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Hurricane Katrina whips up prices.


* The aftermath of Hurricane Katrina Editing of this page by unregistered or newly registered users is currently disabled due to vandalism.  is still blowing through the plastics market, as storm damage restricts production and transportation of crucial feedstocks like ethylene ethylene (ĕth`əlēn') or ethene (ĕth`ēn), H2C=CH2, a gaseous unsaturated hydrocarbon. It is the simplest alkene.  and propylene propylene /pro·pyl·ene/ (pro´pi-len) a gaseous hydrocarbon, CH3CHdbondCH2.

propylene glycol  a colorless viscous liquid used as a humectant and solvent in pharmaceutical preparations.
. Suppliers rushed through price hikes on polyolefins polyolefins (pŏl'ēōl`əfən), group of plastics that are polymers of various alkenes, or olefins. The most important are polyethylene and polypropylene.  and PET bottle resin resin, any of a class of amorphous solids or semisolids. Resins are found in nature and are chiefly of vegetable origin. They are typically light yellow to dark brown in color; tasteless; odorless or faintly aromatic; translucent or transparent; brittle, fracturing  last month, and more increases are already in the pipeline. Higher prices for PVC PVC: see polyvinyl chloride.
PVC
 in full polyvinyl chloride

Synthetic resin, an organic polymer made by treating vinyl chloride monomers with a peroxide.
 and PS are probably not far behind.

Disrupted dis·rupt  
tr.v. dis·rupt·ed, dis·rupt·ing, dis·rupts
1. To throw into confusion or disorder: Protesters disrupted the candidate's speech.

2.
 power and other utilities, plus delays in rail, truck, and marine transportation, caused temporary shutdowns of feedstock feed·stock  
n.
Raw material required for an industrial process.

Noun 1. feedstock - the raw material that is required for some industrial process
raw material, staple - material suitable for manufacture or use or finishing
 facilities on the Gulf Coast, some of which were still operating at reduced rates in mid-September n. 1. the middle part of September.

Noun 1. mid-September - the middle part of September
period, period of time, time period - an amount of time; "a time period of 30 years"; "hastened the period of time of his recovery"; "Picasso's blue
. Some PET and polyolefin polyolefin

synthetic material used for surgical sutures, e.g. in polyethylene and polypropylene sutures.
 plants also shut down temporarily. According to according to
prep.
1. As stated or indicated by; on the authority of: according to historians.

2. In keeping with: according to instructions.

3.
 Houston-based Chemical Market Resources (CMR CMR Crude mortality rate, see there ), about 16% of U.S. PE capacity and 10% of PP is in regions affected by the hurricane.

The hurricane isn't is·n't  

Contraction of is not.


isn't is not
isn't be
 the whole story behind rising prices for PE and PP. Prices were on the upswing Upswing

An upward turn in a security's price after a period of falling prices.
 even before the storm because of strong rebounds in market demand and tightness in monomer monomer (mŏn`əmər): see polymer.
monomer

Molecule of any of a class of mostly organic compounds that can react with other molecules of the same or other compounds to form very large molecules (polymers).
 supplies.

Meanwhile, the storm's impact on other resins resins,
n.pl complex, insoluble, sticky substances secreted by plants. Used as astringents, antimicrobials, and antiinflammatories, and are burned as incense. Can cause oral ulcers and epidermal irritations.
 is even greater. Over 60% of PVC and nearly 30% of polystyrene polystyrene (pŏl'ēstī`rēn), widely used plastic; it is a polymer of styrene. Polystyrene is a colorless, transparent thermoplastic that softens slightly above 100°C; (212°F;) and becomes a viscous liquid at around 185°C;  are produced in the affected Gulf Coast region, according to CMR. Although equipment in most of the resin plants was not harmed, high water levels caused concern about possible electrical fires. Also, many plant employees affected by the hurricane are now scattered Scattered

Used for listed equity securities. Unconcentrated buy or sell interest.
 in other parts of the country. Most of the raw materials for these resins are brought in by barges to the ports of New Orleans New Orleans (ôr`lēənz –lənz, ôrlēnz`), city (2006 pop. 187,525), coextensive with Orleans parish, SE La., between the Mississippi River and Lake Pontchartrain, 107 mi (172 km) by water from the river mouth; founded  and Gulfport Gulfport, city (1990 pop. 40,775), seat of Harrison co., SE Miss., a port on Mississippi Sound, the Gulf of Mexico, in a resort area; inc. 1898. A port of entry, it receives large shipments of bananas. , Miss., but barge barge, large boat, generally flat-bottomed, used for transporting goods. Most barges on inland waterways are towed, but some river barges are self-propelled. There are also sailing barges.  traffic on the Mississippi Mississippi, state, United States
Mississippi (mĭs'əsĭp`ē), one of the Deep South states of the United States. It is bordered by Alabama (E), the Gulf of Mexico (S), Arkansas and Louisiana, with most of the border formed by
 is now restricted.

