LATEST HEADLINES
S
Korea Oct C2 output falls on turnarounds; NE
Asia supply outlook mixed
By Yeow Pei Lin 09-Sep-22 12:09 SINGAPORE
(ICIS)–Ethylene (C2) output in South Korea,
Asia’s largest exporter, will decline in
October due to cracker turnarounds but supplies
in northeast Asia may not necessarily fall
short of demand.
INSIGHT: Oil falls to
pre-war levels, pushing down chem
prices
By Al Greenwood 09-Sep-22 00:07 HOUSTON
(ICIS)–Brent futures contract prices fell
below $90/bbl this week, reaching levels not
seen since before Russia’s invasion of Ukraine
and adding more downward pressure on chemical
markets that are already contending with weaker
demand.
Further interest rate
hikes ahead for eurozone –
Lagarde
By Tom Brown 08-Sep-22 23:53 LONDON (ICIS)–The
75 basis point increase to the European Central
Bank’s (ECB’s) key interest rate is expected to
be followed by several more hikes over the next
few months, on persistent high inflation
expectations, President Christine Lagarde said
on Thursday.
ICIS
VIEW: Why are British NBP gas prices so
high?
By Rob Dalton 08-Sep-22 23:33 LONDON
(ICIS)–Despite Britain’s diverse range of gas
supplies and its reduced dependence on Russian
gas, British NBP prices continue to soar as
Russian deliveries to Europe drop further.
Rising interest rates,
low inventories weigh on US auto sales, slight
uptick in Q4 expected
By Adam Yanelli 08-Sep-22 23:31 HOUSTON
(ICIS)–The US auto industry continues to face
headwinds from tight dealer inventories and
rising interest rates, but sales could improve
in the fourth quarter amid strong employment
and persistent consumer demand.
Energy costs to push
Germany into recession next year –
institutes
By Stefan Baumgarten 08-Sep-22 23:02 LONDON
(ICIS)–High energy costs will push Germany
into recession next year, two economic research
institutes said in forecasts on Thursday.
VTP
front-quarter premium to PSV widens on Russian
pipeline supply risk
By Ed Martin 08-Sep-22 20:29 LONDON
(ICIS)-The Austrian gas VTP front-quarter
contract looks likely to remain at a premium to
its Italian PSV counterpart into delivery on
the back of Russian pipeline supply fears.
Germany proposes to cap
electricity revenues for inframarginal
technologies
By Stefan Konstantinov 08-Sep-22 16:59 LONDON
(ICIS)–The German government announced on
Sunday 4 September that it would impose a
windfall tax on some electricity producers. It
would use the resulting proceeds to finance a
new €65bn energy relief package designed to
support consumers and mitigate the impact of
high inflation and energy bills. This new
package brings the total cost of the aid
measures Germany has enacted this year to
€95bn.
Asia
naphtha market in limbo on thin demand, ample
supply
By Melanie Wee 08-Sep-22 13:39 SINGAPORE
(ICIS)–Asia’s naphtha prices are being weighed
down by thin demand and ample supply, with its
forward market structure languishing at parity.
Japan
upgrades Q2 GDP growth to 3.5% on stronger
consumer spending
By Nurluqman Suratman 08-Sep-22 12:17
SINGAPORE (ICIS)–Japan’s economy in the second
quarter grew at an annualized rate of 3.5%, up
from the initial estimate of 2.2% as domestic
spending improved more than expected, official
data showed on Thursday.
Supply concerns galvanise
UK power bulls, but delivery
uncertain
By Jack Grant 07-Sep-22 21:48 LONDON
(ICIS)–As Europe braces for this winter’s
perfect storm, market opinion is split on the
delivery of UK power prices through September
and into the fourth quarter.
Demand still robust for
Europe’s chemical
distributors
By Will Beacham 07-Sep-22 19:34 BARCELONA
(ICIS)–Europe’s chemical distributors have not
yet suffered the downturn in demand and torrid
market conditions suffered by chemical
producers across the region, according to
delegates at the European Association of
Chemical Distributors (Fecc) annual congress in
Sitges near Barcelona.
Saudi
Arabia Q2 economic growth revised up to 12.2%
year on year
By Pearl Bantillo 07-Sep-22 19:27
SINGAPORE (ICIS)–Saudi Arabia’s economy posted
a revised second-quarter annualized growth rate
of 12.2%, the highest in nearly 11 years, on
the back of oil price spikes, official data
showed on Wednesday.
Russian oil faces fresh
G7 sanctions
By Eloise Radley 07-Sep-22 18:17 LONDON
(ICIS)–G7 financial ministers met on Friday
last week when a decision was made to impose a
price cap on Russian oil. Although details have
yet to be announced, it could be set at a level
of around half the current Brent oil price. The
move is aimed at hacking away at Russia’s war
fund and curbing rising energy prices.
PODCAST: Sliding
fundamentals could reshape global chemicals
production
By Morgan Condon 07-Sep-22 02:00 LONDON
(ICIS)–Although summer in the northern
hemisphere draws to a close, the typical swing
in seasonal demand has not returned for
September, and the global chemicals industry
faces a challenging close of 2022.
INSIGHT: Strong oil
boosts Saudi Arabia coffers for future
growth
By Pearl Bantillo 06-Sep-22 17:55
SINGAPORE (ICIS)–Saudi Arabia looks set to
stand among the strongest-growing economies in
the world in 2022, reaping strong benefits from
elevated energy prices – an unwelcome offshoot
of the Russia-Ukraine war.
European farmers ditch
nitrate fertilizers as prices
soar
By Manuja Pandey 06-Sep-22 17:27 LONDON
(ICIS)–The price of nitrate fertilizers has
soared on the back of reduced supply after a
fresh round of production outages was announced
by European chemical and fertilizer producers.
LNG
charter rates soar in the Pacific
basin
By Roman Kazmin 06-Sep-22 16:20 SINGAPORE
(ICIS)–The charter rates in the Pacific basin
have seen a drastic hike on the back of extreme
shortage of tonnage, Singapore-based
shipbrokers said.
INSIGHT: Lengthy supply,
weak demand reflect extremely difficult
September in Europe
By Nigel Davis 05-Sep-22 23:41 LONDON
(ICIS)–Market players in Europe usually expect
to return from summer breaks with something of
a spring in their step. The quietest days of
August give way to a busier September and often
a relatively strong fourth quarter.
OPEC+
drop production levels for
October
By Eloise Radley 05-Sep-22 23:23 LONDON
(ICIS)–OPEC+ members met on Monday and agreed
to cut production quotas by 0.1m bbl/day in
October.
UK
power exports fall during August, net flows to
France set to persist
By Jack Grant 05-Sep-22 21:45 LONDON
(ICIS)–Discounts on UK baseload power prompt
products compared with equivalent contracts on
European markets suggests the UK will maintain
its net export position to Europe through
delivery in September.
Global weekly spot IPEX
down on declines in NW Europe, US
Gulf
By Yashas Mudumbai 05-Sep-22 17:00 LONDON
(ICIS)–The weekly ICIS Petrochemical Index
(IPEX) dropped by 1% as declines in northwest
Europe and the US Gulf offset the slight uptick
seen in northeast Asia.
Singapore industries face
demand headwinds; Aug PMI slips to
50
By Nurluqman Suratman 05-Sep-22 13:14
SINGAPORE (ICIS)–Singapore’s manufacturing
sector is expected to face further demand
headwinds following a marginal drop in its key
purchasing managers’ index (PMI) in August as
new export orders slow down.
