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Markets :: Plastics :: Polypropylene
Propylene Cost Increases Pressure PP Margins
1:30 PM MDT | August 9, 2007 | Peck Hwee Sim
Polypropylene (PP) margins are under pressure from the unrelenting rise in propylene feedstock costs, market players say. PP producers are working on May increases of 5 cts-9 cts/lb, the fourth pricing initiative this year. PP prices have gained 8.5 cts-9 cts/lb in total this year, including a 4-cts/lb increase that was passed in April, but producers say that the increases did was keep pace with propylene cost increases. Cracker outages, and firming demand from the gasoline pool have tightened propylene supply and driven up propylene prices every month since the...
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