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Jun 23rd, 2009
Naphtha Exports from India Rise in July, Unable to Satiate Demand
Premiums on naphtha cargoes for July lifting from India on free-on-board (FOB) basis have increased to US$25/ton- an 80% increase in premiums as compared to June. This price hike can be attributed to a tight naphtha supply situation despite increased run rates in Northeast Asian plants, mainly because of drastically reduced volumes of exports from...
Jun 22nd, 2009
‘Time Right to Enter China Petrochemicals’
Petrochemicals producers in the Middle East who are looking for export opportunities in China should act now or risk being left out, global energy analysis firm PFC Energy has warned in its new report.
China intends to take a fully integrated investment approach, targeting all segments of the petrochemicals sector and plans to build about 20...
Jun 19th, 2009
India Petrochemical Industry to Fare Better than Competitors
The Indian polyolefins market is expected to slow in Q2 ‘09 and Q3 ‘09 due to a decline in demand from industrial consumers, while some proposed projects have been thrown into doubt as financing difficulties and a deteriorating market environment have hit the petrochemicals industry, according to BMI’s latest India Petrochemicals Report.
The completion of Reliance...
Jun 18th, 2009
Chinese PVC Producers Take Renewed Interest in Exports
Sources in China report that PVC producers in the country are beginning to take an increasing interest in the export market after having concentrated most of their energies on the domestic market for some time because of their very low operating rates. This week, an export offer for acetylene-based PVC was reported, the first official...
Jun 17th, 2009
Price Trends of Oil, Polymer Feedstock and Commodity Polymers in Asia
CRUDE OIL
In the week of June 15, 2009, crude oil prices have risen to new highs for the year to US$72.5, as compared to levels below US$35 in March. Interestingly, though oil prices have been rising for a month now, many analysts believe that the current oil valuation is not based on economic reality, but...
Jun 16th, 2009
GAIL’s Petrochemicals Plan on a Slow Wicket
State-run GAIL India may have put its mega petrochemicals plan on the backburner because of falling global demand.
GAIL had planned to set up two new mega petrochemicals plants - one overseas and one in India — but the fall in demand for polymers may have slowed the process.
“Economic slowdown is affecting and naturally we are...
Jun 15th, 2009
Benzene-toluene Spread Turns Negative after Short Positive Run
The Asian benzene-toluene spread was negative again Friday after being in positive terrain since June 9, despite benzene climbing more than $100/mt over Tuesday and Wednesday.
This was because feedstock toluene gained nearly $70/mt over Wednesday and Thursday, enough to overtake the benzene benchmark by $1.50/mt Friday morning.
Feedstock toluene prices caught up with benzene...
Jun 12th, 2009
Asian Oxo-alcohol, Plasticizer Up on Propylene, Building Season
Asia’s oxo-alcohol and plasticizer intermediate prices have soared between $20/mt and $55/mt over the past week, bolstered by a fresh surge in oil prices, costlier propylene, and anticipation of increased building and construction activity in Asia during the summer months.
Normal butyl alcohol, 2-ethyhexanol, phthalic anhydride and dioctyl phthalate are used to make assorted plasticizer products...
Jun 11th, 2009
Styrene Price Still Stuck at 38¢/lb
Styrene prices have averaged 38¢/lb for the past three months and have been unchanged at that level, according to subscription newsletter ICISpricing.com, even though styrene producers wanted a 5¢-6¢ increase to offset cost increases for benzene, a key feedstock, which has risen in price by 69% since January.
Market insiders say styrene prices are staying depressed...
Jun 10th, 2009
Price Trends of Oil, Polymer Feedstock and Commodity Polymers in Asia
CRUDE OIL
At the end of the week of June 8, 2009, crude futures have retreated to US$68, after surging past US$70 midweek- to 6 month highs after release of a report indicating better-than-expected improvement in US jobs scenario. The latest employment report is an indication of the improving health of the US economy. The loss...
Jun 9th, 2009
Public Projects Boost China’s Wood-plastic Industry
Despite the decline of overseas markets, China’s largely export-oriented wood-plastic composite manufacturers continue to expand, thanks to demand from domestic public projects such as post-earthquake reconstruction and China-hosted international events.
