Tag Archives | polyethylene

Polyethylene: A World Turned Upside Down

By John Richardson

THE recent history of polyethylene (PE) shows a global competitive landscape very different from that which most people expected two years ago.

Two years ago, we were told that the natural price for oil was $100/bbl because …

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How To Battle For Value In Oversupplied Markets

By John Richardson

FOR the moment all is good, as the chart above illustrates, which details the premiums that C6 metallocene-grade linear-low density (LLDPE) have enjoyed over standard commodity grade C4 LLDPE in the key China market.

The October 2010 …

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Oil Below $30, Trade Barriers Etc: Implications for US Polyethylene

By John Richardson

FOUR years ago it seemed like an absolute “no brainer”.

Just about everyone thought that China’s economy was going to expand at double digit annual rates, virtually forever.

You also had the surge in ethane availability in …

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Asian Polyethylene: Challenge The New Paradigm

By John Richardson

IT would be very interesting to go back to 2000 and compare the strength of positive sentiment towards the future of the Asian polyethylene (PE) industry to the above chart.

The chart shows spreads between naphtha costs, …

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The Risks Ahead For Polyethylene

By John Richardson

TOO many people will look at the chart on the left and think, “Crisis? What crisis?” But glance to the right for what it is like in another petrochemicals value chain. What is happening on the right …

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Polyethylene The “Last Man Standing”. For How Much Longer?

By John Richardson

POLYETHYLENE (PE) remains almost the “last man standing”. Whereas most of the other chemicals and polymers markets in China, including phenol,  polyvinyl chloride and purified terephthalic acid, are mired in almost vanished imports and poor profitability because …

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Changing Demand Is Demanding Better Answers

By John Richardson

I HAVE spent the last two weeks travelling in the Middle East, Southeast Asia and Northeast Asia and during that time, I didn’t meet one senior petrochemicals industry executive who talked in detail about demand. Instead, the …

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Polyethylene Is Just Another Commodity – It Is Nothing Special

By John Richardson

THERE is a story circulating out there that polyethylene (PE) is a “special commodity” in that it is not tied to the downturn in other commodities that we have seen over the last year.

Whilst most people …

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Global Polyethylene: The Bubble Continues To Burst

By John Richardson

THERE are further reasons to believe that the bubble continues to burst for much of the global polyethylene (PE) industry, after what has been a misleadingly strong first half of the year.

US ethylene capacity and production …

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US Petrochemicals: The Way Forward

By John Richardson

ANYBODY out there prepared to make a guess? How long are these fantastic earnings for US petrochemicals companies in the key polyolefins space going to last? Six months, 12 months, 18 months or perhaps even longer?

The …

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