A group of four isopropyl alcohol producers intend to increase pricing for North American product 2-3 cents/lb by the end of this month or at the start of May, according to company letters seen Monday by Platts.
ExxonMobil Chemical will increase IPA pricing by 3 cents/lb on April 26, the company said in a letter to customers dated Monday. The increase came because of recent rises in feedstock prices.
"This price action is a measured response to these cost drivers," the letter said.
Sasol will also raise prices by 3 cents/lb, effective May 1 or as contracts allow. The move came "in response to market conditions," the company's letter said.
Shell Chemical will increase prices by 2 cents/lb effective April 29, and LyondellBasell will raise prices by 2 cents/lb effective May 1, the companies said in respective letters to customers.
Feedstock US chemical-grade propylene contracts settled 1 cent higher for April at 31 cents/lb, sources said last week. The uptick came within market expectations and followed an increase in March contract pricing.
The April contract at 31 cents/lb marks the highest level since 31.50 cents/lb in August, according to Platts data.
Platts last assessed US IPA on Tuesday at 34.00-35.00 cents/lb ($750-$772/mt) FOB USG and 36.00-37.00 cents/lb ($794-$816/mt) DER.
