Asia Chemical Industry Outlook for 2015

SINGAPORE (ICIS)–The following OUTLOOK ’15 stories were published by ICIS news between Monday 22 December 2014 to Friday 9 January 2015. Please click on the headlines to read the full versions.

OUTLOOK ’15: Asia epoxy resins prices set to dip on falling upstream
Asia’s liquid epoxy resins (LER) spot prices may have room to drop further in the first quarter following the plunge in the average prices of feedstock bisphenol A (BPA) by as much as 40% or more in the fourth quarter of 2014, market sources said.

OUTLOOK ’15: Oversupply to plague China Group II base oils market
China is expected to face a severe oversupply of Group II base oils this year on the back of heavy domestic and overseas capacity expansions, industry sources said.

OUTLOOK ’15: China bitumen market to extend oversupply in Q1
China’s bitumen market is expected to remain in oversupply in the first quarter of 2015, as demand is estimated to be weak while production may stay high, industry sources said.

OUTLOOK ’15: Asia glycerine seen stable on less supply, weak demand
The Asian glycerine market pricing is expected to be stable, if not in a modest upstrend in 2015, as the likelihood of reduced supply might be offset by sluggish demand from industrial applications, industry sources said.

OUTLOOK ’15: Supply glut to weigh on MTBE expansion plans in China
China’s production capacity of methyl tertiary butyl ether (MTBE) is expected to expand at a slower pace after nearly five years of strong growth because of a supply glut, market sources said.

OUTLOOK ’15: Asia PTA industry to stay oversupplied
Asia’s purified terephthalic acid (PTA) industry will continue to be in an oversupplied condition this year, with producers likely to continue to face squeezed margins, industry sources said.

OUTLOOK ’15: Asia PET and R-PET face supply demand challenge
Asia polyethylene terephthalate (PET) producers are likely to face a continuous challenge in 2015 in balancing supply and demand to maintain a sustainable price spread throughout the PET chain, market participants said.

OUTLOOK ’15: Asia MEG headed for uncertainty on low crude worry
Asia’s monoethylene glycol (MEG) market is headed for uncertainty amid worries of lower crude prices while continued demand growth from the downstream polyester fibre and polyester terephthalate (PET) sectors might be curbed, market sources said.

OUTLOOK ’15: Asia PBT seen stable-to-soft in Q1 on poor demand
Asia polybutylene terephthalate (PBT) prices are expected to remain largely stable-to-soft for the first quarter of 2015 because of persistently sluggish demand, an existing supply overhang and also, bearish market sentiment brought about by poor upstream values, market participants said.

OUTLOOK ’15: Asia anhydrous ethanol demand seen weakening
Asia’s anhydrous ethanol market is expected to remain bearish and import volume of anhydrous ethanol is expected to weaken as a result of strong domestic capacity growth in key buying region of Philippines in the first quarter of 2015, market participants said.

OUTLOOK ’15: Restocking may support Asia isocyanates in near term
Asia’s isocyanates markets may see some brief support in demand early in 2015, as buyers that had destocked towards the end of last year are expected to replenish their inventory, but this may not be sustained in the first half of the year.

OUTLOOK ‘15: SE Asia PE seen soft in Q1 on weak demand, supply
Prices of imported polyethylene (PE) grades in southeast Asia are expected to remain soft for the most part of the first quarter on supply pressure and weak demand, market participants said.

OUTLOOK ’15: Weak demand to persist in Asia styrenics market
Demand for styrenics in Asia is expected to stay weak in 2015, with headwinds continuing to hit the world’s major economies, producers and traders said.

OUTLOOK ’15: Asia SM market looks uncertain after ’14 Q4 plunge
Asia styrene monomer (SM) market looks uncertain going into the new year after prices slumped below $900/tonne in the first half of December, a level not seen since May 2009.

OUTLOOK ‘15: Asia VAM price decline seen to continue in near term
Asia’s vinyl acetate monomer (VAM) market is likely to remain weighed down in early 2015 as a tight global supply eases following capacity growth in China and Taiwan, as well as on reduced production costs due to softer feedstock values, industry sources said.

OUTLOOK ’15: China polyolefins seen under pressure on new supply
Poor demand and ample supply including new capacity coming on line these days would weigh on polyolefins prices in China in the first quarter of 2015, industry sources said.

OUTLOOK ’15: Asia MTBE market bearish amid sufficient supply
Asia’s MTBE market is set to remain bearish for most parts of 2015 as a result of sufficient supply amid unchanged demand fundamentals from gasoline blenders owing to weak blending economics, industry sources said.

OUTLOOK ’15: Asia MIBK seen soft in 2015 on slowdown in vehicles
Asia spot methyl isobutyl ketone (MIBK) prices are expected to be largely soft in 2015 due to the projected slowdown in the automobile industry amid cautious economic sentiments, industry participants said.

OUTLOOK ’15: China’s phenol imports to slump further in 2015
China’s phenol import volumes are likely to plunge further in 2015, driven by the country’s rapid capacity expansion and increasing self-sufficiency, market sources said.