Some suppliers of PVC and PS were aiming for higher prices even before the hurricane. But there was no unified industry support for price hikes. At press time, PVC and PS suppliers were still taking stock of the impact on their plants, including availability of raw materials and labor, and had made no announcements about prices.

PE prices up

Polyethylene polyethylene (pŏl'ēĕth`əlēn), widely used plastic. It is a polymer of ethylene, CH2=CH2, having the formula (-CH2-CH2-)n  prices moved up 7 cents to 9 cents/lb in September September: see month. . This follows two 6 cents increases in July July: see month.  and August. Moreover, a new price increase of 5 cents was to take effect Oct. 1. (In the first half of the year, PE prices had sunk 10 cents/lb.)

Contributing factors: Hurricane Katrina worsened already tight ethylene supplies. Spot ethylene prices were up as high as 55 cents/lb by mid-September. Before the storm, PE resin plants were running full out to meet the rebound rebound (rē´bownd),
n/v 1. a recovery from illness.
n 2. an outbreak of fresh reflex activity after withdrawal of a stimulus

rebound adjective
 in demand that became evident in June.

PP also rises

Polypropylene polypropylene (pŏl'ēprō`pəlēn), plastic noted for its light weight, being less dense than water; it is a polymer of propylene. It resists moisture, oils, and solvents.  prices moved up 6 cents/lb in September. Another 6 cents increase was announced for Oct. 1. At least two major suppliers confirmed that a third hike was being considered for as soon as Oct. 15. Unconfirmed reports held that Sunoco slated a 10 cents increase for Oct. 15.

Contributing factors: The hurricane exacerbated a tight supply/demand situation. PP markets were on a strong rebound since July, and processors' inventories had sunk to a 12-month low. Propylene monomer contract prices had moved up 3 cents/lb by the end of August and another 5 cents in September. Industry analysts expected an even larger increase in October.

PET prices climb

Bottle resin prices approached $1/lb in September, the result of a 7 cents/lb increase and "temporary" post-Katrina surcharges of 8 cents to 16 cents/lb, depending on the supplier. A new hike of 8 cents/lb was announced for Oct. 1.

Contributing factors: What drove the increases were temporary shutdowns of PET plants by DAK n. 1. Post; mail; also, the mail or postal arrangements; - spelt also dawk sp>, and dauk sp>.
Dak boat
a mail boat.
Dak bungalow
a traveler's rest-house at the end of a dak stage.
- Percy Smith.
 Americas and Wellman due to disrupted feedstock supplies. Feedstock prices also rose sharply, reversing the trend of the first half of the year, when declining feedstock costs led PET prices down 7 cents/lb despite a 6% uptick Uptick

A transaction occurring at price above its previous transaction. In order for an uptick to occur, a transaction price must be followed by an increased transaction price.
 in demand over the first half of 2004.

More increases

Suppliers of unsaturated unsaturated /un·sat·u·rat·ed/ (un-sach´ur-at?ed)
1. not holding all of a solute which can be held in solution by the solvent.

2. denoting compounds in which two or more atoms are united by double or triple bonds.
 polyesters raised prices for the first time since April. AOC AOC,
n an acronym for the Aromatherapy Organizations Council.
, CCP (Certified Computer Professional) The award for successful completion of a comprehensive examination on computers offered by the ICCP. See ICCP and certification.
.

1. (language) CCP - Concurrent Constraint Programming.
2.
, Interplastic, and Reichhold hiked polyesters, vinyl esters Vinyl Ester, or Vinylester, is a resin produced by the esterification of an epoxy resin with an unsaturated monocarboxylic acid. The reaction product is then dissolved in a reactive solvent, such as styrene, to a 35 - 45 percent content by weight. , and gel coats by 10 cents/lb between Sept. 20 and Oct. 1.

