UP Resins: Margins returning to normal as raw materials stabilise

After a difficult first quarter normality is starting to return to the UPR markets. The first quarter saw some sweeping price increases for a number of raw materials and producer margins came under pressure. This was despite volumes and sales figures being reported at ‘better than expected’ levels. Raw material prices increased month on month at the start of 2017 and this led to UPR producers having to push through significant consecutive price increases of their own in order to improve profitability and keep up with raw material costs.

At the end of March and into April is when the market started to see the light at the end of the tunnel. April saw huge declines for styrene as benzene moved lower and product availability improved. However, it wasn’t all good news as prices for other key feedstocks such as isophthalic acid, phthalic anhydride and maleic anhydride continued to increase. The drop in the styrene price, especially in Europe, was negated by these other increases and overall feedstock costs remained inline with the previous month. UPR prices in April were stable in both the US and Europe, many negotiations were concluded with rollovers, as the roller-coaster the market had been on in the first quarter looked to be coming to an end.

Click here to receive the full article

A subscription to our  Unsaturated Polyester Resin Chemical Business Focus can give you further insights like this on the state of the markets world-wide.

Chemical Business Focus
Each month, subscribers receive a comprehensive look at current activity in the market, including pricing information for all of the main product areas in each of the key regions. In addition, subscribers have online access to 10 years historical prices to download as Excel files from our website, to Trade Tables and Charts and, on a quarterly basis, Plants & Projects listings which contain the latest information with regards to capacity developments in the Unsaturated Polyester Resins industries.

For more information or to request a sample please contact sales@orbichem.com

Yazmine Kahn
Yazmine Khan
Consultant – Orthoxylene, Phthalic Anhydride & UPR
Phone: +44 207 924 3955

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s