- US MMA producers lift force majeure
- China continues to export MMA
Asian methyl methacrylate CFR China marker fell $2/mt day on the day April 14, pressured by a persistently softening Chinese domestic market. Downstream, general purpose, injection grade polymethyl methacrylate CFR China was assessed flat day on day.
The recent lifting of the force majeure by two major MMA producers in the US helped ease the worldwide shortage for MMA. Both MMA makers were reported to have resumed MMA production and supply in late March, market sources said.
However, the persistently weaker China domestic MMA market has shifted the MMA trade flow from South Korea-China to China-South Korea. The China domestic MMA price was heard at Yuan 12,650/mt, down Yuan 33.33/mt, or 0.26%, on the day, which is equivalent to around $1,604/mt on an import parity basis.
"Who would want to sell [the MMA] to China at these low prices," an MMA trader based in China said.
In a rare move, South Korea, which typically exports MMA to China, imported 1,969.9 mt of MMA from China in February, the latest Korean Customs data showed. In 2020, South Korea exported an average of 1,258.31 mt/month of MMA to China. South Korea was caught short of MMA earlier this year due to a worldwide shortage of the petrochemical, triggered mainly by the disruption in the US' MMA production.
Meanwhile, the upcoming heavy turnaround at MMA plants in Asia is expected to keep tightening the MMA market. Asia is likely to have a production loss of around 17,771.67 mt in March and 47,250 mt in April.