EPS extends increases to 2nd successive month in Turkey

Turkey’s EPS market sustained its uptrend for the second month in a row in December. Prices posted larger hikes when compared to November, meanwhile. This was in response to reinforced tightness, surging freight rates across the board and a pent-up demand from end markets.

EPS White

Domestic producers have already closed their order books for December following bulky sales back in November. Notional EPS white prices stood at $1300/ton for regular and at $1340-1360/ton for inflammable grade, both FCA Turkey, not inc. VAT. They indicated massive increases of $300/ton month over month. This was not only on the heels of tightness but also the previous gains in global styrene markets.

An EPS consumer opined, “A local producer is readying to conduct a maintenance soon. We expect supply to ease towards late January. Although we are covered for now, we may purchase some material if we find for safety reasons.”

EPS Carbon Black

Import EPS carbon black supplies were tight in the midst of steeply higher freight rates, a lack of vessels and containers as well as robust global activity prior to the new year holidays. Some players said South Korean sources have been unable to provide material to Turkey for two months now.

“End business has been similar to the same period of last year despite the pandemic. We heard that import offers from a European source spiked €150/ton although no fresh material was available,” noted a buyer.

Local supplies were also short amid a planned turnaround at a Turkish producer. The company plans to shut its facility by the middle of December.