Constraining Supply Chains Inflates Global Bisphenol A Prices
- 31-Aug-2022 5:10 PM
- Journalist: Robert Hume
Global Bisphenol A prices are showcasing an optimistic trend due to the tight supply of the product. The shutdown of the manufacturing plants and the robust demand from Turkey support the Bisphenol A price rise. Additionally, fluctuating raw material prices are also involved in the escalating price trend.
In Turkey, the Bisphenol A market is active due to the robust demand from consumers, which triggers the Bisphenol A prices. The insufficient product availability in Turkey and limited supply from Taiwan led Turkey’s traders to import Bisphenol A at a high cost from Taiwan, ushering in the price hike. Since Taiwan is one of the major exporters of Bisphenol A to Turkey, the shutdown of the Bisphenol A unit of Nan Ya Plastics in Mailiao has caused a tight supply of the products. Furthermore, the continuous depreciation of the Turkish Lira against the dollar has also inflated CFR Mersin prices of Bisphenol A by 1.4%.
Also, the Chinese Bisphenol A market is struggling due to the heat waves and the shutdown of Sichuan plants in the previous week as a result of the power shortage. The shutdown has started implying pressure on the traders because of the rise in Bisphenol A scarcity in China. In addition, Sinopec Beijing Yanshan Petrochemical has imposed a turnaround of their Bisphenol A unit for maintenance. Thus, Chinese traders had to seek supplies from South Korea and Taiwan. On the other hand, the weak production in South Korea and Taiwan’s domestic market ushered in the disrupted trade, further pushing up the Bisphenol A values in China.
However, the rising requirement for Bisphenol A from the downstream polycarbonate plastic manufacturers is influencing Bisphenol A prices to increase globally. Besides, Bisphenol A is in high demand from the end-use construction, paint, and automotive sectors, escalating the Bisphenol A price trend. Similarly, the raw material prices fluctuate globally due to the wavering demand from different countries, boosting the Bisphenol A values.
According to ChemAnalyst, the Bisphenol A prices will likely increase in the forthcoming weeks. The demand from consumers might increase if the manufacturing plants remain shut. The Chinese domestic market will gain strength if the power crisis descends and the manufacturing plants resume production.