Xylene Prices Firm on Gasoline Blending Strength and Post Holiday Industrial Demand

Fuel vs Fiber Demand

Similar to toluene, xylene is being pulled into the fuel pool as an octane booster. This prevents a price collapse despite high inventory levels in the paraxylene chain as refiners value the molecule for its high blending value.

Chinese Reopening Activity

The end of the Lunar New Year break has triggered fresh inquiries from Chinese paraxylene producers. Traders expect a steady increase in demand from the polyester sector over the next two weeks as textile production resumes.