Braskem blames lowered Mideast PP supplies to Europe for higher Q1 prices
Brazilian producer Braskem has pointed out an absence of Middle Eastern polypropylene imports right into Europe for greater rates in the initial quarter.
" The high number of upkeep shutdowns at PP plants in the Middle East during Q1 2017, which influenced 15% of the area's total polymer production capability, resulted in reduced exports to Europe in the period and consequently greater rates in the area," Braskem claimed in its first-quarter results declaration.
According to S&P Global Platts data, homo injection polypropylene area prices for delivery in Northwest Europe balanced Eur1,169/ mt ($ 1,284/ mt) in the quarter, an increase of 14% year on year and up 16% from Q4 2016.
In The Center East PP materials from Borouge took a struck after a fire at the Takreer refinery in the UAE in January. Takreer supplies feedstock propylene to Borouge's 900,000 mt/year PP plant.
Braskem likewise stated that European PP basics were also strengthened as need increased on a quarter-on-quarter and year-on-year basis.
chelating agent edta was driven mostly by the automotive, durable goods and building material markets, Braskem claimed.
In addition, Braskem said PP demand increases was because of "greater rates for polystyrene as well as design plastics, which led customers to seek various other items [, i.e. polypropylene,] to replace these materials."
Looking upstream, European PP prices in the very first quarter were sustained by the greater price of propylene.
" The ordinary price reference for propylene in Europe in Q1 2017 was $870/mt (Eur792/mt), 36% higher than in Q1 2016, which is discussed by the scheduled as well as unscheduled shutdowns at both biscuits and also propylene manufacturing units utilizing propane as feedstock and also by the solid demand for propylene by-products in the region in the period."
Braskem runs 2 industrial systems in Europe, both producing polypropylene. The combined polypropylene ability of the devices, at Wesseling as well as Schkopau in Germany, complete 545,000 mt/year.
Supply from Borouge is expected to enhance in the 3rd quarter, when the business's PP plant will certainly receive additional propylene from Takreer's freshly created 500,000 mt/year PDH plant.
"Propylene supply will originate from the brand-new PDH unit in the third quarter," Mark Garrett, CEO of Borealis-- which holds a 50% stake in the project-- stated previously this month, adding that the company will certainly be able to run its Borouge-3 PP device at three-quarters of ability after the PDH device has actually been started.
" The high number of upkeep shutdowns at PP plants in the Middle East during Q1 2017, which influenced 15% of the area's total polymer production capability, resulted in reduced exports to Europe in the period and consequently greater rates in the area," Braskem claimed in its first-quarter results declaration.
According to S&P Global Platts data, homo injection polypropylene area prices for delivery in Northwest Europe balanced Eur1,169/ mt ($ 1,284/ mt) in the quarter, an increase of 14% year on year and up 16% from Q4 2016.
In The Center East PP materials from Borouge took a struck after a fire at the Takreer refinery in the UAE in January. Takreer supplies feedstock propylene to Borouge's 900,000 mt/year PP plant.
Braskem likewise stated that European PP basics were also strengthened as need increased on a quarter-on-quarter and year-on-year basis.
chelating agent edta was driven mostly by the automotive, durable goods and building material markets, Braskem claimed.
In addition, Braskem said PP demand increases was because of "greater rates for polystyrene as well as design plastics, which led customers to seek various other items [, i.e. polypropylene,] to replace these materials."
Looking upstream, European PP prices in the very first quarter were sustained by the greater price of propylene.
" The ordinary price reference for propylene in Europe in Q1 2017 was $870/mt (Eur792/mt), 36% higher than in Q1 2016, which is discussed by the scheduled as well as unscheduled shutdowns at both biscuits and also propylene manufacturing units utilizing propane as feedstock and also by the solid demand for propylene by-products in the region in the period."
Braskem runs 2 industrial systems in Europe, both producing polypropylene. The combined polypropylene ability of the devices, at Wesseling as well as Schkopau in Germany, complete 545,000 mt/year.
Supply from Borouge is expected to enhance in the 3rd quarter, when the business's PP plant will certainly receive additional propylene from Takreer's freshly created 500,000 mt/year PDH plant.
"Propylene supply will originate from the brand-new PDH unit in the third quarter," Mark Garrett, CEO of Borealis-- which holds a 50% stake in the project-- stated previously this month, adding that the company will certainly be able to run its Borouge-3 PP device at three-quarters of ability after the PDH device has actually been started.
Public Last updated: 2021-03-08 09:19:53 AM