Latin America stories: bi-weekly summary

SAO PAULO (ICIS)–Here are some of the stories from ICIS Latin America for the fortnight ended on 29 September.

NEWS
Brazil’s Petrobras, Vale mull joint low-carbon projects
Brazil’s state-owned energy major Petrobras and mining major Vale have signed a Memorandum of Understanding (MoU) to explore low-carbon joint projects in fuels and CO2 carbon, capture, and storage (CCS).

Brazil’s industry on ‘moderate reacceleration’ as 2023 growth prospects near 3%
Brazil’s economy started 2023 on the backfoot and GDP growth expectations at barely 1%, but nine months later most economists and analysts now expect growth to be around three times higher.

Mexico’s central bank keeps interest rates unchanged at 11.25%
The Bank of Mexico on Thursday kept its main interest rate benchmark unchanged at 11.25% as it deemed inflation remained at high levels.

Brazil’s chemicals producer prices rise 1% in August ending year-and-a-half downturn
Brazil’s chemicals producer prices rose by 1.02% in August, month on month, ending an 18-month long downturn, the country’s statistical office IBGE said on Thursday.

Argentina’s output falls in July, cabinet launches favourable dollar rate for oil, gas exporters
Argentina’s economic output fell by 1.3% in July, year on year, but posted an increase of 2.4% compared with June, the country’s statistics office Indec said this week.

Argentina’s Q2 GDP falls nearly 5% on severe drought
Argentina’s second-quarter GDP fell by 4.9%, year on year, on the back of the severe drought affecting its key agricultural sector, which contracted by 40.2% during the quarter, the country’s statistics office Indec said this week.

Brazil central bank cuts rate by half point for second time
Brazil’s central bank cut on Wednesday its benchmark Selic interest rate by a half point for the second consecutive time to 12.75% as inflation remains below its target.

PRICING
LatAm PE domestic, international prices steady, focus on October prices
Domestic and international polyethylene (PE) prices were assessed unchanged this week across Latin American countries.

LatAm PP prices increase in Colombia on higher feedstock costs
Domestic polypropylene (PP) prices increased in Colombia, tracking higher feedstock costs. In other Latin American (LatAm) countries prices were steady, although upward pressures remain.

Latin America PET prices unaltered at the end of September
Polyethylene terephthalate (PET) prices in Mexico are steady this week, based on sustained demand in September and growing spot supply availability with a focus on local and international buyers.

Unipar approves phase out of diaphragm and mercury technologies at Sao Paulo plant
Unipar has given the green light to its Phase Out Project (PO25) for diaphragm and mercury technologies at its plant in Cubatão in Sao Paulo, which should be accomplished by 2025.

LatAm PP domestic prices increase in Mexico due to higher US spot propylene
Domestic polypropylene (PP) prices increased in Mexico on the back of higher US propylene spot prices. Several outages in the US this month tightened a market that was already facing low inventories.