The US o-Xylene market strengthened through March as tightening feedstock availability, stronger coatings demand and disruptions linked to the Middle East war supported a firm upward trend. Early month activity was steady, with coatings producers increasing operating schedules, while polyester and PET demand softened mid month. Offshore inflows remained limited, and higher freight and insurance costs added pressure, reinforcing a bullish tone. Divergent demand patterns persisted, with coatings and architectural formulations firm and polyester consumption subdued. Supply fundamentals also supported the uptrend, as refiners operated at moderate utilisation rates and mixed xylene availability stayed tight. Rising crude benchmarks and war related shipping delays increased extraction costs and kept FOB values elevated. Weekly movements accelerated late in the month, with thin inventories and restricted global availability amplifying short term volatility. The near term outlook remains upward leaning, supported by strong coatings demand, precautionary inventory builds and constrained feedstock flows, though gains may moderate as summer demand patterns emerge.
Selenis has effectively manufactured recycled PET chips using terephthalic acid sourced from Circ®, a textile-to-textile recycler based in Virginia. The chip production took place through a series of batches at Selenis' pilot plant in San-Giorgio, Italy. By utilizing inputs recovered from polycotton textile waste, Selenis has created high-quality PET chip, which has been further processed into DTY yarn. This yarn will play a crucial role in product development as Circ prepares for additional capsule launches. Selenis is leveraging the success of this initial collaboration phase and is committed to advancing towards an offtake partnership to support Circ's inaugural industrial facility.
Eduardo Santos, Head of Corporate Strategy at Selenis, remarked that the monomer synthesis showed a performance comparable to virgin terephthalic acid. He expressed optimism about the consistent quality of Circ's monomer output and anticipated future commercial success. Santos pointed out that the Circ partnership complements Selenis's existing mission and goals for a more sustainable textile industry. He further stated their anticipation of expanding upon this collaboration and providing support for Circ's forthcoming commercial production trials.
