China Petroleum and Chemical Corp, or Sinopec, raised its ex-works butadiene offers in East China for a second time in January, to Yuan 9,900/mt, or $1,299/mt on an import parity basis, effective Wednesday, up Yuan 200/mt or about 2.1%, market sources said.
The state-owned company last increased butadiene prices on January 9 by Yuan 300/mt to Yuan 9,700/mt.
Among the reasons for the hike was tight availability of butadiene in the domestic market, a synthetic rubber producer said.
Also, spot prices for imported material have firmed and Chinese demand has attracted cargoes from Southeast Asia.
CFR China prices stood at $1,320/mt Tuesday, S&P Global Platts data showed, their highest in more than three months. The price was last assessed higher on October 5, 2017, when they stood at $1,350/mt CFR China.
Offers for February were heard at $1,350/mt CFR China, sources said.
On a delivered basis, prices in East China hovered at Yuan 10,500-10,600/mt, the producer said.