According to reports, if the prices of raw materials continue to rise, leading to the production of lower profits, Asian butadiene rubber manufacturers tend to cut production further, market sources said on Wednesday. Some butadiene rubber manufacturers in Korea and China has been reducing the load rate to 50% -70%, mainly due to weak demand, and the soaring cost of feedstock butadiene (BD).
Butadiene spot price to ship in the second half of February, according to market sources, the 1900-1950 U.S. dollars / ton (about 1425-1463 euros / ton), and buying interest likely to increase due to expected after the Lunar New Year, the second half of February, some The manufacturer is considering to raise the the butadiene offer to $ 2,000 / ton. According to ICIS, since the end of November last year, the price of butadiene in Asia has been an upward trend, with an average increase of 23.8%, last week’s assessment price is 1820 dollars / ton CFR Northeast Asia.
“We are seriously considering to reduce the rate of loading rate or plant closing, if the feedstock butadiene prices continue to rise, because our butadiene rubber prices can not be synchronized with the raw materials rose,” a South Korean butadiene rubber manufacturer said. Butadiene rubber prices, according to ICIS, January 17, 2450 U.S. dollars / ton, last week increased by an average of 50 U.S. dollars / ton, but compared to December 29 last year, the price has not changed. Fluctuations within a month and a half, butadiene rubber prices in the range of 2300-2500 U.S. dollars / ton.
The butadiene price rose to $ 2,000 / ton, butadiene rubber prices can not rise accordingly, will form a strong resistance. , Butadiene rubber and raw material butadiene usually required to maintain a spread of 700 U.S. dollars / ton, in order to make the rubber manufacturers preserve capital, and in accordance with the current prices, butadiene rubber and butadiene spread has dropped to about $ 500 / tons. Downstream side, due to the global economic slowdown led to a downturn in demand for butadiene rubber, rubber manufacturer is difficult to make the price more than 2500 U.S. dollars / ton.
“Because of the weak global butadiene rubber market, the expected average load rate of 2013 butadiene rubber or maintained at the level of 50%,” a Chinese butadiene rubber producers said. Some producers are considering further reduce the running load, and some may be decided in February to shut down production capacity, market participants said.
“If the the butadiene price reached $ 2,000 / ton, we will certainly reduce the butadiene rubber production load rate, currently the company’s mountain of 180,000 tons / year butadiene rubber plant is running at full capacity, LG Chemical Company said . Another Korean manufacturer – Kumho Petrochemical Yeosu 330,000 tons / year butadiene rubber plant operating load is only 60% -70%. The company said butadiene prices continue to rise, it may further cut production.
Company in China, Shandong Huamao 100,000 tons / year butadiene rubber plant load rate of only 50%. Due to the weak market, Nantong TSRC-UBE plans to overhaul its 72,000 tons / year butadiene rubber plant in Jiangsu Province in February.
Translated by Google Translator from http://news.cria.org.cn/3/12647.html
