China's Ningbo Mitsubishi Chemical will continue to run its 600,000 mt/year purified terephthalic acid plant in Ningbo, China, at full capacity for now despite negative margins, as per Platts. The PTA margin averaged minus US$49.97/mt in June, worsening from minus US$26.63/mt in May. The plant was restarted early June following a turnaround that began mid-May. 100% run rates at the plant pointed to lower PTA import volumes into China.
China's May PTA imports rose 12.1% from a month earlier to 385,924 mt, according to Chinese Customs. But industry sources said China's PTA imports are expected to fall from June as PTA producers in Taiwan and South Korea -- key PTA exporters to China -- have reduced PTA plant operations due to negative margins amid high paraxylene feedstock costs.