Polypropylene:Europe

摘要

European polypropylene producers and consumers were firming up their bargaining position for the September contract talks following the monthly contract settlement for feedstock propylene on Friday which saw a Eur10/mt decline to Eur930/mt FD NWE. PP contract negotiations have yet to start but producers were aiming for an increase of around Eur20/mt, arguing that the rise was justified by steady demand and constrained supply. “We see a lot of orders coming back after the summer holidays,” said a producer, adding that some production “hiccups” have restricted supply. Converters, meanwhile, were targeting a modest reduction, although some of them indicated they were prepared to settle for a rollover citing the fall in propylene prices as the key factor supporting their position. “We see no reason for a price increase in September. If producers don’t have enough material available, then we can always go somewhere else,” a buyer said.