Ethyl acetate (ETAC) & butyl acetate (BUTAC)

MUMBAI (ICIS)–Indian Oil Corp (IOC) plans to beef up its petrochemical production capacity to 14m tonnes/year by 2030 which will increase the state-owned company’s petrochemical intensity index (PII) to 15%, nearly triple its current level, company chair SM Vaidya said. Total petrochemical investments to reach Rs1.2 trillion Domestic industry projected to grow at 8-10% over the next few years Local demand estimated to hit $1 trillion by 2040 Petrochemical projects worth Indian rupees (Rs) 300 billion ($3.6 billion) are under various stages of implementation, while feasibility studies are ongoing on projects worth Rs900 billion, based on IOC’s annual report for the fiscal year ending March 2024. The company’s current petrochemical production capacity stands at 4.28 million tonnes/year, based on its annual report for the fiscal year ending March 2024. IOC’s PII refers to the percentage of crude oil that is directly converted into chemicals. “We are integrating petrochemicals into our refining operations," IOC chairman SM Vaidya said at the company’s annual general meeting on 9 August. "This oil-to-chemical approach will enrich our value chain, meet rising petrochemical demand, reduce import reliance, and insulate the bottom line from the impacts of oil price fluctuations," he said. By 2026, its refining capacity will have increased by more than 25% from the current 70.3 million tonnes/year to 87.9 million tonnes/year, Vaidya said at  IOC’s annual general meeting on 9 August. By the end of the decade, IOC expects its refining capacity to be 107.4 million tonnes/year, according to the annual report released on 18 July. “In 2023-24, we successfully commissioned the first phase of naphtha cracker expansion and paraxylene-purified terephthalic acid (PX-PTA) revamp project in Panipat and an ethylene glycol plant at Paradip. These have propelled our PII to 6.1%,” Vaidya said. In November 2023, IOC increased the capacity at the naphtha cracker at its Panipat refinery complex from 857,000 tonnes/year to 947,000 tonnes/year. Following the PX-PTA revamp at its Panipat refinery, IOC has increased its PX production to 460,000 tonnes/year and PTA output to 700,000 tonnes/year, as per the company website. In March 2024, the company inaugurated its 357,000 tonne/year monoethylene glycol (MEG) project at its Paradip refinery complex. PETROCHEMICAL PROJECT PIPELINE Indian Oil plans to commission a 150,000 tonne/year butyl acrylate plant at its Gujarat refinery in the current financial year 2024-25. One of the company’s ambitious petrochemical projects include the mega complex at Paradip in eastern Odisha state, Vaidya said, noting that the Rs610 billion project is IOC’s “largest ever investment at a single location”. The petrochemical complex will include a world-scale 1.5 milion tonne/year naphtha cracker unit along with downstream process units for producing polypropylene (PP), high density polyethylene (HDPE), linear low-density polyethylene (LLDPE) and polyvinyl chloride (PVC). The Paradip petrochemical project is currently in implementation stage and the company expects to commission it by August 2029, IOC said in its annual report released on 18 July. As part of its future expansions, IOC expects to begin operations at the 200,000 tonne/year PP plant at its Barauni refinery and 500,000 tonne/year PP line at its Gujarat refinery before end-March 2026, based on the company’s annual report. IOC has also enhanced its lube oil base stocks (LOBS) capacity at its Haldia complex and is setting up new plants at its Gujarat and Panipat refineries, Vaidya said, adding, “we aim to increase the capacity from 730,000 tonnes/year to 1.5 million tonnes/year”. The company expects to commission the 60,000 tonnes/year polybutadiene rubber (PBR) plant at its Panipat refinery by March 2025 as per the annual report. These planned expansions by IOC will help meet the rising petrochemical demand in the country, IOC stated in its latest annual report. The domestic petrochemical industry is "poised for substantial growth, driven by India’s sturdy macro fundamentals, population expansion and presently low per capita polymer consumption," it said. India's overall petrochemical demand is projected to nearly triple by 2040, with the industry's value expected to reach the $1 trillion mark, said Indian minister for petroleum and natural gas Hardeep Singh Pur in a presentation at the Asia Petrochemical Industry Conference (APIC) in May 2023. Focus article by Priya Jestin ($1 = Rs83.91) Thumbnail image: An Indian Oil petrol pump in Kolkata, 17 January 2022. (By Indranil Aditya/NurPhoto/Shutterstock)

