According to reports, Asian phenol prices will rise further due to increased cost pressures and tight supply. On February 24, the spot price of phenol in Asia rose by US$25-40/tonne from the previous week to US$1525-1560/tonne CFR China, mainly because of high production costs. In addition, from the third quarter of last year to the end of January this year, due to poor profitability, the total loading rate of Asian phenol devices is only 60%-80%. Due to the tight supply caused by the reduction of production of phenol units in the region, the prices of phenols in Asia rebounded rapidly in the second half of December 2011 and continued to rise steadily. This was a 37% increase from the mid-December of 2011, with an increase of US$400/ Ton. In terms of costs, on February 28, the spot price of pure benzene was 1190-1200 US dollars/ton FOB Korea, and the propylene price was 1380-1400 US dollars/ton CFR Northeast Asia, which will further increase the price of phenol.
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