Nonwoven raw materials pricing likely to see some short-term impact from Harvey-related Gulf Coast closures
CLOVERDALE, CA, September 7, 2017-
Raw material costs for North American nonwovens plants are likely to see some short-term impact from petrochemical plant closures related to Harvey, the huge storm that dumped record amounts of rain on the US Gulf Coast in the past week. Observers say it's too early to guess what the cost impact will be, since it is impossible to predict the duration of shutdowns at plants making key products such as polymer-grade propylene, polypropylene, polyester resin, monoethylene glycol and paraxylene.
Early speculation suggested that polypropylene would see a bit more pricing impact than polyester since the PP market was tighter to begin with, but observers agreed that the duration and magnitude of any impact would depend on how long Gulf Coast petrochemical assets remain idle.
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