European monoethylene glycol spot prices moved higher in the week to Friday as the turnaround season in Europe approaches and as Asian prices increased, sources said.
FCA prices were assessed Friday Eur10/mt ($13.6/mt) higher on the week at Eur910/mt for NWE.
Polyethylene terephthalate and antifreeze producers were both in the spot market to replenish inventories before the commencement of the turnaround season in Europe. Shell's 305,000/mt year ethylene oxide plant in Moerdijk, the Netherlands, BASF's 500,000 mt/year EO plant in Antwerp, Belgium, and Ineos's 450,000 mt/year EO plant will shut for six weeks of maintenance in March, the end of April and April, respectively.
PET and antifreeze are MEG derivatives. EO is a feedstock for MEG.
"There were requests for product this week," a producer said Friday.
"There are some antifreeze producers with tank space," a distributor said.
FCA prices have further scope to increase as barge prices are catching up with truck prices, another source said. CIF prices were assessed Friday at Eur890-900/mt for NWE, gaining Eur10/mt on the week.
Meanwhile, Asian monoethylene glycol Friday gained $9/mt in the week to close at $1,178/mt CFR China, with sellers taking long positions, also in the face of upcoming maintenance, sources said.
However, European sources were uncertain of medium- or long-term demand developments due to economic uncertainty, adding that buoyancy in prices only reflected the dynamics of supply fundamentals.
