Gloomy outlook abound in China's ABS market

05-Aug-08

A downtrend in input costs for ABS continues in Asia, as naphtha and styrene monomer prices continue to fall. ABS market outlook is gloomy both in the domestic Chinese markets as well as for imports into the country. Cargoes remained unsold as traders consider the pessimistic market sentiments and the not so bright market outlook. Several ABS production lines are mulling a shutdown or are reducing operating rates. Sinopec Shanghai Gaoqiao Petrochemical Co. has announced a maintenance shutdown and stopped production at one of its lines at its ABS plant. The company has also reduced run rates at two production lines to 70-80%.