Oil rises $1/bbl
on possible OPEC supply cuts; China lockdowns
cap gains
By Nurluqman Suratman 05-Sep-22 11:19
SINGAPORE (ICIS)–Oil prices rose by more than
$1/bbl on Monday morning as investors fret over
a possible production cut by OPEC and its
allies later in the day to support the market.
SE
Asia palm biodiesel market stays afloat in
strong demand
By Keven Zhang 02-Sep-22 10:29
SINGAPORE (ICIS)–Southeast Asian palm methyl
ester (PME) biodiesel was supported by buying
activities from EU, betting against the
consensus of a weakening demand as winter
approached.
NE
Asia C2 surges on limited Sept supply; outlook
for Oct mixed
By Yeow Pei Lin 02-Sep-22 11:16 SINGAPORE
(ICIS)–Northeast Asia’s spot import prices for
September ethylene (C2) rose at an accelerated
pace on limited supply but the near-term
outlook was clouded by the ailing downstream
sectors.
Europe chems stocks dip
on growing economic fears
By Tom Brown 02-Sep-22 00:21 LONDON
(ICIS)–European chemicals company stocks
slumped on Thursday in line with wider markets
as fresh negative manufacturing sector data
drove increasingly bearish economic growth
expectations.
INSIGHT: Global chemicals
must ‘prepare for pain’ as central banks press
ahead to quash inflation
By Joseph Chang 01-Sep-22 23:45 NEW YORK
(ICIS)–‘Pain and sacrifice’ – those are the
words coming from the head of the world’s
largest central bank – the US Federal Reserve –
and the European Central Bank (ECB) on what
looms on the horizon. Stamping out inflation is
job number one, and they will do whatever it
takes, even if it means recession and higher
unemployment.
INSIGHT: New Ecovyst CEO
eyes growth in petroleum and renewable
energy
By Al Greenwood 01-Sep-22 23:35 HOUSTON
(ICIS)–Ecovyst’s new CEO expects demand to
remain resilient for its sulphuric acid and
catalysts, which are used to make petroleum
based-fuels and polyethylene (PE) as well as
renewable fuels and mining metals needed to
make lithium-ion batteries and copper wiring.
Gas
uncertainty could cause German power spot
prices to rise in Q4
delivery
By Karishma Sadanandan 01-Sep-22 23:18
LONDON (ICIS)–German Q4 spot prices are likely
to rise above the current forward contract,
should cold spells, low winds, and rising gas
prices combine to support prices in delivery.
European LNG sendout to
remain elevated early
September
By Christopher Rene 01-Sep-22 23:10 LONDON
(ICIS)–Above-average European LNG sendout will
persist in the first half of September,
continuing the trend observed throughout 2022
amid ongoing supply tightness and elevated
regional hub prices.
India
economy posts 13.5% fiscal Q1 growth; outlook
dims
By Pearl Bantillo 01-Sep-22 17:21
SINGAPORE (ICIS)–India posted a 13.5%
annualized GDP growth in April-June 2022, the
first quarter of its current fiscal year,
marking the strongest pace of increase recorded
in a year on a combination of low base effects
and strong growth in private consumption.
NE
Asia August factory activities weaken amid
slowing global economy
By Nurluqman Suratman 01-Sep-22 13:07
SINGAPORE (ICIS)–Factory activities across
northeast Asia weakened in August on poor
overseas demand amid slowing global economic
growth.
US PE
offers in China stoke fears of extended
oversupply in SE Asia
By Izham Ahmad 01-Sep-22 09:43 SINGAPORE
(ICIS)–The appearance of offers for US
polyethylene imports in China earlier in August
has driven fears of worsening oversupply
conditions in southeast Asia amid an ongoing
slump in downstream demand.
Demand returns to
European refinery solvents markets but costs a
concern
By Jane Gibson 01-Sep-22 01:33 LONDON
(ICIS)–European refinery solvents markets
pricing is likely to remain volatile in
September as feedstocks and energy prices
impact price targets amid some regional
tightness and cautious September demand.
EU
considering “emergency intervention” into power
markets: Proposals and likely
outcomes
By Matthew Jones 31-Aug-22 19:38 European
Commission President Ursula von der Leyen
stated this week that the electricity market
requires “emergency intervention” in order to
reduce the skyrocketing prices of power across
the bloc.
China’s PVC exports could
be capped but rising deep-sea supply may affect
Asia
By Jonathan Chou 31-Aug-22 16:59 SINGAPORE
(ICIS)–Despite exports from China having
fallen in recent weeks, producers in Asia are
likely to continue seeing competition in the
form of deep-sea cargo at competitive prices.
China
industries contract in August amid power cuts,
COVID-19 curbs
By Nurluqman Suratman 31-Aug-22 14:07
SINGAPORE (ICIS)–China’s manufacturing
activity continued to contract as the country
grapples with power outages caused by record
heatwave and drought in August, with fresh
COVID-19 curbs hampering overall industrial
output and consumption.
Asia
fatty acids likely to remain flat near term on
slowing global demand
By Helen Yan 31-Aug-22 10:46 SINGAPORE
(ICIS)–Asia’s fatty acids market is likely to
remain flat in the near term, as a strong US
dollar versus local currencies curbs spot
interest amid softening upstream crude palm oil
(CPO) prices.
European PMMA to remain
gripped by high costs and weak
demand
By Mathew Jolin-Beech 31-Aug-22 00:06
LONDON (ICIS)–The European polymethyl
methacrylate (PMMA) market is expected to
remain gripped by a combination of high energy
costs and soft demand.
Global weekly spot IPEX
down on falls in northwest Europe, US
Gulf
By Miguel Rodriguez Fernandez 30-Aug-22
23:16 LONDON (ICIS)–The spot chemicals index
dropped by 0.2% as falls across northwest
Europe and the US Gulf outweighed the slight
increase in prices seen in northeast Asia,
according to the latest figures from the weekly
ICIS Petrochemical Index (IPEX).
PODCAST: Chemicals must
stay on low carbon track despite current
crises
By Will Beacham 30-Aug-22 22:41 BARCELONA
(ICIS)–The global chemical industry must
remain committed to the net zero agenda, and
not be distracted by current macroeconomic and
geopolitical crises.
INSIGHT: Impact of power
restrictions on China petrochemicals likely to
be limited amid weak demand
By Jenny Yi 30-Aug-22 21:20 SINGAPORE
(ICIS)–Power supply restrictions in many parts
of China have been exacerbated this year by
prolonged heatwaves in Sichuan, Chongqing,
Anhui, Zhejiang, Jiangsu and Hubei. Record high
temperatures have prompted petrochemical plant
operating rate cuts and shut downs.
Global oil outlook: Five
factors to watch in Week 35
By Eloise Radley 30-Aug-22 19:43 LONDON
(ICIS)–Crude rebounded last week, with Brent
climbing to over $100/bbl. Supply concerns
intensified as OPEC+ threatened to cut
production quotas and the US Strategic
Petroleum Reserve was at its lowest level in
decades.
Asia
refiners cut Group II base oils output on
negative margins
By Whitney Shi 30-Aug-22 17:08 SINGAPORE
(ICIS)–While Asian refiners had cut export
prices for Group II base oils in July-August
due to weak demand, they have also recently
reduced output.
