– VAM slides Eur50/mt on the week on ample supply
– European AA due to rise in line with prices abroad
AA: The European acetic acid price was assessed down Eur10 week on week at Eur700/mt FD NWE Thursday in a quiet market. The supply and demand balance in the trucks market was unchanged on the week, according to sources. “I see the same price at Eur700/mt, give and take [is] stable all around,” a trader said. Price movements in South Asia were expected to affect the European market in the near future. “I expect prices to go up again in the months to come,” a second trader said. Acetic acid export prices in Asia increased marginally on the week on more bullish fundamentals. CFR Far East Asia price rose $5 from last week to $450/mt Thursday and, similarly, the FOB China price also increased $8 on the week to $409/mt.
VAM: The European vinyl acetate monomer was assessed at Eur850/mt Thursday, down Eur50 on the week on low but steady demand and greater availability. “The market in Europe is still long and [there is] still downwards pressure [on VAM prices],” a trader said, adding that the zero-duty quota resulted in more imports into Europe. Prices were expected to pick up toward the end of March/beginning of April when seasonal demand for paint and coatings picks up, sources said. VAM prices in Asia rose on the week despite few changes in fundamentals. The pressure was mainly reported on ethylene-based VAM producers, according to sources. CFR China was assessed at $935/mt Thursday, up $5 from last Thursday on more bullish fundamentals.
S&P Global assessed acetic acid spot truck prices at Eur700/mt FD NWE on Thursday, down Eur10 on the week. The product was heard pegged in a range of Eur680-Eur710/mt FD NWE. Acetic acid FOB NWE was assessed at $780/mt, down $10 and in line with the FD price. Vinyl acetate monomer spot trucks were assessed down Eur50 on the week at Eur850/mt FD NWE Thursday and in line with source indications in a Eur820-Eur850/mt range. FOB NWE VAM was also assessed down $55 at $945/mt, in line with the FD price.