Asian Paraxylene Prices Reach 1,283 Dollars Per Tonne Amid Supply Constraints

Asian paraxylene prices reached approximately 1,283 dollars per tonne on October 7, marking a 34-dollar increase following the Golden Week holiday. The upward price pressure is attributed to elevated crude oil costs, which have kept the naphtha and xylene chain cost structures high, coupled with reduced output across several regional complexes.

Data indicates that Chinese paraxylene plants operated at 78.6 percent capacity as of October 7, while broader Asian operating rates hovered around 66 percent due to scheduled maintenance. Additionally, downstream activity is softening, with purified terephthalic acid (PTA) production in East China projected to drop to 70 to 71 percent as units undergo turnarounds, potentially dampening feedstock demand in the short term.

Despite the tightening supply, downstream demand for polyester fiber and PET resin remains below seasonal expectations. Analysts project a buildup of approximately 50,000 tonnes in paraxylene inventory through the end of December. Procurement teams are advised to monitor crude oil price fluctuations, as continued energy strength could push base prices toward 1,320 dollars per tonne if production levels remain below 80 percent.