The SE and FE Asian caprolactum markers on the lower end declined US$10 a ton in the second week of January. In China, spot liquid good offers were down US$107 a ton as compared to last week while solid goods fell US$32 a ton on the week.
Caprolactum prices in Asia weakened that week despite strong benzene market. In China, CPL offers were assessed down on ample supply during the week. Domestic run rates dropped to 80.8% in the week.
Baling Petrochemical shut its old production line on 11 January due to feedstock plant issue. The other two CPL lines have been running at low rates. Fujian Shenyuan New Materials shut down its two CPL lines, with combined capacity at 400,000 tons per year. The restart would depend on feedstock supply conditions.
Overall, CPL market is likely to weaken further in coming weeks despite firm benzene and demand.
Courtesy: Weekly PriceWatch Report
