European styrene prices surged to a one-month high on Friday and pulling US prices up in tandem, according to S&P Global Platts data.
The 5-30 day forward styrene spot price was assessed at $1,477/mt FOB ARA Friday, its highest since March 13. Prices in the US jumped in tandem and April was assessed at 60.80 cents/lb ($1,340/mt), marking a 1.60-cent rise on the day.
The increase in Europe was down to firm demand combined with reports of production issues.
In the second half of last week, April trades were reported in the range $1,460-$1,515/mt.
The surge in prices came despite large volumes of imports expected to arrive from the US in the second half of April.
Bids emerged for EU-origin product, indicating specific requirements which would not be met by the expected imports.
In addition, a trader said that the European market was structurally net short that these imports were filling in a necessary gap rather than adding extra volumes to the market.
In the US, a second source said that the European market needed US product. An import arbitrage was open Friday as the European price in May was assessed at $1,400/mt.
In the European morning Monday, bids for European styrene for April and May were heard at $1,450/mt and $1,390/mt respectively. No offers were reported.
