PODCAST: Gas rationing for chemicals, fertilizers likely in Europe this winter
BARCELONA (ICIS)–Chemicals and fertilizers producers in Europe are likely to face rationing of gas this winter even if the Nord Stream pipeline reopens.
- Russian gas supplies to Europe at record lows
- EU to publish guidance on gas use and rationing on 20 July
- Nord Stream pipeline scheduled restart on 21 July may be delayed
- Gas rationing likely even if Nord Stream does restart
- Overall storage is at near normal levels of 60%
- Prices 5-6 times higher than long-term average
- April-June Europe gas demand fell 15% on long-term average
- If petrochemical sites close, could take 2-3 months to fully restart
- Swathe of fertilizers production cuts affecting Europe
- High prices mean less seasonal fertilizers stock-building
- Return of peak fertilizers demand season in September
- Production cuts could open new export markets to Europe
- Recession in Europe, China, will hurt some polymer demand
In this Think Tank podcast, Will Beacham interviews ICIS senior gas reporter Aura Sabadus, ICIS managing editor for fertilizers, Julia Meehan, ICIS senior consultant Asia John Richardson and Paul Hodges, chairman of New Normal Consulting.
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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