ABS

ABS market stagnated at US$1745/MT on lifeless market conditions in China in the week of February 11, 2008. Driven by higher feedstock costs, producers are on the lookout to secure margins through a price increase. Selling intentions from Taiwan and South Korea remain pegged almost thirty dollars higher, in sharp contrast to sluggish buying sentiments. LG Chem has announced a US$200/MT hike in domestic prices for February delivery. Before the week long holiday, buying was reduced in China as the transport and delivery system was thrown out of gear by unusually heavy snowfall- this could continue if bad weather persists.