Archive | US RSS feed for this section

Oil Market Jigsaw Puzzle: Putting The Pieces Together

By John Richardson

THE data has long told us that the efficiency of the US shale oil process is constantly improving.

For instance, the above chart shows that in just in one shale-oil field in the US – the Bakken …

Continue Reading

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 …

Continue Reading

The New World Of Demand, Trade And Competition

By John Richardson

TOMORROW nearly always ended up being better than today for the polymers industry, thanks to the resilience of demand growth during the Economic Supercycle.

What also made life easy was the assumption that global free trade would, …

Continue Reading

China And A Breakdown In Free Trade: Scenarios For Petrochemicals

By John Richardson

MY blog post last Friday, on the threat to the petrochemicals industry of a retreat in global free trade, has gained a great deal of interest. This is good as this is an essential debate.

Today I …

Continue Reading

As Global Free Trade Unwinds, Where You Have Built Becomes Critical

By John Richardson

THE assumption that global free trade will continue to grow has successfully underpinned the strategy of petrochemicals producers for many years. Companies have been able to plan new capacities in just about any location secure in the …

Continue Reading

New Global Economic Crisis: Timing Is The Only Doubt

By John Richardson

IT IS only a question of when rather than if there will be a further unwinding in all the global economic, social and political unbalances resulting from the end of the Economic Supercycle.

Sure, we might get …

Continue Reading

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 …

Continue Reading

Financial Markets Miss A Bigger China Devaluation

By John Richardson

FINANCIAL markets are like children in that they are incapable of focusing on more than two things at once, according to according to Stephanie Flanders – JP Morgan Asset Management’s chief market strategist for Europe.

To justify …

Continue Reading

Oil Prices, Chemicals Markets Face Steep Declines

By John Richardson

THERE are three things you need to know about today’s global chemicals markets:…

Oil prices are now retreating back to quite probably below $30/bbl, and so of course there will be a chemicals destocking process.
But the

Continue Reading

China’s Gasoline Export Surge Was Entirely Predictable

By John Richardson

WHEN it first became apparent earlier this year that China was aggressively expanding diesel exports, we were told not to worry as this was said to merely reflect the replacement of China’s old economy with its new …

Continue Reading