14-Aug-2024

HOUSTON (ICIS)–Here are the top stories from ICIS News from the week ended 9 August. Canada labor tribunal rules on rail strike, orders 13-day cooling-off period The Canada Industrial Relations Board (CIRB) on Friday ruled that no rail activities need to be maintained in case of a strike or lockout at rail carriers Canadian National (CN) and Canadian Pacific Kansas City (CPKC). Celanese lifts force majeure on acetic acid, VAM in western Hemisphere Celanese has lifted the force majeure it declared on acetic acid and vinyl acetate monomer (VAM) sold in the western Hemisphere, the US-based acetyls producer said on Thursday. INSIGHT: So far, recession is unlikely despite market turmoil Chemical companies are expecting a lacklustre second half of the year, but, so far, they will unlikely suffer through a recession, despite the spate of pessimistic economic data and the worst stock-market selloff in more than a year. Avient hikes guidance after strong Q2, sees restocking in packaging and consumer Avient has raised its 2024 guidance for adjusted earnings before interest, taxes, depreciation and amortization (EBITDA) following stronger-than-expected Q2 results. US chem shares plunge for third day amid fears of hard landing Shares of US-listed chemical companies fell sharply for the third consecutive trading day on Monday amid growing concerns that the US economy could head towards a hard landing and enter a recession. US recession fears fan slide in global stocks US stocks were trading down around 3% mid-morning on Monday, with the major chemical companies posting double-digit falls on growing fears about a recession after the world’s largest economy reported weak economic data.

12-Aug-2024

HOUSTON (ICIS)–Celanese has lifted the force majeure it declared on acetic acid and vinyl acetate monomer (VAM) sold in the western Hemisphere, the US-based acetyls producer said on Thursday. Celanese had declared force majeure earlier in the year after two feedstock suppliers suffered from disruptions. During an earnings call, Celanese said the effect of the force majeure was limited because of soft overall demand amid a difficult macro-economic environment. Thumbnail shows adhesive, which is typically made with VAM. (Image by Shutterstock)

