PODCAST: Chemical margins break records as logistics, supply crisis persists

BARCELONA (ICIS)–Chemical producers around the world are enjoying record-breaking margins as a logistics and supply crisis persists amid strong downstream demand.

• Record margins for global polypropylene (PP) and other chemicals
• Strong demand, disrupted supply
• China capacity additions could cause price deflation
• European prices at record differentials to other regions
• Danger of Europe being cut off from global markets by container crisis
• Consumer price inflation may rise if goods not available
• More European chemical companies may up earnings guidance
• Pandemic has led to “baby bust” rather than “baby boom”
• This will drag on future demand, require new business models

Editor’s note: This podcast is an opinion piece. The views expressed are those of the presenter and interviewees, and do not necessarily represent those of ICIS.

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Interview by Will Beacham