Pharma Industry
Industry: Email Alert RSS FeedPolyethylene Makers Seeking Margin Recovery.(seeking price increase)(Brief Article)
Chemical Market Reporter, April, 2001 by BROWN, ROBERT
Downward ethylene pricing and sluggish PE demand put any pricing gains at risk.
POLYETHYLENE PRODUCERS are still struggling to restore margins following the unprecedented rise in the cost of natural gas. Despite some success in raising prices, higher feedstock costs are outpacing the industry's ability to recover margins. Producers are seeking for May 1 the remaining 3 cents from March's 6 cent announced price increase, but downward ethylene pricing and sluggish polyethylene demand is making any pricing gain uncertain.
Rising feedstock costs have been the critical issue for polyethylene producers. In January, natural gas briefly hit $10, more than five times its average cost. Prices have since come down but are still well above what North...
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