US prices for all Formosa Plastics liquid caustic soda products will increase by $30/dry st immediately or as contract terms allow, the company said in a letter to customers Wednesday.
The company did not provide a reason for the increase in the letter, which was obtained by Platts Thursday, but it joins other caustic soda producers in imposing price increases.
Dow Chemical started the bout of price hikes on Tuesday with a $50/dst price increase. Shintech and Olin were also heard announcing a $50/dst increase for caustic soda effective immediately, according to market sources.
In addition, Olin announced a $40/dst increase in its chlorine price in the US and a rise of C$60/mt ($58.29/mt) in Canada in a letter to customers Tuesday.
US chlor-alkali plants operated at 80% of capacity in January, down 7 percentage point compared with December, according to data released by the Chlorine Institute in mid-February.
In spot markets, US export prices were stable for the week with the spot price assessed on Tuesday at $420-430/mt FOB USG in a thinly traded market.
Platts assessed February contracts at $530-540/dst ex-plant.
