The US polymeric Methylene Diphenyl Diisocynate (MDI) market is set for a significant price escalation through June ****, with fresh supply disruptions amplifying the tightness that emerged in late May. The month begins with two major MDI production constraints: Covestro’s Baytown facility under force majeure due to supply issue from June *–**, and Huntsman’s Geismar, Louisiana plant undergoing planned maintenance during the same period. Together, these outages temporarily remove meaningful volumes from an already concentrated North American supply base, where over *** of capacity is controlled by a handful of producers. With global offline capacity still hovering near *.** million tons/year, the June outages are expected to intensify regional scarcity and push sellers toward firmer offers. MDI Market participants anticipate that June spot availability will be extremely limited, with distributors prioritizing contract customers and restricting open market tonnes. Rising hydrocarbon costs and geopolitical...
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