Propylene Asia

摘要

FOB KOREA/JAPAN: FOB Korea/Japan propylene prices fell $15/mt from a week ago to be assessed at $1,506/mt Friday, pressured by weak buying appetite for FOB cargoes. Trading activities were scarce, with the FOB Korea/Japan propylene prices moved in a tight range of $10/mt this week as market participants closely monitored the demand-and-supply situation. The region's propylene supplies are seen to be normalizing from H2 September due to the planned restart of Formosa Petrochemical's 350,000 mt/year No. 1 naphtha-fed steam cracker in Mailiao, Taiwan, on September 10. The cracker was shut on May 12 after an LPG pipeline fire. After Friday's market close, one 1,500 mt spot cargo was reported to have been transacted at $1,520/mt FOB Korea for the H2 October. For end-September/early October, buying interests were reported at $1,500/mt FOB Korea Friday. In related plant news, the operating rate of Idemitsu Kosan's joint venture olefins conversion unit in Chiba, Japan, has reached full capacity after a restart on August 28. The unit, which is able to produce 150,000 mt/year of propylene, was shut around the end of June for annual maintenance.