08-Aug-2024

SINGAPORE (ICIS)–SABIC's net profit surged by 84.7% year on year to Saudi riyal (SR) 2.18 billion in the second quarter, supported by higher margins amid improved average selling prices, the chemicals giant said on Thursday. in Saudi riyal (SR) billions Q2 2024 Q2 2023 % Change H1 2024 H1 2023 % Change Sales 35.72 34.1 4.8 68.4 70.53 -3.0 Operational profit 2.1 1.64 28.0 3.31 3.4 -2.6 Net profit 2.18 1.18 84.7 2.43 1.84 32.1 “The global economy experienced a slight decline in the second quarter of 2024, primarily due to unexpected downturns in the recent economic indicators of major countries," said Abdulrahman Al-Fageeh, SABIC's CEO and executive board member. However, PMI data continued to indicate improvement in global economic conditions, while global trade showed signs of recovery, driven by higher exports, inventory restocking and increased financial activities, Al-Fageeh noted. "As inflationary pressures ease, some central banks have begun reducing interest rates, potentially providing additional stimulus to the global economy.” Q2 KEY POINTS – Q2 sales growth primarily attributed to the improvements of the average selling prices and a slight increase in sales volume. – Gross profit rose by SR1.76 billion due to improved profit margins for key products, partially offset by increased operating expenses from non-recurring charges. – A reversal of zakat provision, which is a mandatory Islamic tax on wealth, resulted in a non-cash benefit of SR545 million in Q2 2024, compared to a zakat expense of SR440 million in Q2 2023, due to updated regulations. – The petrochemicals segment's revenue increased by 10% quarter-over-quarter to SR 33.33 billion in Q2, driven by higher methanol sales volume. – EBITDA rose 37% to SR 4.88 billion in Q2, compared to SR 3.56 billion in Q1, due to higher sales volume and average selling prices. Market trends on quarter-on-quarter basis: – Methyl tertiary butyl ether (MTBE) prices remained stable, supported by summer demand. – Methanol prices held steady, driven by tight supply and low inventories in China, as well as strong demand from Asia. – Monoethylene glycol (MEG) prices were flat, due to higher supply and stable demand. – Polyethylene (PE) prices increased slightly, due to delayed Middle East deliveries and tightened Southeast Asian supplies. – Polypropylene (PP) prices rose, supported by tight container and vessel supply. – Polycarbonate (PC) prices slightly increased, despite global oversupply, with high freight rates adding pressure to subdued demand in automotive and construction sectors. Separately, SABIC has successfully commissioned its new hydrotreater plant in Geleen, the Netherlands.  This facility plays a crucial role in SABIC's advanced recycling process, transforming pyrolysis oil derived from post-consumer mixed plastic waste into high-quality alternative feedstock. This feedstock is then used to produce the SABIC's TRUCIRCLE circular polymers. H1 KEY POINTS – The company's revenue decreased by 3% year on year primarily due to a decline in sales volume. – Net profit rose on the back of an 18% increase in gross profit (SR1.96 billion) due to improved margins, partially offset by increased operating expenses from non-recurring charges. – Earnings were also supported by a SR245 million increase in the share of results from associates and non-integral joint ventures. OUTLOOK"Looking ahead, a global GDP growth of 2.7% is expected in 2024. At SABIC, our long-term focus remains on strategic portfolio optimization, restructuring of underperforming assets, and prioritizing sustainability and innovation," the company said. "We maintain a disciplined approach in managing our CAPEX, projecting a spending at the lower range of $4.0 to 5.0 billion for 2024." SABIC is 70%-owned by energy giant Saudi Aramco. Thumbnail shows a SABIC production facility (Source: SABIC)

02-Aug-2024

SINGAPORE (ICIS)–Typhoon Gaemi made landfall on Taiwan’s eastern coast shortly before midnight on 24 July, bringing fierce winds and heavy rains to vast swathes of the island, with the Mailiao port remaining closed on Thursday. Financial markets and workplaces are also closed for a second consecutive day. Operations at the Mailiao port are expected to resume on 26 July after a three-day shutdown, according to market sources with direct knowledge of the matter. The port is operated by Taiwanese major Formosa Petrochemical Corp (FPCC) which primarily serves the company’s Mailiao refinery and petrochemical complex. The closure of Mailiao port is a precautionary measure taken for operational safety, according to a Formosa Plastics Corp (FPC) source, adding that operations at the company's ethylene vinyl acetate (EVA) plant in Mailiao were normal. Taiwan's major petrochemical complexes are in Toufen and Mailiao in the northwest; and Ta-sheh and Linyuan in Kaohsiung City in the south. Authorities in Taiwan have reported two weather-related fatalities and more than 200 others injured as the storm approached. Officials have evacuated more than 8,000 people across at-risk areas of the country. Prior to making landfall near Hualien County, Taiwanese authorities categorized Gaemi as a "severe typhoon," the highest level on their three-tier scale. This marked the first severe typhoon to hit the island since 2016. The storm has since weakened as it moved inland. At 08:30 local time (00:30 GMT), Gaemi was 80 kilometres northwest of Hsinchu, packing maximum winds of 90 kiometres/hour, Taiwan's Central Weather Administration (CWA) said in its latest update. A typhoon warning is in effect for Nantou, Chiayi, Chiayi City, Keelung City, Yilan, Changhua, New Taipei City, Hsinchu, Hsinchu City, Taoyuan City, Penghu, Taichung City, Taipei City, Tainan City, Taitung, Hualien, Miaoli, Kinmen, Yunlin, Lienchiang and Kaohsiung City, the CWA said. Over 4,000 people living in in northern regions, especially Hualien, were evacuated due to the storm. Hualien, a mountainous area prone to landslides, was also severely affected by a 7.2-magnitude earthquake earlier this year. Gaemi is expected to make its way across the Taiwan Strait towards Fujian and Zhejiang later on Thursday, with a red storm alert currently in place in both these provinces in southern China. The China Meteorological Administration (CMA) has issued a red typhoon warning, the highest level of alert, for strong winds expected in seas off the southeastern coast and coastal areas of Fujian and southern Zhejiang provinces. The Fujian Maritime Safety Administration has launched a Level I emergency response, the highest alert, in anticipation of Gaemi’s arrival, according to crisis management firm Crisis24. Ports have been closed and vessels have been ordered to return to shore, it said. Thumbnail photo shows the location of Typhoon Gaemi at 04:30 GMT on 25 July (Source: zoom.earth) Additional reporting by Angeline Soh, Helen Lee and Samuel Wong

