SUBSCRIBER NOTE: Platts proposes prompt, forward domestic China benzene assessments

S&P Global Platts is proposing to launch daily prompt and forward domestic China benzene assessments and its import-parity equivalent, effective August 1, 2018.

As China grows to be the largest importer of benzene globally, there has been increased interest from the market to understand daily price trends in the domestic East China market.

The domestic China benzene assessments would comprise of three markers, namely the East China prompt marker, East China Bal-M1 marker and the East China M2 marker.

The East China prompt marker will reflect prices of cargoes in Yuan up to 10 days forward from date of publication.

The East China Bal-M1 marker will reflect prices of cargoes in Yuan loaded within the current calendar month from date of publication.

The East China M2 marker will reflect prices of cargoes in Yuan loaded within the second calendar month from date of publication.

The import-parity equivalent of the prompt, Bal-M1 and M2 marker will be published using standard tax rates applicable on import cargoes and the USD/Yuan exchange rate issued by the Development Bank of Singapore. More details will be available in the Platts Asia-Pacific Petrochemicals methodology and specifications guide.

Platts proposes to assess on an ex-tank loading basis out of two main ports located in East China, including Jiangyin and Changzhou.

The minimum volume assessed will be 500 mt, and the maximum volume will be 1,000 mt, in line with the standard parcel size traded in the domestic Chinese market.

Platts will assess cargoes with quality specifications conforming to the latest edition of international standard ASTM D-2359.

Platts will consider cargoes transacted on standard credit terms per market practice, as agreed between counterparties.

Prices will be based on latest information sourced from the market up to the close of the assessment window at 4:30PM Singapore time (0830 GMT) daily.

Platts welcomes all feedback and questions on the proposed assessments through July 2, 2018. Please send all questions and feedback to petchems@spglobal.com with a copy to pricemethodology@spglobal.com.

For written comments, please provide a clear indication if comments are not intended for publication by Platts for public viewing. Platts will consider all comments received and will make comments not marked as confidential available to the public upon request.