Among other Oct. I increases: Rhodia raised nylons 6% to 9%; Ticona hiked UHMW-PE UHMW-PE Ultra High Molecular Weight Polyethylene  11.5%; and Dow (Direct OverWrite) See magneto-optic disk.  Polyurethanes polyurethanes (pŏl'ēyr`əthānz), group of plastics that may be either thermosetting or thermoplastic. Polyurethane can be made into both flexible and rigid foams.  lifted tabs on TDI TDI - Transport Driver Interface  by 10 cents/lb and polyols polyols (pol´ēôlz),
n.pl substances made up of two or more alcohols. See also sugar alcohols.
 by 6 cents/lb.
Market Prices Effective Mid-September (a)

RESIN GRADE (b)              cents/LB           cents/CU IN (c)

ABS
  MED IMPACT                  80-90                 3.0-3.4
  HI IMPACT                   85-95                 3.2-3.6
  X-HI IMPACT                 95-105                3.6-4.0
  HI HEAT                     85-95                 3.2-3.6
  PIPE                        80-110                3.0-4.2
  SHEET                       90-110                3.4-4.2
  TRANSPARENT                125-165                4.9-6.4
  FITTINGS                    85-115                3.2-4.3
  PLATING                     95-105                3.5-3.9
  FLAME RET                  120-140                4.6-5.9
  STRUCT FM                   83-97                 3.6-4.3
  10% GLASS                  125-140                5.0-5.6
  30% GLASS                  116-136                5.3-6.3
ABS/PC ALLOY                 145-180                5.5-6.8
ABS/PVC ALLOY                130-135                5.8-6.1
ABS/NYLON ALLOY                190                    7.3

ACETAL
  HOMOPOL                    130-147                6.7-7.3
  20% GLASS                  160-220                9.0-12.4
  COPOLYMER                  133-145                6.8-7.4
  25% GLASS                  160-230                8.1-11.7

ACRYLIC
  G-P                        129-164                5.4-6.9
  IMPACT                     174-234                7.3-9.9

ACRYLONI-
TRILE COPOL
  EXTRUSION                   78-110                3.3-4.7
  INJECTION                  130-191                5.4-7.9

ALKYD                         65-74                 4.9-5.5

CELLULOSICS
  ACETATE                      187                    8.6
  CAB                          189                    8.2
  CAP                          189                    8.2

DAP (G-P)                    251-497               16.3-34.7

EPOXY
  G-P RESIN                  116-126                 NA (d)
  COMPOUNDS
  C/B/T (e)                  123-166                9.4-12.9
  R/C/D (f)                  208-271               15.3-20.1
  SEMICONDUCTOR
    NOVOLAC                  193-228               13.1-15.9
    ANHYDRIDE                188-268               13.9-19.2

EVA
  INJECTION                   46-52                 1.5-1.7
  FILM EXTRU                  42-49                 1.4-1.6

EVOH                           265                    11.3

FLUORO-
POLYMER
  CTFE                      2500-5500               193-424
  ECTFE                     1470-1680              93.1-107.7
  ETFE                      1155-1680              70.7-102.8
  FEP                        971-1470              74.8-113.2
  PFA                       1785-2520             134.9-190.5
  PTFE                       450-900               34.8-69.7
  PVDF                       680-900               43.3-57.3

IONOMER
  PACKAGING                  127-166                4.3-6.0
  INDUSTRIAL                 150-244                5.0-8.3

LIQUID-
CRYSTAL
POLYMERS
    INJECTION
    MIN FILLED               690-1035              44.2-72.1
    GLASS FILLED             695-895                 40-52
    CARBON FILLED           1700-2000              83.2-138.6
    UNFILLED                1000-1200                58-70
  EXTRUSION
  UNFILLED                  1200-2200              60.5-110.9

MELAMINE
COMPOUND                      90-94                 5.5-5.6
MELAMINE/
PHENOLIC
COMPOUND                      75-83                 4.5-5.0

NYLON
    TYPE 6                   139-159                5.7-6.5
    MIN FILLED               131-144                5.4-5.9
    30% GLASS                148-173                6.0-7.0
  TYPE 66                    153-168                6.3-6.9
    MIN FILLED               151-159                6.2-6.5
    30% GLASS                142-192                5.8-7.9
  TYPE 69                    250-276                9.7-10.7
  TYPE 6/10                  286-313               12.4-13.6
  TYPE 612                     400                    15.3
    30% GLASS                309-311                  14.7
    40% GLASS                  309                    14.7
  TYPE 46                      295                    12.6
  TYPE ll                    329-341               13.6-14.1
    30% GLASS                331-350               15.0-15.8
    40% GLASS                347-360               17.7-18.5
  TYPE 12                    318-341               12.1-13.0
    30% GLASS                327-350               14.7-15.8
    50% GLASS                299-340               15.6-17.8
  TRANSPARENT
    AMORPHOUS                247-360               10.3-15.0

