up $20/mt week on week, in line with firming China/India Markets.

Imported Data
Imported Data

Imported Data – Propylene

Imported Data

Rising supplies pressure propylene Market

Firm downstream unlikely to push up propylene

Imported Data of Asian propylene – dropped $5-$15/mt day on the day Friday to hit four-month lows Friday. Asian propylene was under pressure amid ample supplies. In China, propane dehydrogenation plant operations are rising after maintenance season. In March, China’s PDH operations averaged 77%, down from 91% in February, Imported Data reported earlier. Supplies from Thailand and India were also available. Indian Oil Corp., or IOC, issued a tender to sell a 2,400-2,800-mt spot cargo for May 20-22 loading from Paradip. The results of the tender, which was closed late Friday, were not yet available. As a result, the spread between propylene and naphtha feedstock narrowed this week to the narrowest level since February 2016, Imported Data showed. But some Market sources said Asian propylene was supported this week due to positive margins for downstream production, such as polypropylene or acrylonitrile. On Friday, the CFR Far East Asia ACN price rose $10/mt to $1,850/mt, the highest level since November 5, 2018, Imported Data showed. The Asian PP and propylene spread was calculated at $230/mt Friday, higher than a typical breakeven spread of $150/mt, according to Imported Data. But some Market sources shrugged off the current firm downstream, saying that it was driven by limited supplies in the local China Market amid ongoing safety inspections. “I don’t think firm downstream would push up propylene Market as it is rather driven by limited supplies amid safety inspections,” said a Market source.

Rationale

CFR China propylene prices fell $5/mt (Imported Data) day on day to be assessed at $890/mt Friday with a tradable level heard in a range of $880-$890/ mt. FOB Korea propylene prices fell $15/mt day on day to be assessed at $850/mt Friday after a discussion was heard at that level. In other areas which are assessed on a weekly basis, CFR Taiwan propylene prices inched down (Imported Data) $5/mt from the previous week to be assessed at $895/mt Friday with a discussion heard at $890-$900/mt CFR Taiwan. CFR Southeast Asia prices dropped $10/mt to $805/mt during the same period, while the FOB Japan price fell $15/mt to $850/mt on a week-on-week basis, in line with the bearish Market sentiment.

 

 

Imported Data
Imported Data

Asian Oxo Alcohols: SE Asia PA Chemical Industry up $10/mt on firm demand

Chemical Industry

 

– Aekyung to delay 210,000 mt/year PA plant shutdown

– Nan Ya to run 2-EH unit at 100% by early May

The phthalic anhydride Chemical Industry in Southeast Asia continued to trend higher this week as stronger replenishing demand and tighter spot supply pushed up trade levels. South Korea’s Aekyung Petrochemical plans to shut its 210,000 mt/year phthalic anhydride plant in Ulsan on June 3, about four weeks later than the earlier target date of May 7, for a month of scheduled maintenance, a company source said Friday “We decided to postpone the turnaround by one month on the back of PA supply tightness,” the source said. PA is mainly used in the manufacture of dioctyl phthalate, which is a plasticizer. But the dioctyl phthalate (DOP) CFR China Chemical Industry was less rosy. A Taiwanese producer said that many buyers in China were reluctant to buy imported DOP materials after witnessing a fall in the price of propylene, one of the feedstocks. Taiwan’s Nan Ya Plastics aims to run its 2-ethyl hexanol unit at full capacity by early May, close to two months after the plant restarted March 10 following a turnaround, a Chemical Industry source said Friday The 2-EH unit is located at Mailiao and has a production capacity of 205,000 mt/year. The unit was shut down unexpectedly February 12 due to a technical issue and has been running below full capacity even after it restarted, due to technical issues. “We are only running at 80%-90% of our operating rate at the moment, but we will reach full output capacity by end-March,” said a company source. Nan Ya Plastics is the largest 2-EH producer in Taiwan.

RATIONALE:

Dioctyl phthalate Chemical Industry was assessed down $10/mt on the week at $1,035/mt CFR China, below a selling indication at $1,040/mt and above a buying indication at $1,030/mt CFR China. The CFR SEA marker was assessed unchanged over the same period at $1,310/mt SEA as price discussions were around that level. Phthalic anhydride was assessed unchanged on the week at $945/mt CFR China, with price discussions heard around $945/mt CFR China Chemical Industry. The CFR SEA marker was assessed up $10/mt on the week at $1,070/mt, based on trades concluded at $1,060-$1,080/mt CFR SEA. 2-EH was assessed unchanged at $1,070/mt CFR China, below selling indications at $1,100-$1,150/mt CFR China, and above a buying indication at $1,050/mt CFR China Chemical Industry. The SEA marker was assessed unchanged on the week at $1,110/mt CFR SEA. Normal butanol was assessed down $10/mt on the week at $900/mt CFR China, below a selling indication at $910/mt CFR China and above a buying idea at $890/mt CFR China. The SEA marker was assessed down $10/mt on week at $880/mt CFR SEA.

