Major producers of monoethylene glycol have nominated their Asian contract price for August as follows:
|Third global supplier||$1,080|
The proposed ACPs are all on a per MT CFR Asia basis.
Spot prices in the Chinese domestic market fell end of June but started on a recovery path from 3 July. The rebound was swift and significant. Demand has been stable despite the current lull in the downstream polyester and textile markets. With crude oil turning a southward turn earlier this week, and feedstock ethylene costs also no longer as high as a couple of months ago, there was also downward pressure from the upstream sectors.
While some traders remain concerned about more imports flowing into China in the next two weeks, there has been growing consensus that MEG prices look set to display resilience for some time as polyester demand picks up again towards August and September.