25-Jul-2024

SINGAPORE (ICIS)–Ocean container freight rates in Asia are expected to remain high in the near term amid persistent congestion at key ports in the region, particularly Singapore. Peak demand season, capacity issues continue to push up rates Singapore port wait times reduced, but challenges remain ASEAN Express offers faster rail alternative to sea freight The Drewry World Container Index (WCI) edged up 1% to $5,901 per forty-foot equivalent unit (FEU) for the week ending 11 July, with the rate of increase easing from a double-digit pace se in recent weeks. The Shanghai Containerized Freight Index (SCFI), which measures spot rates for shipping containers from Shanghai to major global ports, meanwhile, dipped 1% week on week to 3,674.86 points in the week ending 12 July. The convergence of seasonal peak demand and strained capacity as commercial vessels continued to avoid the Red Sea and Suez Canal, are expected to keep shipping costs firm in the near term for container routes globally, said Judah Levine, the head of research at online freight shipping marketplace and platform provider Freightos. According to supply chain advisors Drewry, ocean freight rates are expected to remain high until the end of the peak season, which typically falls between August to October each year. SINGAPORE CONGESTION EASING In Singapore, the world's second-largest port and the largest transshipment hub connecting Asia and the west, the average wait time to berth has been "reduced to two days or under", port operator PSA Singapore said in a statement on 10 July. This compares to waiting times up to seven days for a berth in the port of Singapore in late May this year, according to logistics data group Linerlytica. Singapore has experienced high berth demand and unscheduled vessel arrivals since the start of 2024, leading to increased waiting times despite utilizing all available berths, PSA said. PSA has since "significantly ramped up its capabilities to support increased activity and mitigate the impact of global supply chain disruptions since the beginning of 2024". However, the PSA warned that “the Red Sea crisis has significantly disrupted global shipping and trade and we anticipate this challenging situation to persist for a prolonged period, potentially extending port congestion from Asia to Europe”. For chemical tankers, shipping brokers have reported varying degrees of congestion and delays at Singapore ports. A broker involved in bio-chemicals and clean petroleum product (CPP) trades noted congestion at all terminals with delays of at least one week. A tanker carrying methyl acetate (MEAC) was facing a two-week delay in discharging cargoes at a key terminal in Jurong Island, another broker said. Jurong Island is Singapore’s petrochemical hub. A third broker indicated that delays in unloading and loading of cargoes at Singapore ports were generally measured in days rather than weeks. A Singapore-based acrylates producer was having difficulties securing vessel space, as shipping companies were bypassing the congested port. This congestion has also spilled over into Malaysia, impacting customers in both countries which are now experiencing delays of up to a week for July shipments. Overall port congestion levels in Malaysia have been reduced, but berthing delays remain at five days at Port Klang, while Tanjung Pelepas has limited delays, Linerlytica said in an update on 10 July. In India, heavy congestion is also reported at Colombo port, resulting in backlogs and delays, with adverse weather conditions around the Cape of Good Hope compounding the situation, causing further delays, according to global digital freight forwarder Zencargo in a note on 15 July. Vessels are increasingly navigating around the Cape of Good Hope to avoid the heightened risks in the Red Sea and Suez Canal due to escalating Houthi attacks since November 2023, opting for a longer-but-safer route despite the added time and costs. "The market from the Indian subcontinent to Europe is experiencing significant disruptions," it said. "Carriers have stopped accepting bookings from South India for Europe due to heavy congestion in Colombo, causing a minimum delay of three weeks in