Styrene prices in the global market increased during the previous month as Feedstock Benzene prices increased. However, after attaining parity, Styrene prices remained stable in the first week of January. Additionally, as a result of an increase in US crude oil and gasoline stocks, upstream crude oil prices fell significantly on January 5, 2023, with Brent crude falling by $4/barrel.

In the US, Styrene monomer prices rolled over this week at USD1080/MT FOB Texas. In the US domestic market, muted buying sentiment was witnessed as demand remained lull. Similarly, Upstream Benzene prices on Monday (January 9) were assessed at stable levels, unchanged from last Friday's assessed levels. Meanwhile, in Asia, Styrene prices on Monday have assessed at the USD 1015-1025/MT FOB Korea levels, unchanged from last Friday.

Styrene prices journey southward in Europe as on Tuesday. The price decline was in line with weaker buying sentiments in the region. FOB Rotterdam SM prices were assessed at the USD 1310-1320/MT levels, a sharp decrease of USD (-40/MT) from Monday's assessed levels. Meanwhile, upstream Benzene prices on Tuesday were assessed at the USD 845-855/MT FOB Rotterdam levels, a rise of USD (+10/MT) from Monday.

In Q4 2022, there was minimal demand from downstream businesses, including the construction and automotive sectors, and it continued to fall in January 2023 as a consequence of the high inflation in the region. Consumers were hesitant to purchase the materials due to their concerns about the European economy.

According to ChemAnalyst, the first half of 2023 will be uncertain for Styrene in the US because more nimble producers may enter the market to keep up with the changing market dynamics in the Styrene industry. For the US market, key factors will include the development of feedstock prices, the strength of domestic demand, and the development of European arbitrage situations. Meanwhile, the Asian Styrene market is predicted to contract, and port inventories may somewhat increase in the coming months.