ExxonMobil Chemical on Friday became the latest polyethylene producer to announce plans to raise US prices by 3 cents/lb in March, according to a letter to customers obtained by S&P Global Platts.
ExxonMobil's increase applies to all grades of polyethylene and is in addition to a 4-cent hike on the table for February. Equistar Chemicals and Dow Chemical also have communicated plans to customers to raise prices in March, according to letters obtained by S&P Global Platts.
Market participants have said there appears to be a good chance of the February increase being implemented, pointing to strong sales in the domestic market, firming spot prices and limited export resin availability as factors improving the likelihood.
S&P Global Platts last assessed US domestic PE contracts stable for January, with pricing rolling over from December. HDPE contracts were assessed at 65.5-66.5 cents/lb delivered rail-car basis for blowmolding and injection, while film closed at 68.5-69.5 cents/lb.
LLDPE butene contracts were assessed at 63.5-64.5 cents/lb and LDPE was at 75.5-76.5 cents/lb for delivered rail cars.