PP
demand to slow down in East Med as region
enters low-demand season
By Nadim Salamoun 30-Aug-22 05:32 DUBAI
(ICIS)–Despite the summer season being
traditionally a high-demand season in the
region, the economic crisis coupled with the
high unemployment rates and soaring inflation
Jordan and Lebanon are facing have taken a toll
on the purchasing power of the population.
Demand has been low during the season.
China’s Sinopec H1 net
profit up 10.5%; chemical earnings slump
94%
By Fanny Zhang 29-Aug-22 14:07 SINGAPORE
(ICIS)–Chinese petrochemical giant Sinopec
reported a 10.5% year-on-year increase in
first-half 2022 net profit on the back of
strong crude, even as its chemical earnings
shrunk 94% as demand collapsed amid COVID-19
curbs.
China’s PE market may
remain under pressure from rising supply, weak
demand
By Sijia Li 29-Aug-22 10:25 SINGAPORE
(ICIS)–China’s polyethylene (PE) market may
face further pressure from rising supply and
weak demand amid high global inflation and
tepid recovery in end-use consumption, curbed
by power rationing policies on rising
temperatures.
Asia
naphtha crack sinks in negative zone, poor
margins dent demand
By Melanie Wee 26-Aug-22 13:13 SINGAPORE
(ICIS)–Asia naphtha markets are under pressure
from feeble demand as a result of poor
downstream margins, sending the product’s crack
spread into deeper negative terrain.
Asia
MEG market falls into a narrow band; outlook
mixed
By Judith Wang 26-Aug-22 13:00 SINGAPORE
(ICIS)–Asia’s monoethylene glycol (MEG) market
discussions have fallen into a narrow band
during the week as market participants were
weighing higher upstream cost against rising
supply and slowing demand, while the outlook is
mixed in the absence of clear market
indicators.
Asia
SM eyes downstream recovery potential in Sep as
suppliers limit rates
By Trixie Yap 26-Aug-22 12:41 SINGAPORE
(ICIS)–Asia’s styrene monomer (SM) discussion
levels will hinge on downstream market activity
and recovery entering September as supply
fundamentals continue to tighten with makers
remaining adamant on production cuts amid
volatile SM margins.
Indonesia’s extended
waiver on palm oil export levy to have limited
impact on oleo market
By Helen Yan 26-Aug-22 11:59 SINGAPORE
(ICIS)–Indonesia’s extension of its waiver on
its export levy on palm oil till the end of
October is unlikely to have any significant
impact on the oleochemicals market in southeast
Asia.
NE
Asia C2 spot demand for September rises as
output cuts bite
By Yeow Pei Lin 26-Aug-22 10:34 SINGAPORE
(ICIS)–Buying enquiries for September spot
ethylene (C2) imports increased in northeast
Asia due to reduced domestic supply caused by
output cuts, which were largely in response to
poor margins and high propylene inventory.
INSIGHT: Dow PE operating
rate cut highlights global weakness,
overcapacity and logistics
constraints
By Joseph Chang 26-Aug-22 04:37 NEW YORK
(ICIS)–Dow’s announcement on slashing
polyethylene (PE) operating rates is a clear
sign of weakening global demand and oversupply
of the polymer, along with persistent logistics
constraints.
European local melamine
production heavily reduced on soaring gas
prices; affordability concerns
grow
By Melissa Hurley 26-Aug-22 01:03 LONDON
(ICIS)–European melamine market players are
faced with record level gas prices, leading to
more shutdowns and reduced run rates. Concerns
over affordability are mounting as costs drift
further away from market dynamics.
US
LNG to Europe to remain at elevated
level
By Christopher Rene 25-Aug-22 22:49 LONDON
(ICIS)–US LNG exports to Europe are set to be
twice as large as 2021 volumes by the end of
September, with demand driven by the current
energy crisis, ICIS data shows.
INSIGHT: Downside
uncertainty hits Europe refined products market
but tightness remains
By Tom Brown 25-Aug-22 22:19 LONDON
(ICIS)–Pricing for some refined products has
started to ease from the highs during the
summer as the peak demand season comes to a
close and macroeconomic pressure intensifies,
but structural tightness in the sector
continues to buffer pricing and galvanise
future demand upticks.
CDI
Economic Summary: US macro challenges build
amid labour resilience
By Joseph Chang 25-Aug-22 05:00 NEW YORK
(ICIS)–US GDP is expected to slow further but
labour and manufacturing are showing resilience
while inflation may have peaked.
Mideast TDI market sees
cautious optimism after FM announcement in
Europe
By Damini Dabholkar 25-Aug-22 17:49
SINGAPORE (ICIS)–The Middle East market saw
more activity and producers heard more
enquiries from customers this week on
expectations of lower supply.
Asia
OX supply to tighten further; wide buy-sell gap
persists
By Samuel Wong 25-Aug-22 14:45 SINGAPORE
(ICIS)–Asian supply of orthoxylene (OX) is
expected to stay tight, especially in China, on
the back of several planned maintenance
shutdowns.
South
Korea hikes key interest rate to 2.5% amid
soaring inflation
By Nurluqman Suratman 25-Aug-22 10:36
SINGAPORE (ICIS)–South Korea’s central bank on
Thursday raised its key interest rate by 25
basis points to 2.5% in a move to contain
soaring inflation, which it expects to remain
at a high level for a considerable period of
time.
INSIGHT: Falling demand
expectations cut into crude
outlook
By Tom Brown 24-Aug-22 23:17 LONDON
(ICIS)–Crude demand and pricing has remained
firm through the summer, but the imminent end
of the peak driving season and
rapidly-deteriorating macroeconomic picture are
driving down price and demand expectations for
the rest of 2022.
Europe PE/PP players
agree to exit 2022 contracts to cut
costs
By Ben Lake 24-Aug-22 17:00 LONDON
(ICIS)–European polyethylene (PE) and
polypropylene (PP) players, desperately looking
for ways to trim costs, have resorted to
agreeing to mutually abandon parts or the
entirety of their 2022 contract agreements –
and the relationship between buyers and sellers
is likely to remain in flux for the rest of the
year.
French power spot on
track to deliver above UK in Q4 if nuclear woes
persist
By Jack Grant and Karishma Sadanandan LONDON
(ICIS)–A widening French power premium over UK
equivalents on quarterly contracts this winter
suggests French spot prices are likely to
deliver higher than the UK during the
high-demand season for the first time in recent
history, if nuclear uncertainty continues to
cause concerns for winter supply.
Soaring European gas
prices force 13.5m tonnes of fertilizers,
chemicals offline or cut
By Deepika Thapliyal 23-Aug-22 23:23
LONDON, BARCELONA (ICIS)–Soaring natural gas
prices in Europe have led to at least
13.5m tonnes of fertilizer and chemical
capacity being shut down or run at reduced
rates, representing up to 63% of regional
capacity for the worst-affected products.
Russia’s Sakhalin-2 faces
difficulties on spot LNG
sales
By Roman Kazmin 23-Aug-22 15:15 SINGAPORE
(ICIS)–Russia’s Sakhalin-2 project is
experiencing difficulties to find participants
for spot tenders, a source close to Russia’s
incumbent Gazprom told ICIS.
