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Toluene prices in the Asian market logged a significant stagnation this week of June due to tightening supply conditions and a strong undertone in international crude oil benchmarks. The steep jump in toluene prices was significantly impacted by curtailed availability from major production hubs, in China, where a number of petrochemical units shut down operations for regular maintenance. This has considerably curbed the amount of toluene in the open market. At the same time, East and South China have been experiencing logistics issues, such as port backlogs, further limiting product movement into domestic supply chains. All of these factors collectively have created a supply squeeze, which is continuing to drive spot prices higher throughout the region.
Sinopec, the region**;s top producer, had steady operations at its toluene units. Yet, most of its production is being diverted for internal use, and this has kept merchant...
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