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The Asian chemical market is experiencing tight supply for a variety of products, such as polyethylene (PE) and benzene, as demand continues to grow due to the accelerating pace of economic recovery in Asia and several suppliers have recently closed factories
.
As far as Southeast Asia is concerned, polyethylene (PE) import supplies are likely to remain tight in the coming weeks due to planned factory overhauls in April and May, especially in Thailand
.
As far as Southeast Asia is concerned, polyethylene (PE) import supplies are likely to remain tight in the coming weeks due to planned factory overhauls in April and May, especially in Thailand
.
In China, polyethylene (PE) inventories remain high, prompting sellers to cut prices to boost sales, while the outlook for excess supply will remain
.
"With the new production capacity coming into operation in the second quarter, the tight supply situation in China will gradually ease, while the supply in Southeast Asia will continue to be tight
," Amy Yu said
.
In the benzene market, due to the recent frequent factory problems and strong demand, the supply of spot goods shipped in May was insufficient, which supported the rise of benzene prices in Asia
.
In the acetic acid market, as demand for shipments from Northeast Asia was also strong in May, increasing buying inquiries from Europe boosted seller sentiment
.
For xylene (PX), Asian market prices remained under pressure as profits from downstream purified terephthalic acid (PTA) in China continued to weaken
.
Asian PX supply is balanced to slightly tight due to upcoming planned maintenance and unplanned outages
.
Squeezed profit margins could keep PX running at a lower rate
.