Nanjing Jufeng Advanced Materials Co. Ltd., with 20,000 metric tons of annual capacity, is adding a TC 86 wood-plastic extruder from Milacron. “It’s the first of...
Jun 8th, 2009
May 2009 Ethylene Output Dips in Japan
Ethylene output in Japan in May 2009 totalled 577,600 tons as compared with 594,500 tons in May 2008 as per the Ministry of Economy, Trade and Industry, dipping by 2.8% as compared to May 2008 despite this year’s lighter maintenance shutdown schedule. May 2009 had two maintenance-related plant shutdowns, while May 2008 had three plant...
Jun 5th, 2009
Mitsubishi Chemical Announces Restructuring of Petrochemicals Businesses
Mitsubishi Chemical Corporation (”MCC”; Head office; Minato-ku, Tokyo; President: Yoshimitsu Kobayashi) announced today that MCC has decided to withdraw from caprolactam and styrene monomer businesses in the course of restructuring petrochemicals businesses. MCC will further strengthen competitiveness in petrochemicals businesses by focusing on core businesses. As for the details, please refer to the attached sheet.
The...
Jun 4th, 2009
Taiwan Bureau Has no Plan to Allow Ethylene Plants in China
Taiwan’s Industrial Development Bureau said it doesn’t plan “at this stage” to lift the ban on investing in ethylene plants in China, denying a May 29 newspaper report.
Taiwan has barred companies from building so-called naphtha crackers in China because they may cause large fund outflows and affect investment on the island, the bureau said...
Jun 3rd, 2009
Oil Hovers Above US$68 on Expectations that the Mega Global Fiscal Stimulus…
Expectations that the mega global fiscal stimulus could trigger an economic recovery and inflation has kept oil prices lingered above US$68 a barrel. Benchmark crude for July delivery slid to US$68.1 a barrel after rising to US$68.58, the highest close since early November. Oil prices have dipped, but have doubled since March as investors have...
Jun 2nd, 2009
Resin Manufacturers Realizing China Market’s Import Potential
Just a few years ago, China was mainly a cheap export base, where products were made and sent elsewhere around the world. These days, the reverse is increasingly true: China’s growing domestic market is attracting more attention, particularly from global resin makers.
Part of that change is because China’s government has launched massive stimulus spending programs...
Jun 1st, 2009
Asian Toluene Fueled by Strong Energy Complex, Nearing $700/mt
Asian toluene - already at a seven-month high — was near $700/mt Friday as bids kept climbing. July bids rose $5/mt to $675/mt, while August saw a whopping $17 increase from Thursday with bids at $680/mt.
Due to strong prices seen in crude oil, gasoline and toluene overnight in the US and Europe, industry sources were...
May 29th, 2009
Overcapacity Looms Large in Some of China’s Petrochemical Sub-Sectors
China’s petrochemical industry faces an overcapacity problem in some sub-sectors, according to statistics from China Petroleum and Chemical Industry Association (CPCIA ).
The operating rates of equipment in the ethylene, sodium carbonate, caustic soda, carbide, polyvinyl chloride, methanol and phosphate and refining sectors all ran below capacity in April.
Feng Shiliang, vice secretary of CPCIA, suggested that...
May 28th, 2009
China Launches PVC Futures Trading
China started the trading of polyvinyl chloride (PVC) futures contracts at 9 a.m. at DALIAN Commodity Exchange Monday, with September contract V909 opening 275 yuan higher at 6575 yuan per ton.
After steel futures and rice futures, this is the third new futures trading launched in China this year.
PVC is a kind of synthetic resin widely...
May 27th, 2009
Rise in China’s Polyolefins Imports May Not be Due to Stimulus
The rise in Chinese demand for imported polyolefins in the first half of the year may be primarily due to a temporary shift away from material produced by the country’s domestic plastics recycling industry, rather than the new subsidies and stimulus package implemented by the government in a bid to boost the economy, a source...