European Propylene Oxide prices have remained subdued in June xxxx as oversupply and weak demand weighed down the prices. Lower propylene prices in the upstream also added in the negative price pressure as Propylene CIF Germany declined by xx. Downstream polyether polyol supplies surpassed demand in June, which resulted in an integrated bearish movement across Propylene Oxide value chain. Bearish sentiment in propylene prices was largely owing to weaker PP demand in Qx.
Price movement tracked by ChemAnalyst for Propylene Oxide FOB Hamburg deliveries in June declined by xx M-o-M basis. Crude oil prices in Qx remained elevated from USD xx/barrel to USD xx/barrel in June, xx higher than Qx xxxx median prices. This has added price pressure over Naphtha and Propylene Oxide downstream prices for Qx. Inquiries with the market participants in Qx revealed major challenges pertaining to supply side disruption arising out of high LNG...
