The European benzene market has so far shrugged off this week's flood news in a number of Central European countries, according to market sources.
Traders said they were not aware of any production issues caused by elevated water levels. Sources from BASF, Ineos and Dow said their production sites in Germany were not affected, but they were closely monitoring the situation.
"We are fine, but it is definitely something to keep an eye on," one of the producers said.
Meanwhile, traders said shipments on parts of the Rhine and Danube were restricted, which was causing minor delays in benzene deliveries.
However, most traders said that unless the situation persists, it is unlikely to cause major delays or have an impact on freight costs.
Spot benzene was last assessed at $1,342/mt CIF ARA at Tuesday's close, the lowest level since the start of May. Discussions early Wednesday remain within a $1,330-1,350/mt range for both June and July.
Benzene's premium to naphtha moved below the $500/mt mark Tuesday for the first time since April 11, when it was assessed at $478.75/mt.
