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Article: Carbon black market beats expectations this year but faces feedstock cost pressure from oil and gas. (Plastics & Coatings).
- Article from:
- Chemical Market Reporter
- Article date:
- November 4, 2002
- Author:
CopyrightCOPYRIGHT 2002 Schnell Publishing Company, Inc. This material is published under license from the publisher through the Gale Group, Farmington Hills, Michigan. All inquiries regarding rights should be directed to the Gale Group. (Hide copyright information)
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THE MARKET for carbon black has been much stronger in 2002 than it was projected to be at the start of the year. However, margins are being squeezed by the run-up in oil and natural gas costs, and carbon black demand could falter if the economy weakens or car and tire sales decline.
"We're coming off a strong quarter," notes James P. Kelly, director of investor relations at Cabot Corp. "Sales volumes were strong in July and August. They eased off a little in September, causing us to be cautious going forward. The auto industry has been strong, but if it slows down, who knows what will happen for carbon black?"
Frank Schaffer, logistics manager for Sid ...