China Benzene Prices Down Coronavirus
China’s benzene prices down
MOSCOW – Benzene consumption in China may face downward pressure due to uncertainty about the timing of resumption of production in the consumption sector, ICIS reports.
In the first week after the Chinese Lunar New Year, spot prices for benzene in China and weekly futures prices in East China fell due to a sharp drop in oil prices and foreign prices and a decrease in demand amid an outbreak of coronavirus. Futures prices were lower than spot prices. China Benzene Prices Down
Benzene prices in eastern China fell last week amid falling oil prices. One supplier’s benzene prices have been adjusted to CNY5,500 per tonne. The new price has an import parity of USD685 per tonne, CFR China, LC with immediate payment on a letter of credit, or USD694 per tonne, CFR China, with a delay of 90 days on payment of a letter of credit.
Prices fell due to weakening demand due to delays in the operation of the plant and logistic restrictions amid the spread of the virus. China Benzene Prices Down
Import prices for benzene fell markedly from the pre-holiday level. Weak markets in Europe, the USA and Asia during the holiday season and lower domestic prices in China at the beginning of the week contributed to a reduction in offers from traders.
Benzene is a raw material for the production of styrene, which, in turn, is the main raw material component for the production of polystyrene (PS).
According to ScanPlast of Market Report, in Russia the estimated consumption of PS and styrene plastics in December amounted to 46.26 thousand tons, which is 8% more compared to December a year earlier. China Benzene Prices Down
According to the results of all of 2019, the estimated consumption of PS and styrene plastics in the country amounted to 500.66 thousand tons, which is 1% less than the previous year.