Shell Chemical will increase US isopropyl alcohol prices by 5 cents/lb effective March 15, the ongoing company said. The company didn’t cite any specific reasons in a letter to customers seen on Tuesday, but Shell does add that the March 15 increases will maintain addition to any previously announced increases for March.
Shell Chemical Joined Others
Shell Chemical substance joins Dow Chemical substance, ExxonMobil Chemical, LyondellBasell and Monument Chemical and with other isopropyl alcohol price suppliers with planned mid-March increases.
Dow Chemical substance, LyondellBasell and Monument Chemical substance are planning to increase US isopropyl alcohol price by 5 cents/lb effective March 15, and ExxonMobil intends to improve prices by 5 cents/lb effective March 11, the firms said in previous letters to customers.
The marketplace has seen pressure from rising feedstock contract pricing and offers tightness, sources have said.
Supply has been referred to as tight over summer and winter on discussions of creation problems and preparations for planned turnarounds.
Feedstock chemical-grade propylene, in addition, has seen the power in the 1st weeks of the entire year, with February agreements settling late the other day near a two-year most of 46.50 cents/lb, 6 up. from January 50 cents.
Supply tightness, feedstock prices pressure US isopropyl alcohol price: sources
Tightness in place availability has maintained strain on the US isopropyl alcohol marketplace, and likely raises in feedstock agreements appear primed to include further pressure, Tuesday sources said.
Rising Demand in America & Europe
Stronger demand in America and Europe, production problems in the next half of this past year and anticipation of the next maintenance in the initial quarter possess combined to restrict place availability, sources said.
Tuesday at 49 US isopropyl alcohol price was assessed.50-50.50 cents/lb ($1,091-$1,113/mt) FOB USG, the best since late November.
“There’s still not really a good deal of extra volume away there,” a distributor said.
Spot prices received minimal rest from lower December feedstock chemical-grade propylene contracts, and objectives for higher January agreements will probably apply further pressure, sources said. We provide daily news and updates on isopropyl alcohol price in India.
December agreements for feedstock chemical-quality propylene declined 4 cents/lb to a nine-month low of 30 cents/lb, but targets for January have needed increases of just as much as 5-7 cents/lb, resources for the reason that market said.
Contract buyers who have a propylene component within their contracts have observed easing in prices this month, but that will be short-lived provided with the January expectations, a source said.
The Substantial Push
“There was a substantial push in the late summertime and early fall to get Isopropyl alcohol price up, and it appears to have organized,” the foundation added.
US Isopropyl alcohol price suppliers and marketers to concern pricing increases in the next half of this past year included ExxonMobil, LyondellBasell, Monument Chemical substance and Dow Chemical, according to letters delivered to customers at that time.