Archive | May, 2013

MI-BV916_AOT_NS_20130513155403.jpg

Global Deflation

By John Richardson

TEN trillion dollars doesn’t buy what it used to do, according to The Wall Street Journal.

The reason is that despite central banks across the world aggressively expanding their balance sheets, there is no inflation.

“My customers …

Continue Reading
IPEX2.png

China Producer Price Deflation Continues

By John Richardson

China’s factory-gate prices have fallen for 14 months in a row because of huge overcapacity in many industries, said the Wall Street Journal in this article.

“Producer prices – a measure of prices of goods before they …

Continue Reading
2009growthsurgeChina.png

China Petchems H2 Price Rally

By John Richardson

CHINA’S petrochemical prices might rally in the second half of this year, along with local stock markets, in response to the delayed impact of the big surge in bank lending that took place in Q1.

James Gruber, …

Continue Reading
ACC2.png

APIC And Demand

 

Just an anomaly?

 

Source: American Chemistry Council

 

By John Richardson

FEEDSTOCK advantage is, of course, crucially important, but so is demand.

And yet the only subject that most people wanted to talk about in any depth at last …

Continue Reading

China Compensation

By John Richardson

A MAJOR Southeast Asian polyethylene (PE) producer has reduced its percentage of exports to China from 30-40% in 2012 to just 10% so far this year, a source with the producer told the blog on the sidelines …

Continue Reading

Northeast Asia Confronts PVC Consolidation

By John Richardson

ASIAN higher cost polyvinyl chloride (PVC) producers are facing the twin squeeze of increased electricity costs and very competitive exports from the US, according to an industry source the blog met with in Taipei, ahead of tomorrow …

Continue Reading
Margins.png

In Search Of Smart Customers

By John Richardson

JUST about every Asian cracker operator is losing money right now, according to a polyolefin industry source.

And the above chart indicates that margins are wafer-thin in Northeast Asia because of the unexpected weakness in the China …

Continue Reading
Anwar_Ibrahim-edited.jpg

Malaysia’s Economic Challenges

By John Richardson

Barisan Nasional (BN) has won Malaysia’s general election although Anwar Ibrahim (see picture on the left), leader of the opposition, has so far refused to concede defeat because he claims that there has been widespread election fraud.…

Continue Reading
TaiwanGrowthComposition.png

Taiwan Growth Underlines Long Term Shift

By John RichardsonEVIDENCE that China is no longer acting as the growth engine of the world, because it is too busy dealing with internal adjustments, is mounting.

For example, on Tuesday of this week Taiwan announced that its year-on-year Q1 …

Continue Reading
ASEAN-graphic-large.gif

Southeast Asia ‘s Economic Boom

By John Richardson

SOUTHEAST (SEA) polyolefins demand grew by 15-20% last year in some of the region’s emerging countries, such as Indonesia, according to a source with a major global producer.

Confidence is high as overseas money pours into super-hot …

Continue Reading