The September contract price for ethylene in Europe was agreed at EUR970 per tonne, which is EUR40 per tonne lower than the level of the previous month, ICIS said.

The contract price was approved on the terms of FD NWE (with delivery to North-West Europe).

The agreement was directly confirmed by four manufacturers and four buyers, and confirmation is expected from the fifth buyer.

Naphtha feed prices fell by about EUR40-50 per tonne in August. In addition, concerns remain about demand in the consumer sector, but further price reductions were limited by production problems at several plants.

Ethylene is the main raw material component for the production of polyethylene (PE).

According to ScanPlast of Market Report, in Russia the estimated PE consumption amounted to 1,255.8 thousand tons in the first seven months of this year, which is 9% more than the same indicator a year earlier. Deliveries of all types of PE increased.