transshipment. Carriers are only quoting on spot rates due to the tight space situation​." Historically, Colombo has handled a substantial portion of India’s containerized exports and imports due to insufficient direct line-haul connections from the country’s east coast ports, according to Zencargo. However, recent months have seen an unusual surge in volumes, exacerbated by vessel diversions linked to Red Sea shipping disruptions, with ships languishing for over five days before securing a berth, it said. In China, port delays have worsened in the week to 10 July after recent improvements due to bunching of vessel arrivals, with wait times of up to four days in Shanghai and up to two days in Ningbo, Linerlytica added. China is also set to continue grappling with rising container prices and leasing rates in July, according to Haoze Lou, a member of the broker team at online shipping container leasing firm Container xChange. Scarcity of available slots for China-Europe and China-US routes has intensified, prompting offline suppliers to offer competitive prices to attract customers, Lou said. "In June, we've observed a continued rise in container prices in China, impacting both trading and leasing activities," he said, adding that a rebound is expected over the next month as slot availability tightens again. CONTAINER RATES HINGES ON CONSUMER DEMAND The outlook for the container trading and leasing market in the second half of 2024 hinges on a revival in consumer demand but faces uncertainties due to geopolitical disruptions and potential labor unrest, according to Container xChange. Continued Houthi attacks threaten supply chains, while potential labor issues in US ports could further disrupt operations, it said. "However, if the current market conditions persist without major changes, we expect container rates to ease,” Container xChange noted. “This reduction in rates could trigger an uptick in container buyer activity, as the buyer side is currently waiting for prices to decline before resuming trading and leasing activities." RAIL OPTIONS OPEN UP FOR CHINA-SE ASIA ROUTE The successful inaugural trips of the ASEAN Express – a new cargo rail service connecting Malaysia, Thailand, Laos, and China – highlight its potential as a faster and more efficient alternative to traditional ocean freight as it connects new trade routes and inland ports across Asia. This includes the Kontena Nasional Inland Clearance Depot in Selangor, Malaysia; Latkrabang Inland Port in Thailand; and the Thanaleng Dry Port in Laos, which connects to a railway terminal in Chongqing, southwest China. The first ASEAN Express cargo train successfully completed a round trip between Malaysia and China on 11 July, carrying electronic appliances and agricultural products, marking a milestone in regional trade connectivity which could boost trade of petrochemical end-products. The recently launched cargo rail service has been met with optimism by Asian recyclers, though immediate impact is expected to be limited. While the service directly benefits buyers and sellers in China, Malaysia, Thailand, and Laos, recyclers in Taiwan, Indonesia, and Vietnam anticipate primarily using ships, potentially freeing up shipping capacity and alleviating tightness in vessel and container space. This new service significantly reduces transit time compared to sea freight, taking just under 14 days compared with up to three weeks by sea. "This service will provide smoother and more efficient goods flow throughout the region as well as enhance rail cargo transport capacity while reducing logistics costs by an estimated 20% from current market rates," Malaysian transport minister Loke Siew Fook said in a speech at the flag-off ceremony for the new rail service on 27 June. "The shorter transport times are also expected to open up new markets, with the agricultural sector in particular to benefit by allowing perishable products to be transported more quickly by rail," he added. Insight article by Nurluqman Suratman Additional reporting by Hwee Hwee Tan, Corey Chew, Arianne Perez and Ai Teng Lim Thumbnail image: At the Keppel and Brani port terminals in Singapore, 15 June 2024 (By Joseph Nair/NurPhoto/Shutterstock)