Europe caustic soda
tightens on production issues, lower
utilisation rates
By Chris Barker 22-Aug-22 22:04 LONDON
(ICIS)–European caustic soda players expect
the market to tighten in the fourth quarter of
2022, as production of chlorine and caustic
soda has decreased and force majeures and
maintenance have rocked the market.
Malaysia’s PCG Q2 net
profit rises 0.5%; warns of waning
demand
By Nurluqman Suratman 22-Aug-22 14:53
SINGAPORE (ICIS)–PETRONAS Chemicals Group
(PCG) on Monday reported a marginal
year-on-year increase in its second-quarter net
profit thanks to higher product prices, but the
Malaysian producer warned of weaker demand in
the second half of 2022.
Supply chain, freight
transportation problems plague chem
manufacturers – ACC survey
By Adam Yanelli 19-Aug-22 02:31 HOUSTON
(ICIS)–Chemical manufacturers in the US have
continued to be plagued by major supply chain
and transportation issues that have led to 97%
of respondents modifying operations, according
to the results of an American Chemistry Council
member survey.
New
Sakhalin-2 operator says contracts stay in
place
By Ed Lane 19-Aug-22 07:53 SINGAPORE
(ICIS)–The new operator of the Sakhalin-2
project, LLC Sakhalin Energy, was announced in
a press
statement on 19 August as several
offtakers from the project confirmed it has
offered the same purchasing terms for clients,
but with payment
to Gazprombank JSC.
Germany’s chem R&D
stalls on impacts from Ukraine war,
pandemic
By Stefan Baumgarten 18-Aug-22 23:54
LONDON (ICIS)–Investment on research and
development (R&D) in Germany’s chemicals
and pharmaceuticals industry has stalled,
according to chemical producers’ trade group
VCI.
Europe chemicals buyers
shift from contractual volumes to spot market
on crest of falling demand
By Morgan Condon 18-Aug-22 19:19 LONDON
(ICIS)–As economic indicators continue to warn
of a downturn towards the end of 2022, Europe’s
chemicals markets are adjusting buying habits
in a bid to shelter from the crash.
Eurozone construction
output slips in June on widespread fall in
demand
By Tom Brown 18-Aug-22 18:53 LONDON
(ICIS)–Construction output in the eurozone
fell 1.3% month on month in June on the back of
substantial declines in civil engineering and
building productivity in the region, according
to data from Eurostat on Thursday.
Philippine central bank
hikes key interest rates anew to tame
inflation
By Pearl Bantillo 18-Aug-22 18:25
SINGAPORE (ICIS)–The Bangko Sentral ng
Pilipinas (BSP) announced on Thursday a 50
basis point (bps) hike in its key interest
rates, with further monetary tightening
possible as average inflation this year is
expected to exceed its 2.0-4.0% target.
INSIGHT: Asia
petrochemical margins shrink amid price slump,
poor demand
By Nurluqman Suratman 18-Aug-22 13:48
SINGAPORE (ICIS)–Asia’s petrochemical margins
are being eroded by sharp price declines, high
feedstock costs and tepid downstream demand,
with market sentiment weighed down by economic
uncertainties in China and fears of a global
recession.
Challenges to mount in
Europe ECH market in autumn on imports vs
energy
By Heidi Finch 18-Aug-22 01:35 LONDON
(ICIS)–The Europe epichlorohydrin (ECH) market
could face various challenges in the autumn,
amid a flurry of competitive imports, gathering
macro-economic clouds and a slow derivative
epoxy market on the one hand, and heightened
energy cost/supply concerns on the other.
Germany’s order backlog
hits new high, chem backlog
eases
By Stefan Baumgarten 18-Aug-22 01:00
LONDON (ICIS)–The backlog of unfilled
manufacturing orders in Germany reached yet
another record high in June amid the ongoing
supply chain issues and raw material shortages,
according to the latest statistical data on
Wednesday.
Asia
petrochemicals bottoming out; concerns on
demand recovery, margins
remain
By Joey Zhou 17-Aug-22 16:25 SINGAPORE
(ICIS)–Asian petrochemical market is expected
to bottom out and start rebounding in August,
while most products still see lower average
prices than July.
India’s GAIL runs Pata
complex at reduced rates on LNG supply issue –
sources
By Priya Jestin 17-Aug-22 14:33 MUMBAI
(ICIS)–State-owned Gas Authority of India Ltd
(GAIL) will continue operating petrochemical
plants at its Pata complex in Uttar Pradesh at
reduced capacity to ensure adequate gas supply
to its customers, a company official said on
Tuesday.
INSIGHT: High inflation,
global economic uncertainty weigh on China PE
market
By Amy Yu 17-Aug-22 11:02 SINGAPORE
(ICIS)–Rising inflation and concerns over the
global economic outlook are likely to weigh on
China’s polyethylene (PE) demand growth in the
second half of the year.
INSIGHT: IPEX downturn
points to difficult time to
come
By Nigel Davis 15-Aug-22 23:39 LONDON
(ICIS)–Petrochemical price falls across the
board in northeast Asia and a sharp price
downturn in northwest Europe point either to a
feedstock correction from earlier highs or
building pressure on demand.
Saudi
Aramco posts record Q2 net profit on higher oil
prices
By Nurluqman Suratman 15-Aug-22 11:04
SINGAPORE (ICIS)–Saudi Aramco’s second-quarter
net profit surged to a record riyal (SR)
181.6bn ($48bn), on the back of higher crude
oil prices and sales volumes.
Malaysia’s Q2 GDP expands
8.9%, growth to moderate on global
uncertainties
By Nurluqman Suratman 12-Aug-22 15:20
SINGAPORE (ICIS)–Malaysia’s economy grew by
8.9% year on year in the second quarter of this
year on improving domestic demand, but
heightened global uncertainties are expected to
weigh on its growth outlook, the central bank
said on Friday.
High
production costs erode Asian R-HDPE
margins
By Arianne Perez 12-Aug-22 13:48 SINGAPORE
(ICIS)–As production costs of recycled
high-density polyethylene (R-HDPE) blow
moulding pellets remain high in Asia while
demand stays lacklustre, sellers’ margins will
continue to narrow in the weeks ahead.
PODCAST: Asian olefins
producers challenged to preserve margins in H2
– ICIS analysts
By Morgan Condon 12-Aug-22 05:00 LONDON
(ICIS)–Asian olefins capacity is set to
increase in the coming months, but against the
prospect of a global recession and challenging
demand it is unclear how this will develop for
producers.
Trade
data show US base oil export availability has
not returned to pre-pandemic
levels
By Amanda Hay 12-Aug-22 03:04 HOUSTON
(ICIS)–ICIS trade data reveal that the US has
not yet returned to pre-pandemic export levels
of base oils as supply constraints, shifting
trade flows and high prices have curbed export
activity.
Gas-fired generation
drives German power Cal ’23
By Anne Petersen 12-Aug-22 00:45 LONDON
(ICIS)–The price of gas remains the main
driver for the German power Cal ’23, despite
the German government’s focus on limiting the
use of gas for power production.
OPEC
revises crude demand forecast down on slowing
global economy
By Jonathan Lopez 11-Aug-22 22:40 MADRID
(ICIS)–While crude oil demand continued its
“strong recovery” to pre-pandemic levels,
economic growth showed signs of a slowdown in
July and, with it, crude demand also took a
hit, producing cartel OPEC said on Thursday.
