(ICIS) -- US ethylene margins rose by 2.7% in the fourth week of August, lifted by higher ethylene spot prices and softer production costs, the ICIS margin report showed on Tuesday. Ethylene margins were at 34.27 cents/lb (USD 756/tonne, EUR 522/tonne) for the week ended 26 August, up from 33.36 cents/lb a week earlier, using ethane as a feedstock.
US margins rose as ethylene spot prices climbed by 1% last week on inventory building ahead of upcoming cracker turnarounds, market sources said.
Ethylene for August traded at 62.50-63.25 cents/lb, up from 61.75-62.75 cents/lb during the week that ended on 19 August.
The increase in spot prices was driven by anticipated supply tightness because of scheduled maintenance at four US crackers in September and October.