 

Chamical Industry
Chamical Industry

Asian Toluene Chemical Industry: Stable amid dearth of activity

Chemical Industry

– Participants hold back and stay on sidelines

– Buying interest in Chinese Chemical Industry subdued

The Asian toluene Chemical Industry was largely unchanged as market participants held back to observe the market mid-week. Both the FOB Korea and CFR China Chemical Industry were quiet Thursday amid a dearth of discussions heard, leaving prices unchanged. The East China domestic prompt price inched up from the previous day by Yuan 25/mt to Yuan 5,385/mt on Thursday, with indications heard between Yuan 5,370-5,400/mt. Still, buying interest in the Chinese Chemical Industry was heard to be subdued. “[Domestically], the downstream demand is affected by environmental protection issues, which may persist until May,” a Chemical Industry source said. Meanwhile, the ICE June Brent crude oil futures retreated slightly, ending 13 cents/b lower to $74.20/b at the 0830 GMT Asian close, reducing support for firmer toluene prices in the near term. In other upstream news, Chinese gasoline exports were seen to have surged by 204.5% from February to around 1.69 million mt in March, data released from the General Administration of Customs showed. The jump was mostly attributed to the low base of 555,000 mt in February, which was well below Chemical Industry expectations of 1 million mt.

RATIONALE:

Toluene was assessed flat at $714/mt FOB Korea and $731/mt CFR China on Thursday. The markers take the average of the third and fourth half-month laycans, currently H2 May and H1 June. No bids or offers were registered during the Chemical Industry on Close assessment process. The East China domestic prompt price was higher day on day by Yuan 25/mt at Yuan 5,385/mt on Thursday, with bid-offer heard between Yuan 5,370 and 5,400/mt.

Chemical Industry
Chemical Industry

Asian Phenol/Acetone Chemical Industry – Prices stable amid demand lull in China

Chemical Industry

PHENOL Chemical Industry: Asian phenol prices were assessed stable week on week at $1,010/mt CFR China, $1,040/mt CFR Southeast Asia and $1,050/mt CFR India Thursday. China domestic prices were heard stable to slightly weaker to be assessed at Yuan 7,700/mt, equating to $962.60/mt on an import parity basis. One buyer indicated interest on a CFR China basis at $980/mt, similar to the week before. Another end-user said demand in China remained sluggish due to lowered operating rates and safety checks at downstream plants in east China following plant explosions in the region in recent weeks. In Taiwan, Formosa Chemicals and Fibre Corp. has delayed the restart of its phenol/acetone plant at Mailiao, possibly to next week, Chemical Industry sources said. It was not immediately clear why the restart was postponed; it had been due to restart this week, sources said. The plant, which can produce 400,000 mt/year of phenol and 250,000 mt/year of acetone, has been shut for about 40 days of scheduled maintenance.

ACETONE Chemical Industry: Acetone prices were also largely stable this week, with CFR China assessed at $380/mt and CFR Southeast Asia at $460/mt. Domestic prices in China were assessed unchanged on the week at Yuan 2,925/mt, equating to $365.70/mt on an import parity basis. Prices on a CFR Southeast Asia basis were heard negotiated around $440-$500/mt, with the Vietnamese import market priced at the lower end of that range, according to Chemical Industry sources. CFR Southeast Asia was assessed unchanged on the week at $460/mt. Some tradable indications for CFR India were heard as low as $330/mt, but a majority of market sources polled pegged the price around $360-$370/mt. The CFR India Chemical Industry was assessed down $25/mt on the week at $365/mt. Upstream, propylene was assessed at $865/mt FOB Korea Thursday, unchanged on week.