17-Jul-2024

SINGAPORE (ICIS)–Here are the top stories from ICIS News Asia and the Middle East for the week ended 12 July 2024. OUTLOOK: Asia naphtha market braces for supply uncertainties By Li Peng Seng 12-Jul-24 12:00 SINGAPORE (ICIS)–Asia’s naphtha market sentiment is expected to be choppy in the short term due to a lack of clarity on arbitrage supplies against volatile demand. OUTLOOK: Asia EVA market loses shine as demand from PV sector lags By Helen Lee 11-Jul-24 11:25 SINGAPORE (ICIS)–Demand for ethylene vinyl acetate (EVA) from China’s photovoltaic (PV) industry is likely to remain lackluster amid an oversupply in the entire industry chain. PODCAST: China to accelerate hydrogen development via energy law By Patricia Tao 10-Jul-24 11:25 SINGAPORE (ICIS)–China's recent decision to include hydrogen in its draft national energy law signals a transformative shift in the country's energy landscape. China EV giant BYD to invest $1 billion in Turkey production plant By Nurluqman Suratman 09-Jul-24 15:24 SINGAPORE (ICIS)–Chinese electric vehicle (EV) giant BYD has agreed to invest $1 billion to set up a manufacturing plant in Turkey which will produce up to 150,000 vehicles per year. PODCAST: Asia recycling market sees increased interest in pyrolysis By Damini Dabholkar 09-Jul-24 11:17 SINGAPORE (ICIS)–Market players in Asia are increasingly becoming more interested in the use of pyrolysis oil as fuel. OUTLOOK: SE Asia PE to see some demand recovery in H2, challenges persist By Izham Ahmad 09-Jul-24 15:07 SINGAPORE (ICIS)–The southeast Asian polyethylene (PE) market is expected to face modest demand recovery in the second half (H2) of the year, but this is likely to be negated by increased supply and the threat of high freight costs affecting import shipments.

15-Jul-2024

SAO PAULO (ICIS)–Most chemical prices have stabilized, and a few are posting small rises, a trend which should strengthen in coming quarters as global manufacturing picks up, executives at US-headquartered adhesives producer HB Fuller said on Thursday. Celeste Mastin, CEO at the company, said sales volumes in Q2 had posted a “strong performance” and came higher than initially expected, with regions such as Europe also improving and some sectors in China “growing like crazy”. The improvement in manufacturing prospects globally prompted HB Fuller to increase its 2024 financial guidance earlier this week after it published its Q2 financial results, which showed sales rose by 2%, year on year, and earnings by 10.1%. As an adhesives producer, HB Fuller's raw materials include tackifying resins, polymers, synthetic rubber, plasticizers and vinyl acetate monomer (VAM). The company’s fiscal year starts on 1 December; its fiscal Q2 covers March-May. EARLIER THAN PLANNED RECOVERYAfter its longest downturn ever, chemicals may finally be savoring the green shoots of a recovery in earnest. HB Fuller, at least, is. According to Mastin, the notable improvement in Q2 foresees a healthier second half of the year, with the improvement across all the company’s divisions and regions it operates in. “We have had a strong volume performance and, actually, we were planning volume growth in the mid-single digits for the second half, but we are already seing that, which explains Q2 [performance],” she said, speaking to reporters and chemical equity analysts. “We track the prices of 4,000 raw materials – 80% they are flat or increasing slightly. We think from Q3 onward the trend will be for increases over time.” HB Fuller’s upbeat assessment contrasts with what the company issued after its fiscal Q1. At the time, Mastin said sales volumes were still weak and, if that situation persisted, prices of specialty chemicals, which had so far held up reasonably well, could also fall. The improvement as of late has prompted the company to also raise its selling prices forecast – from an initially expected negative pricing impact of 2-3%, the company now forecasts a negative impact of 1-2%. Those pricing negative effects, however, will be overcome by growth in sales volumes, the CEO said. Mastin went on to say the automotive sector is one where HB Fuller is “aggressively” trying to gain market share, adding the strategy is paying off with sales volumes up between 20% and 30% compared with last year. “In China, we have a very strong position in automotive. But we are seeing healthy performance in other sectors as well, such glass, aerospace, or electronics – the latter is growing like crazy there. Equally, we are also seeing strong growth in India,” said Mastin. HB Fuller’s CFO, John Corkrean, also present at the press conference, added that, after a poor Q1, even the beleaguered European economy – under pressure since Russia’s invasion of Ukraine and the consequent energy prices shock – also showed some positive signs in Q2. “We have seen a return to volume growth in all market segments. Some spots such as hygiene remain a weak spot, but we have also seen there an improvement from Q1 and we expect to see further improvement in the next two quarters,” said Corkrean. “Europe was slow in Q1 but that improved in Q2 in , for example, the construction-related businesses. These are positive signs we expect will continue in coming quarters.” Front page picture shows glue being applied Source: Shutterstock

