South Korea’s benzene exports to the US may fall
Shipments tend to fall amid narrowing price difference between US and Korean benzene
South Korea’s benzene exports to the US may fall as the arbitrage window remains closed. The spread between benzene prices in the US and Korea fell in December to slightly over USD 20/mt. Tightening benzene inventories in China probably buoy demand for the chemical in the region, supporting Asian prices. South Korean benzene shipments to the US are likely to be subdued in December. 6kt Korea/US Gulf freights fell by USD1 to USD 56/mt last week. US imports may pick up in 1Q next year when refineries undergo maintenance, reducing the availability of reformate-based benzene.