PBF Holding Co LLC will raise its truck and rail toluene and xylene prices in the US and Canada by 3 cents/lb to both consumer and distribution accounts effective Tuesday, according to a letter obtained by Platts.
The price increases in both markets are in response to the current pricing level of US Gulf Coast barges, which have been rising as a result of seasonal gasoline blend values, crude prices and limited supplies as a result of turnarounds and economics, the unit of refinery owner PBF Energy said.
Supply levels in barge toluene and xylene markets have tightened as most refineries have stopped extracting both from reformate due to more expensive blend values, ultimately boosting pricing, sources said.
The trend of tighter inventories is expected by market participants to continue into June as gasoline blending demand improves.
Platts assessed truck and rail xylene at 30.25 cents/lb ($667/mt) FOB USG and toluene at 30 cents/lb ($661.38/mt) FOB USG Tuesday.