The European truck price of mixed xylenes hit a seven-month low on Tuesday on the back of considerable product length in Europe and a bearish gasoline market, S&P Global Platts data show.
The truck price was assessed at Eur610/mt (about $666/mt) FD NWE on Tuesday, down Eur70/mt from the previous week and at its lowest since September 27.
Several European distributors quoted their truck prices lower this week compared to the last in the range of Eur660-665/mt FD NWE.
One European producer was, however, heard offering trucks at such low levels as Eur614/mt on a delivered basis.
Price decreases throughout April are now filtering through into the distribution market, sources said.
MX distribution prices are tracking decreases in the ARA barge market, sources said this week. MX barges are currently trading at their lowest level since September.
MX's relative weakness relative to other aromatics is however evident when looking at the MX premium to Eurobob gasoline, but that premium hit a three-year low in April.
Mid-April, the MX premium dropped to $49/mt. MX's premium over Ebob swaps was last lower on July 4, 2014, when it stood at $33/mt.
The lack of arbitrage opportunities out of Europe and a turnaround at Shell's PX/OX-plant at Wesseling in Germany has created length in European mixed xylenes market.
Furthermore, proposed import tax changes in China for mixed aromatics has caused bearish sentiment.
