The Q2 contracts for ethylene (C2) and propylene (C3) have been fixed very early. The price of C2 will rise by EUR 15/t to EUR 1,038/t. This indicates that ethylene is showing some hesitation in following the all-time naphtha high of over USD 890/t recorded on 10 March 2008 (for comparison, in week 1/08 the price was USD 818/t). The main reason for this hesitancy is thought to be predominantly good availability of the material and limited export opportunities due to the unfavourable EUR to USD exchange rate.

The price of C3, however, is set to fall EUR 18/t to EUR 927/t in Q2. Spot market notations for the PP monomer, which was readily available throughout Q1, began to crumble in February and Q2 contract prices have now latched on to this trend.

For further information on feedstocks / aromatics see Plasteurope.com of 05.03.2008 and www.pieweb.com/petrochem