ABS crash along with plunging butadiene and ACN

07-Nov-08

Plunging butadiene and ACN - the feedstocks for ABS, along with shrunken demand from China and bearish market outlook, have brought down ABS prices in Asia. Benchmark offers have seen a further downward revision to hover lower than US$1500/MT CFR CMP levels. Apprehensive of prices heading further south as a US recession seems imminent, sellers are willing to liquidate their cargoes at much lower levels, reducing offers by about 50 dollars. Lg Chem, Che Mei and Cheil Industries are operating plants at barely half the nameplate capacity.