European
Propylene Market Activity: Weak Demand-
Illiquid discount levels following MCP settlement-
Seasonal pressures continue in some regions outside of the marketIn
the week ending Jan. 6, the European propylene market was weak. Seasonal
pressures exacerbated persistently low demand. Polymerscan January 11,
2023 All rights reserved. 34 The market was liquid across all price
points, with the same discount levels across both coast and inland polymer
grades and chemical grade propylene segments. Participants stated that the
market length, which ran through Q4 2022, showed no signs of slowing down in
the new year. These trends were driven largely by weak demand in
derivative markets. Market participants from the propylene value chains noted
that there was limited consumer interest after the winter holiday
period. Cracker run rates were also significantly reduced in propylene
production. The muted dynamics in...