IHS Chemical Week

Economics :: Prices

Ethylene Chain Margins Come Under Pressure

8:46 AM MDT | April 7, 2008 | Robert Westervelt in San Antonio

March ethylene contracts settled 3 cts/lb higher in the U.S. last week but margins remain under pressure as raw material and energy costs continue their upward climb, producers say. Margin pressure is less a function of demand, which remains strong, than the surge in raw material and feedstock costs, Edward Dineen, president/chemicals at LyondellBasell Industries, said in an interview at last week’s National Petrochemical and Refiners Association’s International Petrochemical Conference in San Antonio. Demand and operating rates remain solid...

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