OUTLOOK ’15: Asia methanol market to brace for more volatility
Asia methanol spot prices are seen more volatile this year as a result of additional spot demand due to expected expansions in the downstream methanol-to-olefins (MTO) projects, as well as a decreasing percentage of contractual volumes being discussed, industry source said.

OUTLOOK 15’: Asia PO seen mixed as supply constrained outside China
Asia’s propylene oxide (PO) outlook in Asia for the first half of 2015 is mixed with supply looking constrained in Asia except for China because of new capacities there, market participants said.

OUTLOOK ’15: Asia MA look to extend falls on weak butane
Spot prices of maleic anhydride (MA) briquette are expected to continue to trend lower in first quarter 2015 amid the slump in crude as well as in the prices of alternative feedstock butane and benzene, market sources said.

OUTLOOK ’15: Asia PA prices to trend lower amid weak upstream
Spot prices of phthalic anhydride (PA) in Asia is expected to continue its downtrend in the first quarter of 2015, weighed by weak prices seen in upstream feedstock orthoxylene (OX) and OX co-product paraxylene (PX) markets, according to market sources.

OUTLOOK ’15: Asia PX to track upstream markets amid supply glut
The Asian paraxylene (PX) market will be weighed by new capacity additions in the region and the downtrend in upstream prices in 2015, according to industry sources.

OUTLOOK ’15: Asia toluene to track benzene, downstream PX prices
Asia spot toluene prices will continue to track the downstream benzene and paraxylene (PX) numbers closely into 2015 with little likelihood that the supply will turn tight except during the traditional downstream gasoline blending season in summer, market players said.

OUTLOOK ’15: Asia benzene seen soft on oversupply in H1 2015
Asia’s benzene prices are expected to remain under pressure in the first half of 2015 as a result of excessive supply because of new capacities in the region despite the start-up of new derivative plants, market players said.

OUTLOOK ’15: Asia caustic soda prices to recover in Q1 2015
Asia’s liquid caustic soda prices are expected to slowly recover in the first quarter of 2015 from the downtrend seen in the fourth quarter as buyers return from the sidelines and on the back of firmer offers from northeast Asian producers, according to market players.

OUTLOOK ’15: Asia PVC Q1 prices likely to remain soft
Asia’s polyvinyl chloride (PVC) spot prices will likely remain weak in the earlier half of the first quarter of 2015, tracking the softness seen in upstream crude and feedstock ethylene prices, according to market sources.

OUTLOOK ’15: Asia base oil market seen soft on low crude, supply
Asia’s base oils market is poised to remain stable-to-soft for the first quarter of 2015, especially for the Group II sector as a result of steep decline in upstream crude values and supply overhang of Group II grade, market participants said.

OUTLOOK ’15: Asia MMA, PMMA prices to come under pressure
Asian prices of methyl methacrylate (MMA) and its downstream derivative polymethyl methacrylate (PMMA) are expected to come under pressure in 2015 amid the volatile downtrend of crude oil futures and uncertainty over global economic growth, according to most market players.

OUTLOOK ’15: Asia ACN supply to tighten in Q1 on heavy turnarounds
The supply of acrylonitrile (ACN) in Asia is expected to tighten in the first quarter of 2015 because of the heavy turnarounds at regional producers, and this will put a cap on the downtrend in prices, sources said.

OUTLOOK ’15: Asia BD prices to rebound on output cuts, Jan demand
Asia butadiene (BD) spot prices have bottomed out and are expected to soon rebound because of production cutbacks and increased buying interest, according to market sources.

OUTLOOK ’15: Asia brightstock outlook bearish amid tepid demand
https://www.icis.com/Articles/2014/12/23/9848362/outlook-15-asia-brightstock-outlook-bearish-amid-tepid-demand.html
Asia’s brightstock spot prices are likely to continue their downtrend in the near term after going through significant decline during the week ended 19 December as a result of weaker crude values and tepid demand, market sources said.

OUTLOOK ’15: Asia fatty alcohol market faces uncertainty in H1
The Asian fatty alcohol market is expected to be mixed in the first half of 2015 because of a slew of new capacities, unpredictable volatility in upstream palm kernel oil (PKO) prices and worries over global economic growth, according to market participants.

OUTLOOK ’15: Asia TiO2 to remain bearish through to January
The Asian titanium dioxide (TiO2) market is expected to remain bearish until January next year amid ample supply and the year-end seasonal demand lull for the coating sector, which is the major consumer for the material, according to market players

OUTLOOK ’15: Asia propylene to underperform C2 on capacity rise
Asia’s propylene prices are expected to continue to underperform the regional ethylene market next year amid strong capacity growth.

OUTLOOK ’15: Asia C2 demand-supply balance to stay tight
Asia ethylene’s demand-supply balance is expected to remain tight in 2015 despite a lighter cracker turnaround schedule, players said.