UK to
face increased competition for LNG in fourth
quarter
By Hector Falconer 11-Aug-22 19:20 LONDON
(ICIS)–Britain is likely to face increased
competition for LNG supply in the fourth
quarter of 2022 amid uncertainty over Russian
piped supply to mainland Europe, supporting NBP
winter contracts especially in the case of cold
weather.
Oil
prices exposed to opposing fundamentals,
extreme volatility
By Cecilia Barreiro 11-Aug-22 18:58 LONDON
(ICIS)–The August outlook for oil prices is
subject to increased uncertainty resulting from
a number of bullish and bearish factors.
Russia’s invasion of Ukraine will continue to
be a central driving force and keep oil markets
volatile while rising global inflation is
expected to keep a lid on demand.
Singapore trims 2022 GDP
growth forecast to 3-4% on global
headwinds
By Nurluqman Suratman 11-Aug-22 11:43
SINGAPORE (ICIS)–Singapore on Thursday trimmed
its 2022 GDP growth forecast to 3-4%, from the
previous estimate of 3-5%, due to the
deteriorating global economic environment.
SE
Asia palm biodiesel to see record export
volumes, healthy demand
By Keven Zhang 11-Aug-22 11:15 SINGAPORE
(ICIS)–Southeast Asia’s palm methyl ester
(PME) export volumes are likely to climb to
record highs in July and August, as several
bullish factors boost buying interest.
PODCAST: Global chemical
prices collapse, Europe prepares for dry
summer, tough winter
By Will Beacham 10-Aug-22 22:43 BARCELONA
(ICIS)–Global chemical prices are falling just
as Europe braces itself for more summer
heatwaves, drought and a winter of gas
rationing.
Thai
PTTGC Q2 net profit falls sharply amid lower
chem margins
By Nurluqman Suratman 10-Aug-22 15:30
SINGAPORE (ICIS)–PTT Global Chemical’s (PTTGC)
net profit fell by 83.9% year on year in the
second quarter, weighed partly by lower margins
across all of its chemicals businesses, the
Thailand-based producer said on Wednesday.
Saudi
SABIC Q2 net profit up 3.8%; H2 margins to stay
under pressure
By Nurluqman Suratman 10-Aug-22 12:42
SINGAPORE (ICIS)–Saudi petrochemicals major
SABIC posted a 3.8% year-on-year increase in
second-quarter net profit, while it expects
margins to remain under pressure in the second
half of 2022.
INSIGHT: Indonesia
economy surprises in Q2; prospects dim in
H2
By Pearl Bantillo 10-Aug-22 21:03
SINGAPORE (ICIS)–Indonesia’s growth momentum
is expected to weaken for the rest of the year
and into 2023, as high inflation hits overall
domestic consumption. External demand is being
threatened by a possible global recession.
Saudi
SABIC Q2 net profit up 3.8%; H2 margins to stay
under pressure
By Nurluqman Suratman 10-Aug-22 12:42
SINGAPORE (ICIS)–Saudi petrochemicals major
SABIC posted a 3.8% year-on-year increase in
second-quarter net profit, while it expects
margins to remain under pressure in the second
half of 2022.
China
July petrochemical markets slump; outlook stays
bearish
By Yvonne Shi 09-Aug-22 08:00 SINGAPORE
(ICIS)–China’s petrochemical markets fell
across the board in July on weak demand, which
persists into August while supply is projected
to grow for the rest of the year.
Asia
BDO extends losses as demand at a low
ebb
By Clive Ong 04-Aug-22 16:47 SINGAPORE
(ICIS)–The Asian butanediol (BDO) market
extended losses with the downtrend still firmly
entrenched. Market participants expect further
downside potential in the near term as the
decline that started in April does not appear
to have run its course.
PODCAST: LPG substitution
of higher-priced LNG limited in
China
By Yan Wang 04-Aug-22 15:37 GUANGZHOU
(ICIS)–ICIS analysts Wang Yan and Xu Fei
discuss with Asia deputy news editor Pearl
Bantillo why China is not aggressively using
liquefied petroleum gas (LPG) as substitute for
liquefied natural gas (LNG) in fuel
applications in industries despite global
supply concerns and soaring LNG prices.
Asian
import offers for NBR fall with weak demand,
outlook bleak
By Ai Teng Lim 04-Aug-22 10:34 SINGAPORE
(ICIS)–Asian spot import offers for
acrylonitrile butadiene rubber (NBR) have
slipped lower as sellers widened discounts to
chase deals in a low-demand market.
India
July exports slip; trade deficit widens to
record $31bn
By Priya Jestin 03-Aug-22 14:43 MUMBAI
(ICIS)–India’s merchandise exports in July
dipped for the first time in over a year, while
increased imports of crude oil and coal bloated
the country’s trade deficit to a record $31bn.
Asia
butac, etac slump; demand tepid on weak
regional currencies
By Melanie Wee 02-Aug-22 17:41 SINGAPORE
(ICIS)–Asia’s butyl acetate (butac) markets
are being weighed down by tepid demand as
continued weakness of currencies in the region
continues to undermine imports.
Asia
July industries – a mixed bag as battle with
inflation continues
By Nurluqman Suratman 02-Aug-22 13:59
SINGAPORE (ICIS)–Asia’s manufacturing sector
in July presented a mixed performance, with
major economies in the northeast showing a
marked slowdown in activity, as the region
continues to contend with high input costs and
weak demand.
OUTLOOK: Asia epoxy
resins to stay sluggish; price competition may
intensify
By Luffy Wu 02-Aug-22 13:46 SINGAPORE
(ICIS)–Uncertain end-demand outlook and
recession fears continue to haunt Asia’s epoxy
resins market, with aggressive exports from
China forcing some regional suppliers to lower
offer.
South
Korea July inflation nears 24-year high at
6.3%
By Nurluqman Suratman 02-Aug-22 12:26
SINGAPORE (ICIS)–South Korea’s consumer price
index (CPI) rose by 6.3% year on year in July,
accelerating from 6.0% in the previous month
and the fastest rate recorded in nearly 24
years.
OUTLOOK: Europe soda ash
market considers quarterly prices as yearly
contracts see further
correction
By Anne-Sophie Briant-Vaghela 28-Jul-22
18:33 LONDON (ICIS)–Northwest Europe (NWE) and
Black Sea contract prices rose 3% and 5.4% from
Q2 contract prices this week, marking a third
adjustment to annual agreements settled in Q4
last year, as the market reconsiders the pace
at which to negotiate prices going forward in
the face of heightened volatility in upstream
markets.
OUTLOOK: Asian OX demand
to stay soft, export opportunity to the
West
By Samuel Wong 28-Jul-22 16:47 SINGAPORE
(ICIS)–Demand for Asian orthoxylene (OX) is
expected to stay soft for the second half of
the year, amid a pessimistic downstream demand
outlook going forward.
Shell
Q2 chemicals loss of $158m as margins
hit
By Nigel Davis 28-Jul-22 17:54 LONDON
(ICIS)–Higher feedstock and utility costs and
higher turnaround activities hit Shell’s
chemicals earnings in the second quarter, the
energy giant said on Thursday.
PODCAST: Asia C2,
downstream recovery in H2 fraught with
risks
By Jasmine Khoo 28-Jul-22 15:25 SINGAPORE
(ICIS)–The first half of 2022 saw widespread
cutbacks in Asia’s cracker and downstream
operating rates as the market faced more
headwinds from the war in Ukraine and COVID
flare-ups in China.
