Sibur SR prices under pressure despite higher volumes

Moscow, Russia – Sibur achieved a 7.3-percent, year-on-year increase in volume sales of synthetic rubber in the first three months of 2016, parent PAO SIBUR Holding has announced.

Sales for the three months to 31 March reached 113,033 tonnes, compared to 105,354 tonnes in the prior year first quarter, the Russian group said in a  ‘limited operational update’ issued  21 June.

Revenue from synthetic rubbers: sales, meanwhile, rose 3.4 percent year-on-year to RR9,606 million (€132 million).

Sibur linked the sales gains to completed homologation with key clients for thermoplastic elastomers, which resulted in the respective sales volumes growth.

However, prices for commodity and speciality rubbers came under increased pressure due to higher market competition.

On a better note, Sibur reported improved average selling prices for thermoplastic elastomers, in line with a more positive supply/demand balance in that market.

More generally, the weakness of the Russian rouble “strongly supported our petrochemicals products sales,” the Russian group also stated.