US spot paraxylene jumped $55/mt this past week amid stronger demand from Asia, industry sources said Friday.
Thursday's spot PX assessment of $1,445/mt FOB US Gulf Coast marks the highest level since March 25, when it was assessed at $1,450/mt.
The Asian PX market plays a key role in US PX activity.
Asian PX demand has strengthened on the back of rising derivative polyester demand.
According to market sources, polyester sales in Asia strengthened week over week and polyester reserves have fallen from five weeks worth to two to three weeks worth.
With Asian prices at $1,515/mt FOB Korea and $1,542/mt CFR Taiwan/China and US prices at $1,445/mt FOB USG, an arbitrage window is open on paper.
US players are understood to have shipped as much as 30,000 mt of PX to Asia since the start of April, sources said.
