Tag Archives | chloralkali

US caustic soda exports weaken on China slowdown

What a difference 2 years can make.  That’s the obvious conclusion from comparing US exports of caustic soda today, with those seen in the years to 2012.  As the chart, based on Global Trade Information Services data shows: Net US exports fell 4% in Q1 (red column) versus 2012 (blue), and were 19% below 2013 levels Detailed […]

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Caustic soda inventories rise as aluminium cutbacks begin

An accident waiting to happen is perhaps the best way to describe aluminium markets – the key swing outlet for caustic soda.  Caustic soda is normally a late cycle product, with sales then focused on the mining industry.  Industry leader Alcoa’s results confirm the disappointing trend.  It lost money in Q1, whilst revenue fell 8% due to a decline […]

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Aluminium shortage “temporary and artificial” says world’s largest buyer

When was the last time you told your customers that they would have to wait 570 days for delivery of material for which they have already paid? You’ve never done this?  Well, you need to take lessons from those super-smart people who own the aluminium warehouses, such as Goldman Sachs (pictured above by Reuters).  As the blog […]

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EU, US caustic soda output slows as China’s exports rise

Chlorine and caustic soda are some of the most widely used chemicals.  Thus their performance is always a valuable leading indicator for the wider chemical industry and the economy itself.  So the chart above, based on Eurochlor data,  is a worrying sign: Chlorine production is down by 1.9% in 2013, after a 2.9% fall in 2012 Caustic […]

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Chloralkali output suggests EU and US recoveries still to appear

Chlorine and caustic soda markets rarely lie about the underlying state of demand.  The reason is not just because they have been widely used for over 125 years.  But the production process is also relatively flexible, and can be adjusted within minutes to align with supply/demand changes. So the picture in the chart above of falling chlorine production […]

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Chloralkali operating rates confirm European slowdown

Operating rates in European chloralkali markets are confirming the general slowdown in demand across the continent. Total chlorine production was already down 1.9% in 2012, with H2 operating rates averaging just 75.7%. And sadly, March data from Eurochlor suggests the usual burst of activity in Q1 has been extremely fragile. As the chart shows: • […]

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Chlorine, caustic soda, suggest 2013 demand remains slow

The blog tips its hat today to the International Energy Agency, whose oil research director, Antoine Halff, confirmed its own long-held view that the “recent run-up in prices will rekindle questions about the interplay of financial and fundamental factors in oil markets“, and warned explicity that “Brent prices can be misleading“. Unfortunately, however, any action […]

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EU PVC Feb13.png

Chlorine, caustic soda, suggest 2013 demand remains slow

The blog tips its hat today to the International Energy Agency, whose oil research director, Antoine Halff, confirmed its own long-held view that the “recent run-up in prices will rekindle questions about the interplay of financial and fundamental factors in oil markets“, and warned explicity that “Brent prices can be misleading“. Unfortunately, however, any action […]

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EU Cl2 Jan13.png

EU chloralkali markets weaken in H2

Chlorine and caustic soda production are a key indicator of economic growth. They have been produced in large volumes for over a century, and have a extremely wide range of uses from pharmaceutical and aluminium production to detergents and disinfection. The blog’s mid-year review of European data from Eurochlor showed worrying signs of a slowdown, […]

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EU chloralkali output slows as markets weaken

Chloralkali production is an excellent indicator of market direction in the short-term. Unlike petrochemicals, cellrooms can quickly reduce or increase operating rates. This is essential for efficient operation, as the price for electricity can change every 30 minutes. Thus as the above chart of European chlorine production shows (based on Eurochlor data), demand seems to […]

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