27-Jun-2024

LONDON (ICIS)–The European oxo-alcohols market and most of its derivatives have been characterized by ample supply in June, particularly following the lifting of OQ Chemicals' force majeure at the end of May. Demand across most markets remains tepid and slow due to ongoing economic challenges. The construction and coatings industries have not experienced the expected seasonal surge. Butyl acetate reporter Marion Boakye speaks to oxo-alcohols reporter Nicole Simpson, glycol ethers reporter Cameron Birch and acrylate esters reporter Mathew Jolin-Beech about market dynamics down the oxo-alcohols value chain.  

24-Jun-2024

HOUSTON (ICIS)–Here are the top stories from ICIS News from the week ended 7 June. Celanese declares force majeure on acetic acid and VAM in Europe, Americas Celanese has declared force majeure on acetic acid and vinyl acetate monomer (VAM) in the "Western Hemisphere", which is understood to include the Americas and the Europe, Middle East and Africa region. Canada rail strike unlikely to begin before mid-to-late July, rail carrier CN says Rail carrier Canadian National (CN) estimates that a threatened rail strike in Canada is unlikely to begin before mid-to-late July, it said in an update on its website on Thursday. Mexico’s Altamira petchems force majeure declarations continue on severe drought Petrochemicals producers in the production hub of Altamira, in the Mexican state of Tamaulipas, keep declaring force majeure as a severe drought halved water supplies to industrial players. Brazil’s Braskem expects operations at Triunfo to normalize in ‘coming days’ Braskem’s operations at Triunfo in floods-hit state of Rio Grande do Sul are still yet fully normalized, despite the plant having restarted more than two weeks ago, a spokesperson said to ICIS on Wednesday. Pace of China chemical capacity additions unsustainable – Huntsman CEO The blistering pace of chemical capacity additions in China is likely to tail off, as the current wave is the result of prior planning during better times, the CEO of Huntsman said. IPEX: Index down for first time this year on weak demand in all regions The ICIS Petrochemical Index (IPEX) was down 1.2% in May month on month, as weak downstream demand paved the way for price declines in all regions. Protectionism and tariffs a key concern for US chemicals – ACC execs The increasing trend towards protectionism and tariffs is a key concern for the US chemical industry, said executives at the American Chemistry Council (ACC). INSIGHT: Mexico’s emissions, energy policy and Pemex main challenges for new president Mexico’s new – and first female – president Claudia Sheinbaum will have to decide soon into her term whether she changes course in two key aspects: energy policy and greenhouse gas (GHG) emissions, and the support for state-owned, indebted and underperforming energy major Pemex. Nylon recovery progressing but building and construction still weak – AdvanSix CEO AdvanSix continues to see a gradual recovery in nylon demand driven by automotive and packaging, but building and construction remains challenged, said the CEO of AdvanSix.

10-Jun-2024