London — European spot polyethylene terephthalate prices are edging higher on a combination of expectations of rising PX contracts, buoyant demand and a scarcity of resin on Equipolymers' planned March shutdown.
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Spot PET prices on the continent were heard Tuesday in a range of Eur1,080-1,120/mt. Platts assessed the spot last week at Eur1,070/mt FD in Northwest Europe and at GBP965/mt FD in the UK.
"The market is rather short due to strong demand and reduced availability," a producer source said.
Bullish feedstocks lent further support to spot prices.
The MEG contract price ticked higher on the month on a cold snap in Europe boosting the need for anti-freeze.
The European February contract price of MEG initially settled up Eur33/mt at Eur997/mt ($1,241/mt) early in the month. The PX contract price is also expected to settle higher in coming weeks.
These expectations continue to push PET spot higher, a second producer source said.
PET resins maker Equipolymers is expected to conduct a four-week planned maintenance starting March 1 at its 160,000 mt/year capacity plant at Schkopau in Germany. This will lead to tighter availability in Europe.