Belgium’s Solvay Q2
underlying profit jumps on higher prices,
strong demand
By Pearl Bantillo 28-Jul-22 14:42
SINGAPORE (ICIS)–Solvay’s second-quarter
underlying profit increased 70% year on year on
the back of higher prices and a 6% increase in
sales volumes amid strong demand across key
markets, the Belgian specialty chemicals
producer said on Thursday.
S
Korea’s S-Oil Q2 net income more than doubles;
Q3 PX spread to weaken
By Nurluqman Suratman 28-Jul-22 13:38
SINGAPORE (ICIS)–S-Oil’s second-quarter net
income more than doubled year on year on strong
refining margins and robust aromatics demand,
but the South Korean producer’s paraxylene (PX)
spread is expected to weaken in July-September
2022.
Fitch
downgrades PTTGC rating as high costs to hit
earnings
By Pearl Bantillo 25-Jul-22 17:44
SINGAPORE (ICIS)–Fitch Ratings has downgraded
PTT Global Chemical’ long-term national rating
and senior unsecured rating to “AA” from “AA+”
given weaker earnings prospect for the Thai
producer.
Singapore June core
inflation at 4.4% – highest since Nov
2008
By Nurluqman Suratman 25-Jul-22 14:11
SINGAPORE (ICIS)–Singapore’s core year-on-year
inflation in June stood at 4.4%, up from 3.6%
in May and the highest hit since November 2008,
official data showed on Monday.
India’s RIL Q1
oil-to-chems earnings jump 63%; cracker rates
fall to 87%
By Nurluqman Suratman 25-Jul-22 12:36
SINGAPORE (ICIS)–Reliance Industries Ltd’s
(RIL) oil-to-chemicals net profit increased by
around 63% year on year in its fiscal first
quarter ending June 2022 on the back of higher
oil and product prices.
BLOG:
Europe’s gas crisis: the implications for
global chemicals
By John
Richardson 25-Jul-22 11:41 SINGAPORE
(ICIS)–Click here to
see the latest blog post on Asian Chemical
Connections by John Richardson. The European
chemicals is no doubt in the midst of intensive
crisis management because of the risk that this
winter will see power cuts and interruptions in
the supply of natural gas supply needed for
feedstocks and to run furnaces, etc.
INSIGHT: Weakening Asian
currencies stifle petrochemical
demand
By Felicia Loo 22-Jul-22 13:41 SINGAPORE
(ICIS)–The continued depreciation of Asian
currencies against the strong US dollar is
quashing hopes of a petrochemical demand
recovery, as imports become more expensive,
eroding the purchasing power of buyers in the
region.
INSIGHT: Europe chemicals
must prepare now for deep gas
cuts
By Will Beacham 22-Jul-22
11:00 LONDON (ICIS)–Chemical companies
across Europe need to prepare now for an
almighty battle over gas rationing as winter
approaches.
The Nord Stream pipeline is back online at
around 40% capacity, but it may continue to
operate at very reduced rates and could easily
be switched off again if the Kremlin decides to
continue using it as a political weapon to hurt
Europe’s economy. Gas rationing is still likely
this winter, with or without this source of
supply.
INSIGHT: Ferts,
petchems in firing line as EU gas stockpile
pressure intensifies
By Aura Sabadus 20-Jul-22 18:38 LONDON
(ICIS)–Embattled European fertilizer and
petrochemical producers may be the first in
line to cut gas consumption as political
pressure is mounting to save supplies ahead of
a difficult winter.
As Russia, Europe’s largest gas supplier, has
been limiting exports to less than a quarter of
its deliveries two years ago and may stop them
altogether amid its political stand-off with
the EU, Brussels has now issued guidance to
reduce demand by 15% between 1 August 2022 – 31
March across member states.
Gas flows resume on Nord Stream
pipeline but remain below
capacity
By Tom Brown 21-Jul-22 12:22 LONDON
(ICIS)–Flows resumed on Thursday along the
Nord Stream natural gas pipeline between Russia
and Europe, but the volume of deliveries
remains significantly below capacity.
Running between Russia and Germany, the
pipeline is a key part of the EU’s energy
infrastructure, and there had been questions
over whether gas deliveries would resume once
work had been completed.
Inflation to stay
‘undesirably’ high in mid-term – ECB’s
Lagarde
By Tom Brown 21-Jul-22 23:42 LONDON
(ICIS)–Inflation levels in the eurozone are
expected to remain high for some time, European
Central Bank (ECB) president Christine Lagarde
said on Thursday, as the bank moved to hike
each of its key interest rates and prepare a
new bond purchase scheme.
OUTLOOK: Asia PX to take
cue from downstream in H2; tight supply to
ease
By Samuel Wong 21-Jul-22 13:57 SINGAPORE
(ICIS)–Asia’s paraxylene (PX) is expected to
take its cue from the downstream purified
terephthalic acid (PTA) market in the second
half of 2022, moving away from the previous
strong support from gasoline blending markets.
Developing Asia GDP
growth cut to 4.6% on China slowdown –
ADB
By Nurluqman Suratman 21-Jul-22 12:05
SINGAPORE (ICIS)–The Asian Development Bank
(ADB) on Thursday cut its GDP growth forecast
for developing Asian countries to 4.6% from its
previous projection of 5.2%, with China’s
growth lowered by a full percentage point to
4.0%.
INTERVIEW: Financing
market a major headwind for chemical deals –
banker
By Joseph Chang 18-Jul-22 23:53 NEW YORK
(ICIS)–Extremely challenged debt markets will
be a major headwind for leveraged chemical
deals going forward, an investment banker said.
Global weekly spot IPEX
down significantly on falls across
regions
By Yashas Mudumbai 18-Jul-22 17:40 LONDON
(ICIS)–The spot chemicals index dropped by
5.2% as falls across regions continued,
according to the latest figures from the weekly
ICIS Petrochemical Index (IPEX).
Asia
July petrochemicals on general downtrend;
sentiment to stay bearish
By Jimmy Zhang 18-Jul-22 17:07 SINGAPORE
(ICIS)–Downward price corrections have been
seen for crude and Asia’s petrochemicals
markets in July, following a general
increase in June. ICIS expects the bearish
sentiment to continue throughout the month as
previous sharp increases in crude prices may
not be seen again for the rest of 2022.
OUTLOOK: Asia FAE demand
to stay soft on sluggish Chinese
economy
By Helen Yan 15-Jul-22 17:37 SINGAPORE
(ICIS)–Asia’s fatty alcohol ethoxylates (FAE)
demand is expected to remain soft in the near
term due to prevailing weak market conditions
and a sluggish Chinese economy.
OUTLOOK: Asia VAM
correction accelerates; H2 demand to stay
weak
By Helen Lee 15-Jul-22 15:48 SINGAPORE
(ICIS)–Asia’s vinyl acetate monomer (VAM)
market correction has accelerated (this week)
since late May (late May refers to the start of
the correction) on broad-based demand slowdown,
with inflationary pressures dampening the
outlook in the second half.
Indonesia palm oil
shipments surge 89% in June after lifting
export ban
By Nurluqman
Suratman 15-Jul-22 15:20 SINGAPORE
(ICIS)–Indonesia’s shipments of palm oil and
its derivatives surged by 89.3% year on year in
June following the lifting of an export ban a
month earlier, official data showed on Friday.
