ICIS Ethylene price reports are covered weekly in Asia, Europe and US and also daily in Asia. Reports include analysis and market intelligence on contract and spot prices, margins, production issues, upstream and downstream news and any other influencing factor that is impacting price movements at that given time. In addition to weekly reports there are also margin reports for each region.
The vast array of information available on these markets can be received in a variety of formats and gives the subscriber confidence in making informed business decisions.
Updated to Q1 2019
Asia’s supply glut eased in early 2019 following the completion of year-end destocking by producers and as Chinese buyers built stock amid prolonged term discussions ahead of the Lunar New Year holiday. Non-regional supply was capped by production hiccups in Europe. South Korean shipments slowed down from March following the start of a heavy cracker turnaround schedule in the country. Southeast Asia and Saudi Arabia supply was healthy amid downstream production issues and maintenance.
The market was supported by pre- and post- holiday buying in China in January and February. Buyers bought forward their procurement window during that period as they did not have sufficient term supply for their requirements. Contract negotiations stalled over a wide bid-offer gap. The sentiment of buyers turned cautious in March as downstream prices came under downward pressure from high inventory. Some companies cut output owing to weak margins and maintenance shutdowns.
European ethylene supply was long as the market moved into 2019 but a couple of unplanned cracker issues over the seasonal period and in early January, helped to reduce some of pressures of growing supplies, particularly since spot export opportunities to Asia were less attractive due to soft prices. There was talk of cracker reductions in some areas because of the inability to remove tonnes through exports, but this was not confirmed by cracker operators.
Demand was slow to pick up following the seasonal break. This was partly due to buyers having already prepared well for maintenance outages while taking advantage of the very low spot prices on offer as well as the lack of concern over ethylene supply. Uncertainties over the impacts of increasing imports of polyethylene (PE) from the US and the ongoing US-China trade war, also kept buyer confidence down the value chain at a low level.
US ethylene supply increased in the first quarter as strong production outpaced demand despite delays to cracker start-ups. One project was delayed to the second half of the year, while others are slower to start up than had been expected. A cracker which had been idled last year amid low ethylene prices was restarted in the first quarter and a cracker started in 2018 has been re-rated to a higher capacity due to better-than-expected performance.
US ethylene demand fell in the first quarter as downstream polyethylene (PE) production rates declined in January and February. Several PE projects have come online since late 2017, with much of that capacity geared towards export markets. However, the US-China trade war and a slowdown in the global economic growth rate have been headwinds in the expansion for US PE exports, allowing US PE inventories to build. PE is the largest consumer of US ethylene.
We offer the following regional Ethylene analysis and news coverage to keep you informed of factors and developments affecting prices in the Ethylene marketplace.
News & analysis
Regional price assessments, published daily or weekly, enabling you to keep track of trading prices, understand price drivers/fluctuations and set a benchmark for contract price settl ements. ICIS offers reports on over 180 commodities across the global petrochemical, energy and fertilizer markets. Information covered in our price reports includes:
Information is accessed online, via the ICIS dashboard service and is configurable to suit your preferences.
Produced by the ICIS Consulting team, these reports give a robust rolling 12-month price forecast, trade balances and in-depth analysis into where markets are heading – providing a valuable tool to support your short- to medium-term plans.
ICIS pricing intelligence is delivered to you online via the ICIS dashboard. Here you can view your reports and also access other useful services including related news, analysis, historical data and market alerts.
ICIS dashboard also makes it easy for you to create pricing charts, download price history and export data to create tailored analytical models.
ICIS weekly margin reports deliver the detail you need to understand how production costs and prices are affecting margins, enabling you to judge the likely impact on your business and optimise your upstream and downstream business decisions.
The Supply and Demand Window on the ICIS Dashboard provides a snapshot view of historical and forecast information for supply and demand, production capacity and trade flows – a key tool to help safeguard future investments within the chemicals market.
24-hour global coverage of breaking news in the petrochemical industry, including updates on production, shutdowns and key transacted deals, keeping you informed of market developments as they happen. The ICIS news service allows you to customise the market alerts delivered to your email inbox, providing the business-critical information you need straightaway.
If you want to keep updated on the factors driving price movements in the global chemical markets, ICIS Chemical Business provides a summary of the information you need to support your business decisions. Every week, our global team of experts digests and summarises the key issues and their potential impact on the market – all in one magazine.
An expert view of supply and demand comprising four fully-reconciled databases, giving you access to extensive data for more than 100 markets. Information is included on global and regional trade flows, production, capacity and sources of demand in the short-, medium- and long-term. Data can be downloaded, customised and queried to support your planning requirements and your strategic decisions.
ICIS provides specialist training courses across the global petrochemicals, base oils and fertilizers industries. Our training team of industry experts can help you increase your knowledge of the industry and gain the insight and know-how needed to operate and trade effectively.
Find out more about ICIS training courses >>
ICIS produces a series of highly informative and timely conferences. Extensive research is carried out to ensure that each programme delivers the information you need and addresses current industry issues. We source speakers who have the appropriate expertise and experience to deliver excellent quality papers.
Find out more about ICIS conferences >>
Working closely with you to understand your strategies, challenges and ambitions, the ICIS consulting team deliver tailored advice and solutions to suit your unique requirements. With many years’ experience of guiding business leadership teams, we show you how market conditions can make a positive or negative impact on your long-term plans.
