Citgo Petroleum Corp. will raise xylene and toluene truck and rail pricing by 4 cents effective June 18, according to a letter the company sent Wednesday to customers that Platts obtained Thursday.
"This price adjustment is due to limited supply of both products that has resulted in significant spot price increases," the letter stated.
US spot toluene was assessed Thursday at $3.82/gallon ($1,161.28/mt) FOB US Gulf Coast and has risen 29 cents/gal ($88.16/mt) since May 20, while mixed xylene was assessed at $3.85/gal ($1,166.55/mt) FOB USG and has risen 32 cents/gal ($96.96/mt) during that same period.
Sources attributed gains in these spot markets to an increase in demand amid short-covering, while supply availability is limited since refineries haven't been extracting toluene or mixed xylene.
Platts' truck and rail assessments for toluene and xylene was at 51 cents/lb FOB USG Tuesday. These assessments are done weekly.