PHENOLIC
MOLD COMP                       75                    3.8
  REINFORCED
  GRADES                     105-268                 6.1-16

POLYAMIDE-
IMIDE (g)
  UNFILLED                     2750                  148.5
  30% GLASS                    2500                   135
  30% CARBON FIB.              3500                   185

POLYARYLATE                  200-280                8.8-12.3

POLYARYL-
SULFONE                        440                    21.8

POLYETHYLENE
  G-P                         94-96                   3.1
  FILM                        88-91                   2.9
  PIPE
    COLD WATER               116-120                3.9-4.0
    HOT WATER                162-166                5.5-5.6

POLYCAR-
BONATE
  INJECTION                  138-165                5.5-7.0
    20% GLASS                177-190                7.6-8.2
    30% GLASS                178-217                7.6-9.3
  EXTRUSION                  145-180                6.3-7.8
  BLOW MOLD                  155-190                6.7-8.2
  STRUCT FOAM                149-181                6.4-7.8
    20% GLASS                235-255               10.1-11.0
  FR                         166-197                7.1-8.5
  CD                         140-200                6.0-8.6

POLYESTER (TP)
PBT TYPE
  UNFILLED                   143-150                  6.9
  HI-IMP                     154-165                  7.6
  30% GLASS, FR              165-187                  10.0
  STRUCT FOAM                159-165                 NA (d)

PET
    BOTTLE (RAILCAR)    98-100 [up arrow]#     45-5.0 [up arrow]#
  MOD PET
    30% GLASS                132-143                  7.4
    55% GLASS                148-155                  9.8
    30% GLASS,
      FLAME RET              147-157                  9.2
  PETG COPOL                 114-124                5.2-5.6

POLYESTER
THERMOSET
  G-P ORTHO                  115-120                 NA (d)
  ISOPHTHALIC                140-150                 NA (d)
  BIS-A                      185-190                 NA (d)

PEEK                           4400                   231
30% GLASS                      3300                   173

POLYETHER-
  IMIDE                      641-646               29.3-29.5
    30% GLASS                526-531               24.0-24.2

POLYETHER-
  KETONE (PEK)                 2950                  130.1
    30% GLASS                  2600                   153

POLYETHER-
  SULFONE                    350-400               17.2-19.7
    30% GLASS                425-525                21-25.9

POLYETHYLENE
(RAILCAR)
LDPE
  G-P MOLDING
    & EXTRU             83-85 [up arrow]#     2.7-2.8 [up arrow]#
  INJECTION             84-86 [up arrow]#        2.8 [up arrow]#
    LID RESIN           8&-88 [up arrow]#     2.8-2.9 [up arrow]#
    LINER               82-84 [up arrow]#     2.7-2.8 [up arrow]#
  CLARITY               79-81 [up arrow]#     2.6-2.7 [up arrow]#
  EXTRU COATG           84-86 [up arrow]#     2.7-2.8 [up arrow]#
  BLOW MOLD             86-88 [up arrow]#     2.8-2.9 [up arrow]#

LLDPE,
BUTENE-
BASED
  G-P MOLDING           70-72 [up arrow]#     2.3-2,4 [up arrow]#
  FILM                  72-74 [up arrow]#     2.4-2.5 [up arrow]#
  ROTOMOLD              74-76 [up arrow]#        2.5 [up arrow]#

LLDPE,
HAO-BASED
  G-P MOLDING           84-86 [up arrow]#       2.8 [up arrow]#
  LID RESIN             85-87 [up arrow]#     2.8-2.9 [up arrow]#
  LINER FILM            78-80 [up arrow]#       2.6 [up arrow]#

HDPE
  G-P INJ MOLD          71-73 [up arrow]#     2.4-2.5 [up arrow]#
  FILM                  81-83 [up arrow]#       2.8 [up arrow]#
  BLOW MOLD             75-77 [up arrow]#       2.6 [up arrow]#

HMW-HDPE
  BLOW MOLDING          80-82 [up arrow]#     2.7-2.8 [up arrow]#
  FILM                  82-84 [up arrow]#     2.8-2.9 [up arrow]#
  PIPE                  88-91 [up arrow]#     3.0-3.1 [up arrow]#
  UHMW-PE                    100-125                3.6-3.7

PPE/PPO-
BASED RESIN
  INJECTION                    180                    6.8
  20% GLASS (h)                283                    12.3
  30% GLASS (h)                291                    13.3
  EXTRUSION (h)                242                    9.2
  STRUCT FM                    231                   NA (d)

