IHS Chemical Week

Economics :: Prices

PE Price Increases May Stick

1:41 PM MDT | February 28, 2007 | Esther D’Amico and Gregory Gl Morris

U.S. polyethylene (PE) producers may get at least part of their nominated price increases this month, and there is a strong possibility that prices will rise further in subsequent months, analysts say. “Negotiations are still ongoing, but industry sources suggest that 3 cts/lb of the proposed U.S. polyethylene price increase of 6 cts/lb for February could be realized,” says a recent report by Banc of America Securities (New York). The remaining 3 cts/lb could be applied in March, and a separate proposed increase of 7 cts/lb would be deferred to April...

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