Polyalphaolefin (PAO) prices in the US strengthened in early August as stronger lubricant demand and rising upstream costs shifted market sentiment. The market remained stable through early and mid-July, but summer driving activity, precautionary buying, and tighter spot availability pushed PAO offers higher toward month-end. Demand from automotive and industrial sectors, particularly high-performance lubricants and engine oils, supported purchasing activity, while downstream blenders increased inventories. Rising ethylene costs also lifted PAO production expenses, encouraging producers to adopt firmer pricing. Weekly assessments showed limited movement during most of July, followed by a sharp increase at month-end and further gains in early August. The near-term outlook remains firm, supported by resilient lubricant demand, elevated feedstock costs, and precautionary inventory building, although sentiment could soften if feedstock pressure eases or seasonal demand weakens.
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.
