By John Richardson THE question being asked during the first quarter of this year was, “Why shouldn’t Chinese chemicals demand come roaring back after a disappointing 2011?” The relevant question now, as we move into Q2, is, “Why should it come roaring back?” Chemicals analysts, and quite a few traders in products such as […]
Asian Chemical Connections
Butadiene Market Standoff
By Malini Hariharan Just days after a recovery in butadiene prices, downstream synthetic rubber producers are once again threatening to cut production as weak demand has pushed them in to a tight corner. Asian major Korea Kumho Petrochemical is looking at trimming the operating rate at its 210,000 tonnes/year polybutadiene rubber (BR) plant to 85%, and also […]
New Policies Needed To Restore Growth
Politicians seem to be floundering as they seek to restore growth to the Western economy. Their prescriptions swing between austerity and economic stimulus as they argue over what has gone wrong. But in chapter 10 of our Boom, Gloom & The New Normal e-book we argue that they are on the wrong track. They are […]
North America’s Oil and Gas Potential
By Malini Hariharan The energy landscape in North America is rapidly changing. After shale gas the focus has shifted to rising oil production from various unconventional sources, which has prompted some commentators to predict that the region will regain its status as a major global producer. In a new report, analysts at Citibank confidently predict that […]
Global Polymers Demand Up 4.5% In 2011
By Malini Hariharan Despite challenging market conditions in 2011, the global polymers industry managed to post demand growth of 4.5%, with the largest increase recorded by polyvinyl chloride (PVC) at 6.2% and linear-low density polyethylene (LLDPE) at 5.8%, estimates Fabrizio Galie of the ICIS consulting team. Global demand for commodity polymers, including PE, polypropylene (PP), […]
India: Muddling Through Won’t Do
By John Richardson Indian friends of the blog, many of whom work in the country’s chemicals industry, have long expressed their view that their country will always muddle through. Their trust in government to solve long-standing infrastructure and logistics problems has always been low. Through a great deal of hard work, and enormous amounts of […]
The Butadiene Rollercoaster
By John Richardson The remarkable rollercoaster that is butadiene, and its derivatives, continues. Although the synthetic rubber market for tyres in China appears to be strengthening, acrylonitrile butadiene styrene (ABS) remains under pressure. And, in a reflection of what is a structurally extremely tight market for butadiene, LG Chem is talking about further reducing operating […]
Threat of Oil “Permafrost”
By John Richardson Saudi Arabian oil minister Ali al-Naimi on Tuesday did his best to calm the oil markets by arguing that the kingdom had met all its customers’ requests for crude, and was ready to raise output to full capacity of 12.5m barrels a day. “My only mission is to convey to you that […]
China Synthetic Fibres Fall Further
By John Richardson CHINA’S synthetic fibres chain continues to show serious signs of distress as a result of weak domestic and export demand, according to my ICIS colleagues, Judith Wang and Becky Zhang. Traders in monoethylene glycol (MEG) must have believed the theory that petrochemicals demand growth in general would be strong, as inventory levels in Chinese ports […]
China’s Shale Gas Potential
By John Richardson THE shale-gas revolution, which, of course, is already well underway in the US, could also have major implications for petrochemicals in China. China has 1,275 trillion cubic feet of recoverable shale-gas reserves, according to the Energy Information Administration – more than the US. As a result, the Chinese National Energy Administration has […]
Jump to page: