MOSCOW (MRC) - In spite of the decline of high season, prices in June in the Russian market of extrusion of polycarbonate (PC) did not reduce, moreover, the prices for imported PC increased significantly compared to the May level, according to ICIS-MRC Price Report.
First of all, it is worth noting the rise in prices for imported PC granules. European producers have begun to raise export prices since mid-May because of the PC shortage, resulted from several force majeures on phenol plants in Europe. This, in turn, led to the price rise for PC production chain.
The low end for extrusion PC in the European market now is at EUR2,350/tonne FD NWE. June import price for extrusion PC granules from Sabic Innovative Plastics has reached the level of EUR2,300/tonne, CFR St Peterburg. Many Russian converters plan to reduce the consumption of imported PC because of the high domestic prices, fuelled by the next drop of the rouble. Russian PC in this case is more preferable.
However, at the moment, market players reported a shortage of the material and the lack of available volumes.
Kazanorgsintez's PC prices for June were at Rb154,000/tonne CPT Moscow, including VAT. The price remained steady from the May level.
Some participants fear the increase in the price for Russian PC to Rb160,000/tonne, CPT Moscow, including VAT at the end of June, but the factory denies these rumours. As it was previously reported, Kazanorgsintez,the only PC producer in Russia, plans to shut its PC volumes on the maintenance works from 2, July to 29, July.
At this time in the market, despite the traditionally weak demand in mid-summer, is likely to be a shortage of PC.
Some converters are also planned turnarounds in this period, but for a shorter period.