Paraxlene (PX) prices in Asia rose, with offers increasing further in proportion to better reactions in the region's PTA manufacturers as well as on the back of higher energy costs.
A PX trader explained that recently several PTA manufacturers in Asia have lowered their production following the slow-moving market situations and general slumping conditions.
While this has partly contained benefits and reduced the load on manufacturers, buying interest in PTA has begun to move back into the markets and this is what has supported reactions in the PX markets as well.
With PTA prices considered at the USD 795/mt CFR levels, PX offers have gone up also in the region and rising demand is enabling sellers to continue with increases.
In plant news, Mitsubishi Chemical has planned that it's 470 kt/annum PTA plant in India would remain closed for a month next year in February. Government of China has given a green signal to Zhejiang Yisheng to set up its second PTA unit, which is likely to start up in the second half of 2008. Though details remain vague, it is supposed that the plant would have the capacity of 600 kt/annum.
marketing@alchempro.com