World
petrochemical market sentiment weak as demand
falters
By Felicia Loo 15-Jul-22 14:12 SINGAPORE
(ICIS)-Global petrochemical markets are mired
in a challenging situation writ large, with
demand dull as recession risks gather pace.
OUTLOOK: East, South Asia
LAB at a crossroad amid elevated economic
uncertainty
By Clive Ong 15-Jul-22 11:12 SINGAPORE
(ICIS)–Linear alkylbenzene (LAB) markets in
east and south Asia are at a crossroad with the
path ahead mired in uncertainty. With outlook
increasingly clouded, participants found
decision-making an onerous task.
Inflationary pressures
could impact economic growth in Europe for
coming years
By Morgan Condon 14-Jul-22 22:55 LONDON
(ICIS)–The European economy is set to hit
record highs for inflation this year as the
Russian invasion of Ukraine has driven energy
and food prices higher, but volatile
macroeconomic conditions obfuscate when
sentiment will calm down.
INSIGHT: Asia C2,
downstream recovery in H2 fraught with risks
(Part 2)
By Yeow Pei Lin 14-Jul-22 13:00 SINGAPORE
(ICIS)–The outlook for Asia’s ethylene
derivatives remains largely weak in the second
half of 2022. Capacity is growing across
downstream sectors but demand is uncertain amid
China’s zero-COVID stance and global recession
fears.
INSIGHT: Asia C2,
downstream recovery in H2 fraught with
risks
By Yeow Pei Lin 13-Jul-22 13:00 SINGAPORE
(ICIS)–The first half of 2022 saw widespread
cutbacks in Asia’s cracker and downstream
operating rates as the market, which was
already sagging under the weight of huge
capacity increases in South Korea and China,
faced more headwinds from the war in Ukraine
and COVID flare-ups in China.
Singapore tightens
monetary policy further to tame
inflation
By Nurluqman
Suratman 14-Jul-22 13:53 SINGAPORE
(ICIS)–Singapore’s central bank unexpectedly
tightened its monetary policy on Thursday in a
bid to quell mounting inflation pressures,
which are expected to continue heating up this
year.
OUTLOOK: China base oils
imports to continue decline in
H2
By Whitney Shi 12-Jul-22 13:43 SINGAPORE
(ICIS)–China’s base oils imports slumped year
on year in January-June 2022 on strong import
prices, which will likely persist into the
second half although demand from downstream
lubricant producers could improve in the third
quarter.
LNG
shipping activity rises in both
basins
By Roman Kazmin 12-Jul-22 11:39 SINGAPORE
(ICIS)–South Korean shipowner H-Line has
chartered a vessel for a single voyage on
behalf of the incumbent KOGAS as charter
activity steps up in the Atlantic and Pacific
basins.
Crude
falls nearly $2/bbl on fresh China COVID-19
curbs
By Nurluqman Suratman 12-Jul-22 11:08
SINGAPORE (ICIS)–Oil prices fell by nearly
$2/bbl on Tuesday morning on worries over fresh
COVID-19 restrictions in China, the world’s
biggest crude importer.
OUTLOOK: Asia naphtha
braces for H2 with trepidation, frail
demand
By Melanie Wee 12-Jul-22 10:33 SINGAPORE
(ICIS)–Asia naphtha markets are headed for
challenging times as cautious demand outweighs
oil supply concerns.
Europe petchems natgas
worries rise as Nord Stream 1 enters
maintenance
By Morgan Condon 08-Jul-22 17:18 LONDON
(ICIS)–The threat of short gas supply in
Europe is causing concern in the region’s
petrochemicals industry and could begin to
weigh down on production.
INSIGHT: UK chemicals
battle ‘Four Horsemen of the
Apocalypse’
By Will Beacham 08-Jul-22 18:23 LONDON
(ICIS)–The UK’s chemical sector is battling
against “The Four Horsemen of the Apocalypse”
as it is battered by the fallout from Brexit,
COVID-19, the cost of living crisis and the war
in Ukraine, according to the CEO of trade group
The Chemical Industries Association (CIA).
Malaysia May chemicals
sales up 7.7%; high inflation threatens
production
By Nurluqman Suratman 08-Jul-22 16:16
SINGAPORE (ICIS)–Malaysia’s chemicals sector
sales in May rose by 7.7% year on year,
supporting the overall expansion in
manufacturing revenue, but inflation headwinds
are expected to continue to weigh on overall
factory activity.
NE
Asia ethylene stays weak; August demand
recovery likely tepid
By Yeow Pei Lin 08-Jul-22 10:53 SINGAPORE
(ICIS)–Northeast Asia’s spot ethylene import
prices fell for a 14th week as poor downstream
demand continued to outweigh production cuts.
Crude
trades below $100/bbl on global recession
fears
By Nurluqman Suratman 07-Jul-22 12:02
SINGAPORE (ICIS)–Oil prices were extending
losses on Thursday, with both key benchmarks
trading below the psychological $100/bbl mark,
amid growing concerns that the global economy
will again plunge into a recession.
Asia
petchems mired in bearishness on elevated
recession fears
By Felicia Loo 07-Jul-22 11:21 SINGAPORE
(ICIS)–Asian petrochemical markets are in a
jam, with price bearishness across the board as
recession risks continue to mount. Elevated
concerns on the economic front, from the
fallout of the Russia-Ukraine conflict and
sanctions on Russia, plus fears of upward
spiralling inflation continue to weigh on
sentiment.
OUTLOOK: Tight supply
concerns flip to reduced oil demand by
Q4
By Barney Gray 07-Jul-22 00:49 LONDON
(ICIS)–Oil prices were in a post-Covid
recovery phase prior to Russia’s invasion of
Ukraine in February. Since then, H1 crude
prices have been driven by the fallout from the
war, reaching record highs. But the oil market
will be characterised by major volatility and
rising uncertainty as we head into H2.
Japan
May trade deficit biggest in eight years;
imports surge 48.9%
By Pearl Bantillo 16-Jun-22 18:56
SINGAPORE (ICIS)–Japan posted its biggest
trade deficit in eight years at yen (Y) 2.385tr
($18bn), with imports surging by 48.9%, largely
due to high energy prices and sharp
depreciation of the yen.
US
LNG deliveries to the UK in July set to be more
profitable than Asian
destinations
By Kaja Sillett 16-Jun-22 18:36 LONDON
(ICIS)–US LNG deliveries to the UK in July are
set to be more profitable than to east Asian
destinations, despite the British NBP July’22
contract remaining at a discount to the
equivalent ICIS East Asia Index (EAX) price,
according to ICIS calculations.
India
May exports grow 20.6%; trade deficit widens to
$24.3bn
By Priya Jestin 16-Jun-22 17:03 MUMBAI
(ICIS)–India’s merchandise exports in May rose
by 20.6% year on year to $38.9bn, backed by
higher shipments of petroleum products and
chemicals, but the country’s trade deficit
widened due to high cost of energy imports.
China
MEG prices rise on stronger crude
market
By Cindy Qiu 16-Jun-22 14:57 SINGAPORE
(ICIS)–China’s monoethylene glycol (MEG)
prices have been on an uptrend since June,
mainly driven by the bullish crude market, as
supply-demand fundamentals remain largely
unchanged. This has somewhat dampened market
players’ confidence in the market outlook.
