Supply of US LLDPE material tightened noticeably during the week, and this was the principal factor behind the price rise. Although the ethylene feedstock fell by x.xx鈥攊t did not have a direct impact on LLDPE prices due to underlying supply issues. The Chevron Phillips Chemical plant shutdown and ExxonMobil force majeure have given producers more power in negotiations due to a reduction in regional availability.
The challenges in logistics have further increased the tightness. The harsh weather conditions on the East Coast of the US鈥攁long with storm conditions that resulted in the formation of x-xx metre waves鈥攃aused a delay in the movement of vessels and resulted in the suspension of operations at some ports. The inland movement was also experiencing congestion in rail transport and limited trucking availability, in addition to hazardous weather in Nashville and Memphis. The movement of materials through the supply chain...
