European ABS buyers take waiting stance amidst higher June prices
ABS sellers across Europe approached the market with increases for June following the higher butadiene and barge styrene contracts, according to ChemOrbis. However, another styrene contract settled with rollovers on an FCA basis afterwards, which caused buyers to take a waiting stance in anticipation of a correction in hike requests for ABS in the upcoming days.
Trinseo announced increases of €40/ton on their June ABS prices in Europe, according to a statement on the company’s web site.
In France, a distributor issued increases of up to €40/ton on his June ABS prices for West European material, commenting, “Trading activities are quite weak as converters consider the current prices to be too high.” Another distributor lifted his ABS prices by €20-30/ton for June. A converter reported receiving June ABS offers with rollovers to increases of up to €40/ton from May.
Another converter in Austria reported, “We had been expecting to see some price relief in June, but suppliers are aiming for hikes of €30-40/ton on their June ABS prices. We will negotiate on our prices later in the month.”
A packaging producer in Germany reported receiving June ABS offers up €40/ton from last month. The buyer said that he is planning to wait before making new purchases, assuming that some price relief might be possible in the days ahead.
Some distributors in Italy issued increases of up to €40/ton for West European ABS as per ChemOrbis pricing service. One of the distributors commented that demand is weak and added that buyers are resisting price hikes. A converter reported, “Locally-held Asian ABS is being offered mainly with rollovers for June. European producers were aiming for increases before another June styrene contract settled with rollovers on an FCA basis. We think that ABS hikes could see a correction in the upcoming days.”