A petrochemicals world dominated by Supermajors, especially those running COTC plants, or one where greater regional cooperation (more on this in later posts) and increased protectionism allow older, smaller and less carbon efficient plants to survive.
Asian Chemical Connections
SHORT-TERM tactics should involve maximising returns within regions along with a greater focus on exports anywhere in the world
You might think it impossible for China to reach complete self-sufficiency in PE, PP, EG and PX. History suggests otherwise.
The developing world outside China cannot repeat China’s economic growth model because of climate change, ageing populations in the West and sustainability
Environmental, social and political factors – along with integration into upstream petrochemicals – have held back plant closures. Now, things seems very different.
There is a big new wave of lower-carbon and very advantaged cracker projects on the way, including Saudi Aramco’s crude-oil-to-chemicals investments.
HOW many PP company CEOs saw this coming, and what their plan now?
THE US gains $296m in China HDPE sales as Asian and Middle East exporters lose $1.4bn.
I BELIEVE WE are heading for the biggest period of change in the global petrochemicals industry since the 1990s.
This was when globalisation took off with the formation of the World Trade Organisation (WTO), when China’s economic boom began, when the global population was more youthful and before climate change became a major threat to growth.
CHINA’S PP demand could grow by only 1% this year, while major producers saw their January-August 2023 sales in China decline by $796m versus the same months last year.