Article: More margin pressure in chlor-alkali.(caustic soda prices)(Brief Article)

Margins for electrochemical units (ECU)--the combined value of caustic soda and chlorine--remain under pressure, despite a decline in natural gas prices, analysts say. The primary culprit is the slide in caustic soda prices, they say. Weak demand dragged down caustic soda contract prices by $20-$25/ton in September, to $130-$145/ton fob, despite producers' announcement of a $40/ton increase. Caustic soda producers rescinded a $50/ton increase announced for July, and contract prices slip about $10/ton in August because of weak downstream markets, analysts add.

Producers are pinning their hopes for higher prices on reduced supply, they say. The latest production ...

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