IHS Chemical Week

Economics :: Prices

Rising Prices Drive Up PE Margins

1:47 PM MDT | July 26, 2007 | Peck Hwee Sim

Polyethylene (PE) margins have started to reverse the negative trend seen since last October, analysts say. PE margins reversed course in February as a result of rising PE prices combined with flat ethylene feedstock prices, and are likely to improve further in March, analysts say. “PE volumes have improved in the last month or so, and we expect to be able to push through the 6-cts/lb price increase,” one producer says. PE producers had sought a 6-cts/lb increase for February 1, and have reportedly implemented half of the increase in February, market...

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