News from raw materials suppliers
The turn of the year 2017 has witnessed further considerable raise in this ingredient’s quotation. Most importantly, the upwards trend has spread to butadiene polymers (BR, SBR, NBR), whose prices have recently been affected by record augmentations due to either the shortage of this monomer and the 1.000 €/ton spread between European (lower) and Asian quotations.
BR and SBR are already available on the market in limited stock and this scenario begins to involve NBR supply as well. CR is not immune to price increase as well (+300 €/ton in 2 months) and also in this case stock is much limited.
There are several reasons for market price increase for silicone rubber. Price for raw material is going up because of some producers have closed part of their production which end up in a shortage situation. The conjuncture is up and with that the demand for Silicone Rubber increase. The trend to replace organic rubber with Silicone Rubber is increasing.
The reason for the adjustment is mainly due to the rubber part (Styrene & Butadiene) in compound, they are affected by higher raw material prices. A major causative factor is shutdown of production units for rubber, which creates an under production, which drives the price. It has been very stable for a long time, which is probably one of the reasons for the above action.