Asian ABS: $60-65/mt lower on shrinking
demand■ Lower final product order by 40-50%■ ABS margin remains negativeAsian Acrylonitrile-butadiene-styrene
was assessed down $60-65/mt on the week at $1,640-1,680/mt CFR China June 29,
weighed by shrinking downstream demand on final products and lowered upstream
prices. Sources
claim that global inflation has caused a decline in demand for final products
both at home and abroad. The ABS buying
appetite in domestic and importing markets was therefore lower. A producer stated that final product orders were falling by
between 40-50% and 50% depending on the product. This prompts ABS producers to
reduce ABS operation rates, as otherwise inventory and cash flow could be
affected. The ABS sentiment is also being
impacted by falling upstream prices. In the week ended June 29, the Styrene
Monomer cost was down $53.5-58.9/mt. The
Asian ABS...