Japan Chemical Trading Blog
A Nikkei Newspaper article dated May 2nd says, “Spot price for styrene monomer in East Asia is around USD1,570 to USD1,580 a ton — around USD70 down from early April.”
Styrene monomer is a flammable liquid produced by hydrogenating ethyl benzene using a catalyst and used as a raw material for synthetic resin and rubber such as polystyrene, ABS, and SBR as well as for paint materials.
The export ratio for the product is high with approximately 40% of production in Japan being exported to foreign countries including China. However, with the increase in the production capacity in China and South Korea and an economic slowdown in China, an oversupply trend is continuing.
It would be necessary for manufacturers with a production base within Japan to decrease the production amount of styrene monomer in small increments and shift the business portfolio to include a more competitive family of products while their production margin is still in the positive.