PPS
  40% GLASS                  357-404               21.2-24.0
  55% GLASS/
    MINERAL                  289-310               20.8-22.3
  65% GLASS/
    MINERAL                  226-273               15.5-18.7

POLY-
PROPYLENE
(RAILCAR)
  G-P HOMOPOL
    INJECTION           74-76 [up arrow]#      24-2.5 [up arrow]#
    EXTRUSION
      FIBER             74-76 [up arrow]#     2.4-2.5 [up arrow]#
  PROFILES              82-84 [up arrow]#       2.7 [up arrow]#
  RANDOM COPOL
    BLOW MOLDING        80-82 [up arrow]#     2.6-2.7 [up arrow]#
  FILM                  79-81 [up arrow]#       2.6 [up arrow]#
    INJECTION           78-80 [up arrow]#     2.5-2.6 [up arrow]#
  IMPACT COPOL
    MED IMP             88-90 [up arrow]#       2.9 [up arrow]#
    HI IMP              91-93 [up arrow]#      2.9-10 [up arrow]#

POLYSTYRENE
  (RAILCAR)
  G-P CRYSTAL                 63-71                 2.4-2.7
    HI HEAT                   66-74                 2.5-2.8
  HIPS                        64-72                 2.4-2.7
    SUPER HI IMP              74-80                 2.8-3.0
    FR                        82-91                 3.1-3.4
    STRUCT FM (FR)            90-93                    NA

EPS
  UNMODIFIED                  85-88                  NA (d)
  MODIFIED                    86-90                  NA (d)

POLYSULFONE                  432-512               19.3-22.9
10% GLASS                    607-612                27-27.3
30% GLASS                    557-562                24.9-25

POLYURE-
THANE (TP)
  ESTER TYPE                 185-255                  8-11
  ETHER TYPE                 245-295                10.6-13

PU
ISOCYANATES (i)
  POLYMERIC MIDI             120-135                 NA (d)
  80/20 TDI                   90-98                  NA (d)

PVC RESIN
(RAILCAR)
  G-P HOMOPOL                 49-51                  NA (d)
  PIPE                        46-48                  NA (d)
  FILM                        58-60                  NA (d)
  COPOLYMER
    FLOORING                  63-65                  NA (d)
  DISPERSION
    HOMOPOLY                  62-78                  NA (d)
    COPOLYMER                 77-81                  NA (d)
  CPVC PIPE
    COMPOUND                   119                   NA (d)

PVDC
  EXTRUDABLE                   162                   NA (d)

SILICONES
  MOLD. COMP.                581-640               38.1-39.3
  SPECIALTY GR.              891-3148                NA (d)
  SILICONE/EPOXY             339-343               22.5-22.8

STYRENE-
ACRYLIC                      108-112                3.7-4.0

SAN (G-P)                     66-74                 2.5-2.8

STYRENE
MALEIC
ANHYDRIDE
  G-P                        110-115                4.2-4.3
  HI IMP                     130-140                4.2-4.5
  FR                         175-183                6.7-7.0

TP ELASTOMERS
  OLEFINIC                    70-76                   2.4
  POLYAMIDE                  287-337               10.4-12.3
  POLYESTER                  200-310                8.8-13.6
  STYRENIC                    83-237                2.9-8.3

UREA MOLDING
COMPOUND
  BLACK & BROWN                 76                    3.8
  WHITE & IVORY                 81                    4.0

VINYL ESTER
  COR RES                    185-197                 NA (d)
  HEAT & COR RES               210                   NA (d)

KEY: Colored areas indicate pricing activity.

An arrow (') indicates direction of price change.

(a) Truckload, unless otherwise specified.

(b) Unfilled, natural color, unless otherwise specified.

(c) Based on typical or average density.

(d) Not applicable.

(e) Novolac and anhydride grades for coils, bushings, transformers.

(f) Novolac and anhydride grades for resistors, capacitors, diodes.

(g) In quantities of 20,000 lb.

(h) 19,800-lb load.

(i) Prices include benzene surcharge.

Note: Colored areas indicate pricing activity indicated with #.
COPYRIGHT 2005 Gardner Publications, Inc.
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 2005, Gale Group. All rights reserved. Gale Group is a Thomson Corporation Company.

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Title Annotation:Your Business: Pricing Update
Author:Sherman, Lilli Manolis
Publication:Plastics Technology
Date:Oct 1, 2005
Words:1974
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