ICIS expert consultants can provide your organisation with the insight, intelligence and data needed to build and grow your business in China. We can help you to gain a clear view on the short and long-term supply and demand picture in the chemicals, energy, iron and steel, non-ferrous metals and paper and pulp markets in China.
ICIS price assessments are based on information gathered from a wide cross-section of the market, comprising consumers, producers, traders and distributors from more than 250 reporters world-wide. Confirmed deals, verified by both buyer and seller, provide the foundation of our price assessments.
Our in-depth market knowledge drives our specialist focus, as we recognise the importance of individual market dynamics and not a one-size-fits-all approach.
Over 25 years of reporting on key chemicals markets, including Ethylene, has brought global recognition of our methodology as being unbiased, authoritative and rigorous in preserving our editorial integrity. Our global network of reporters in Houston, London, Singapore, Shanghai, Guangzhou, Mumbai, Perth and Moscow ensures unrivalled coverage of established and emerging markets.
Ethylene is the starting point for so many chemicals that have such an impact on our daily lives from polyethylene (PE) used in packaging, pipes through to ethylene glycol (EG) used in polyester and antifreeze.
Europe’s ethylene landscape has been more fluid and dynamic over the past two years than ever before. The advent of low oil prices in Q4 2014 led to record cracker margins, strong demand, and increased operating rates, which in turn was considered a factor in the unprecedented number of production problems in 2015.
Prices usually track crude oil and naphtha market developments very closely but the supply and demand situation can play a large part in determining contract and spot prices because of the challenges inherent in producing, transporting and consuming a gas.
European contract prices hit a bottom of €810/tonne in March 2016 but have been on a steady uptrend for the most part since then, gaining 16% largely on the back of a string of planned – and sometimes unplanned – cracker production issues.
European spot price developments over the past year have been tumultuous, falling about 21% in the first quarter, rising again by almost 30%, and then settling back as supply has eased
Ethylene is a colourless, odourless, extremely flammable compressed gas. It is slightly soluble in water and soluble in liquid hydrocarbons. It reacts with strong oxidants causing fire and is anexplosion hazard..
Ethylene Asia Margin Report Methodology
This document is intended to provide methodology support for customers receiving the ICIS Weekly Margin – Ethylene Asia report.
Ethylene China Margin Report Methodology
This document is intended to provide methodology support for customers receiving the ICIS Weekly Margin – Ethylene China report.
Ethylene Europe Margin Report Methodology
This document is intended to provide methodology support for customers receiving the ICIS Weekly Margin –Ethylene Europe report.
Ethylene US Margin Report Methodology
The main method of ethylene manufacture is by the thermal cracking of hydrocarbons. Both gaseous and liquid hydrocarbon feedstocks are used in the US, so this report examines two typical models.
Ethylene is a colourless, odourless, extremely flammable compressed gas with a faintly pleasant odour. It is slightly soluble in water and soluble in liquid hydrocarbons. It reacts with strong oxidants causing fire and explosion hazard.
Ethylene is mainly used to make polyethylene (PE). Low density polyethylene (LDPE) and linear low density polyethylene (LLDPE) mainly go into film applications such as food and non-food packaging, shrink and stretch film, and non-packaging uses. High density polyethylene (HDPE) is used primarily in blow moulding and injection moulding applications such as containers, drums, household goods, caps and pallets. HDPE can also be extruded into pipes for water, gas and irrigation, and film for refuse sacks, carrier bags and industrial lining.
Other major uses are ethylene oxide (EO), ethylene glycol (EG), vinyl chloride monomer (VCM) for polyvinyl chloride (PVC) and styrene.
Other derivatives include linear alpha olefins (LAO), detergent alcohols and plasticiser alcohols, vinyl acetate monomer (VAM), and various intermediates such as ethyl acetate and ethyl acrylate.
Ethylene is produced commercially by the steam cracking of a wide range of hydrocarbon feedstocks.
In Europe and Asia, ethylene is obtained mainly from cracking naphtha, gasoil and condensates. The cracking of ethane and propane is primarily carried out in the US, Canada and the Middle East.
HOUSTON (ICIS)--The US has agreed to remove tariffs on imports of Canadian aluminium and steel, the two governments said on Friday. Photo by Sipa USA/REX/Shutterstock The US imposed the tariffs...Read
MOSCOW (MRC)--Polypropylene (PP) imports into Russia slumped in the first four months of 2019 by 7% year on year, according to MRC’s DataScope report, with homopolymer PP accounting for the...Read
BARCELONA (ICIS)--Automotive sales are falling in all major regions of the world, with knock-on effects for chemicals demand in many value chains. Source: Shutterstock Faltering economic growth in...Read
How can we best navigate the volatile butadiene industry despite forecasting difficulties, price unpredictability and numerous other factors? During this turbulent period of significant change in the Asian market, what does this mean for you and your company moving forward?
As the dominating market in SBR and other derivatives, join us at the ICIS Asian Butadiene & Derivatives Conference (18 – 19 June, Singapore) and take this unmissable opportunity to meet all key industry players under one roof from across both the Asian and the global industry.