Polyethylene terephthalate producer DAK Americas will increase US resin prices 3 cents/lb in July because of rising raw material costs, a letter to customers obtained by Platts on Thursday showed.
On Wednesday, fellow US producer Nan Ya also announced a 3 cents/lb increase, citing higher feedstock pricing and ongoing issues in the Middle East. Both companies' July increases are in addition to the 2 cents/lb, industry-wide increases currently on the table for June.
June contracts remained unsettled Thursday morning. Sources said this week that solid demand and rising feedstock prices were both factors that could help US producers implement the June increase.
Domestic contracts were last assessed by Platts for May at $1,780-$1,802/mt.
There were some expectations that June paraxylene contracts could rise 2-2.5 cents/lb this month, which would translate to an increase of roughly 1.3-1.67 cents/lb for the June purified terephthalic acid price. US PX prices have followed sharp rises in the Asian market, which have also factored into higher PET prices in that market.
US monoethylene glycol prices are set to increase in July as US producers have been heard increasing July prices 2-4 cents/lb, market sources said.
It takes 0.87 lb of PTA and 0.34 lb of MEG to make a pound of PET.