Asian Styrene: Rises $9/mt to $1,062/mt CFR China

imported data

– Tracks rise in western crude, benzene

– Downstream PS stable to lower, ABS rises

Asian styrene monomer rose $9/mt on the day to $1,062/mt CFR China and $1,022/mt FOB Korea Thursday, tracking the rise in western crude oil and benzene. In the east China domestic market, the May marker rose Yuan 95/mt on the day to Yuan 8,165/mt ex-tank Thursday. At 4:30 pm Singapore time (0830 GMT), ICE June Brent futures were up $1.30/b (1.835%) on the day at $72.13/b. According to market sources, styrene inventory in east China fell 23,000 mt on the week to 227,000 mt. Consumption at 38,000 mt outstripped arrivals of 15,000 mt. Amid the recent fluctuation and unclear direction in the SM market, downstream buying interest softened as buyers prefer to wait for the time being, a market participant said. In the downstream markets, polystyrene market were stable to slightly lower this week amid the uncertainty while acrylonitrile-butadiene-styrene was higher on the week as offers were raised on higher feedstock cost. Week on week, general purpose polystyrene held steady at $1,280/mt CFR China and $1,300/mt CFR Southeast Asia, high-impact polystyrene were flat at $1,355/mt CFR China and $1,370/mt CFR Southeast Asia, expandable polystyrene FOB Northeast Asia inched lower by $10/mt at $1,210/mt for general purpose grade and $1,265/mt for flame retardant grade and ABS increased $10/mt week on week to $1,580/mt CFR China and $1,600/mt CFR Southeast Asia Thursday.

RATIONALE:

Asian SM was assessed up $9/mt on the day at $1,062/mt CFR China and $1,022/mt FOB Korea Thursday. The markers currently take the average of the H2 May and H1 June laycans. There were no transparent bids or offers during the  Market on Close assessment process on Thursday. H2 May was assessed at the pegged level of $1,062/mt. Maintaining the pegged flat May/June spread, H1 June was assessed at $1,062/mt. In the east China domestic market, the May marker was assessed up Yuan 95/mt on the day at Yuan 8,165/mt ex-tank, equating to $1,055.58/mt on an import parity basis. The FOB Korea marker was assessed at $1,022/mt, based on the pegged $40/mt spread to CFR China, while the CFR Taiwan marker was assessed at $1,050/mt, based on the pegged $12/mt spread to CFR China.

 

imported data
imported data

NWE Toluene – Buying interest pushes May premium up

– May premium rises $13/mt

– Arbitrage still unworkable

The May premium for European toluene picked up on Wednesday, as Total registered buying interest for the month through the  Market on Close assessment process. The May premium increased to $99/mt over Eurobob gasoline, up $13/mt from Wednesday. the April premium was stable at $86/mt, with no sign of reduced availability at the front end of the market and no signs of demand. Production of toluene had been reduced, a distributor said, but it was hard to notice because of material inbound from the Mediterranean. On paper, the arbitrage to the US showed a potential gross profit of over $40/mt. In reality, the US market has been quiet due to logistical issues affecting the Houston Ship Channel.

RATIONALE:

S&P Global  assessed the CIF ARA toluene premium over Eurobob gasoline at $86/mt for April on Wednesday, stable from Wednesday. The May premium was assessed at $99/mt, up $13. An outstanding bid was left during the  Market on Close assessment process at $98/mt for May 10-20 delivery by Total.

 

Asian Toluene Chemical Industry: CFR China rises on lower inventories

Chemical Industry

– FOB Korea trading activity subdued

– Gasoline blending in Shandong lackluster

Asian toluene Chemical Industry  demand was stable Tuesday from the end of last week, although firmer buying interest in China saw June bids tick up to $710-$720/mt CFR China. Domestic China prices fell Yuan 5/mt from Tuesday to be assessed at Yuan 5,360/mt Tuesday, equating to $656.75/mt on an import parity basis. Gasoline blending in the Shandong region was lackluster, and toluene use in China’s gasoline blending sector in China was not providing support. Chemical Industry sources attributed the rise in CFR China import prices to lower inventories in China, at 73,100 mt in east China and 7,800 mt in south China, below the typical levels of 80,000 mt and 10,000 mt, respectively. The FOB Korea Chemical Industry was quiet Tuesday amid thin discussion, leaving prices unchanged.

RATIONALE:

Toluene was assessed unchanged from last Tuesday at $703/mt FOB Korea Tuesday. The markers take the average of the third and fourth half-month laycans, currently H1 May and H2 May. No bids or offers were registered during the  Chemical Industry on Close assessment process. The CFR China marker was assessed at $721/mt, up $7/mt from last Tuesday, and above a bid for June heard at $720/mt CFR China. May was assessed at $721/mt CFR China, keeping the May/June Chemical Industry structure flat from last Tuesday.

Chemical Industry
Chemical Industry