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November 19, 2010 06:00 AM

PA and PBT set to rise further

David K Platt
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    After a few months of stability, it seems PA6 prices are likely to rise from December. Several producers have asked for price increases of up to €250/tonne, citing increases in the cost of additives as the main reason for the calls.

    PA6 supply is balanced with most plants operating at high rates. Production was, however, insufficient to meet demand and buyers of standard material faced longer delivery times. Demand, although much stronger than last year, varied considerably between sectors. Automotive continues to be the star performer along with machinery manufacturing, while demand from the E&E sector was rather patchy.

    PA66 prices also remained largely unchanged during Q3 but are now set to rise with a number of producers announcing planned price hikes of up to €250/tonne.

    PA66 remains tight although, with the lifting of the force majeure at Rhodia, the supply of virgin PA66 resin has improved. BASF has also had customers on allocation but force majeure was expected to be lifted. DuPont has also had production issues.

    PBT producers announced planned price hikes of €200/tonne at the start of Q3 following a rise of €350/tonne in the Q3 butanediol (BGO) contract price. In response, PBT prices have risen by over €100/tonne during the last three months.

    PBT producers have called for further price increases from this month, a move which is likely to be designed to influence Q1 negotiations.

    PBT supply is well balanced and most plants are operating at capacity. There is only a limited volume of imports. Order intake has been good over the last three months but is likely to ease towards year end.

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