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LyondellBasell declares force majeure on PMA after La Porte incident

 Last Update: 2023-01-09
 Source: Internet
 Author: User

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LyondellBasell declared force majeure on propylene glycol monomethyl ether acetate (PMA) on July 27 following an acetic acid spill in La Porte, Texas that killed two people and injured six others
.

The declaration of force majeure is published and confirmed in the client letter
.

Prior to this incident, the supply of acetic acid in the United States was already tight, which also affected PMA production
.

In early July, weeks before the incident, LyondellBasell declared a force majeure event for vinyl acetate monomer (VAM) and glacial acetic acid
.

Recent events are expected to further tighten the supply of acetic acid and, in turn, PMA, which is downstream of acetic acid
.

Before the Laporte incident, LyondellBasell had proposed a price adjustment of 5 cents/lb ($110/t) for glycol ether-propylene glycol methyl ether (PM) and PMA on August 1
.
The price increase has been seen in a client letter and confirmed by a market participant
.

LyondellBasell said PM was not included in the force majeure
.

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