Asian
petrochemicals to rebound in June amid bumpy
recovery – ICIS analysts
By Ann Sun 16-Jun-22 12:12 SINGAPORE
(ICIS)–Asian petrochemical market is expected
to be generally firmer in June given higher
crude prices and easing lockdowns in China,
according to a latest Price Forecast by ICIS
analysts.
Asia
BDO weakens on prevailing weak demand, ample
supply
By Clive Ong 16-Jun-22 11:32 SINGAPORE
(ICIS)–The Asian butanediol (BDO) market
remains on a downtrend with regional demand
staying lacklustre while ample supply made
buyers unhurried. Suppliers concede that buying
interest showed limited signs of any revival
with further market weakness a possibility.
S
Korea truckers’ strike to hit Ulsan
petrochemical output; halts port
ops
By Nurluqman Suratman 10-Jun-22 18:28
SINGAPORE (ICIS)–The ongoing nationwide strike
by unionised truckers in South Korea are
forcing several producers in the petrochemical
hub of Ulsan to consider production cuts amid
logistics disruption.
SE
Asia biodiesel market optimism rises on
post-lockdown China
By Felicia Loo 10-Jun-22 17:35 SINGAPORE
(ICIS)–Market optimism in China to increase
imports of southeast Asian palm methyl ester
(PME) biodiesel helped bolster market sentiment
to some degree amid higher weekly gains in
feedstock crude palm oil (CPO) futures.
Asia
PET offers reaching level of last historic high
on recent upstream price
surges
By Hazel Goh 10-Jun-22 12:15 SINGAPORE
(ICIS)–Asia polyethylene terephthalate (PET)
offers increased in the week and were
approaching the level of the last historic high
four years ago amid recent Asia upstream price
surges.
NE
Asia ethylene stays bearish on ample supply,
weak demand
By Yeow Pei Lin 10-Jun-22 11:59 SINGAPORE
(ICIS)–Northeast Asia’s spot ethylene prices
stayed weak due to ample supply amid limited
demand for end-June and first-half July arrival
cargoes.
India
domestic LAB prices rise; China demand improves
as lockdowns ease
By Clive Ong 10-Jun-22 11:53 SINGAPORE
(ICIS)–India’s domestic prices for linear
alkylbenzene (LAB) have spiked on the back of
rising costs, but some players expect some
headwinds with the monsoon season kicking off.
Oil
prices drop more than $1/bbl on partial
lockdowns in China
By Nurluqman Suratman 10-Jun-22 11:34
SINGAPORE (ICIS)–Oil prices fell more than
$1/bbl on Friday on renewed demand fears after
fresh COVID-19 lockdown measures were announced
in China, but tight supply concerns capped
losses.
S
Korea truck drivers go on strike amid rising
fuel costs, inflation
By Nurluqman Suratman 08-Jun-22 14:17
SINGAPORE (ICIS)–South Korea’s unionised cargo
truck drivers are staging a nationwide,
indefinite general strike at ports and
container depots across the country in a move
which could potentially impact
petrochemical-related supply chains and
logistics.
East
Asia and Pacific growth to slow to 4.4% in 2022
on China deceleration – World
Bank
By Nurluqman Suratman 08-Jun-22 11:54
SINGAPORE (ICIS)–Growth in East Asia and the
Pacific is projected to slow to 4.4% this year
from the 7.2% expansion in 2021, reflecting the
marked deceleration in China, the World Bank
said late on Tuesday.
Asian
PTA prices up on firmer feedstock costs,
sustainability uncertain
By Samuel Wong 08-Jun-22 11:51 SINGAPORE
(ICIS)–Asian purified terephthalic acid (PTA)
prices were supported by costs push because of
higher feedstock paraxylene (PX) costs, but
long-term sustainability is still a question
amid a lack of strong demand growth in the
downstream polyester sector.
China
May petrochemicals track crude gains; June
demand to improve
By Yvonne Shi 08-Jun-22 11:09 SINGAPORE
(ICIS)–China’s petrochemical markets largely
tracked gains in crude prices in May,
accompanied by some improvement in demand as
pandemic-related restrictions have started to
ease.
Japan’s Q1 GDP revised to
smaller contraction of 0.5%
By Nurluqman Suratman 08-Jun-22 11:01
SINGAPORE (ICIS)–Japan’s economy shrank less
than initially reported in the first quarter,
contracting by an annualised 0.5% instead of
the initial 1.0% drop, on the back of improved
private consumption, official data showed on
Wednesday.
Asia
polyester prices gain momentum tracking higher
crude, rising cost pressure
By Judith Wang 07-Jun-22 16:27 SINGAPORE
(ICIS)–Asia polyester prices gained further
momentum as bullish crude futures and rising
feedstock prices bolstered spot discussions,
while demand has showed some improvement on
easing lockdowns in China.
Asia
Q3 biodiesel market sentiment to stay weak on
poor European demand
By Felicia Loo 07-Jun-22 12:13 SINGAPORE
(ICIS)–The third-quarter market sentiment for
southeast Asian palm methyl ester (PME)
biodiesel is expected to remain weak amid poor
buying requirements from Europe, a key
importing region for southeast Asian material.
INSIGHT: India cuts raw
material import duties to boost local
production
By Priya Jestin 07-Jun-22 12:07 MUMBAI
(ICIS)–India has cut import duties on some raw
materials in the hope of boosting overall
domestic production amid surging inflation and
rupee weakness.
VIDEO: China PTA plants’
run rates stay low on high production
costs
By Winnie Huang 01-Jun-22 18:35 SINGAPORE
(ICIS)–Watch industry analyst Lifang Huang
discuss China’s purified terephthalic acid
(PTA) market amid high production cost.
PODCAST: China LPG prices
fluctuate on elevated costs, weak
demand
By Candy Nie 01-Jun-22 17:44 SINGAPORE
(ICIS)–ICIS analyst Jady Ma and Candy Nie
discuss the recent developments and outlook of
China’s Liquefied petroleum gas (LPG)
market.
Saudi
Aramco’s June LPG contract prices continue
downtrend
By Candy Nie 01-Jun-22 15:10 SINGAPORE
(ICIS)–Saudi Aramco’s term contract prices
(CP) for June-loading liquefied petroleum gas
(LPG) continued to edge down and hit a
five-month low, the company announced on
Tuesday afternoon.
China
MTBE cargoes face narrowing arbitrage
opportunities into Europe
By Jun Kai Heng 01-Jun-22 14:17 SINGAPORE
(ICIS)–The reopening of the Chinese economy in
June is expected to pressure arbitrage
opportunities into Europe for Chinese methyl
tertiary butyl ether (MTBE) cargoes.
S
Korea May petrochemical exports rise 14%, total
exports up 21.3%
By Nurluqman Suratman 01-Jun-22 12:32
SINGAPORE (ICIS)–South Korea’s petrochemical
exports rose by 14% year on year to $5.18bn in
May, supporting the overall rise in shipments
abroad, official data showed on Wednesday.
Japan’s au Jibun Bank May
manufacturing PMI dips to 53.3 on slower output
growth
By Nurluqman Suratman 01-Jun-22 11:38
SINGAPORE (ICIS)–au Jibun Bank’s manufacturing
purchasing managers’ index (PMI) for Japan
slipped to 53.3 in May from 53.5 in April as
new orders rose at a slower rate, the Japanese
bank said on Wednesday.
