HOUSTON (ICIS)–Canadian fertilizer developer Millennial Potash, which is advancing the Banio Potash project in Gabon, announced it has achieved progress at both the Mengali port construction site and the new thermal electricity plant. The company said the port and power generation station represent critical infrastructure enhancements and are integral for a successful potash project, with the Mengali port a key part of the Grande Mayumba Programme, a joint venture for sustainable development between the Republic of Gabon and the African Conservation Development Group. Currently international construction firm Covec Gabon is undertaking earthworks for the port with development set to proceed in phases, but it will eventually be able to accommodate barges and landing craft. Future phases will involve constructing a mineral terminal, storage area, and stacker reclaimer with a conveyor system for loading large ocean-going vessels. It is expected to provide a vital infrastructure link for the Banio project as it would allow for export of bulk potash to overseas markets. Millennial said construction has commenced on a thermal power generation station located south of Mayumba, near the airport, with present work including foundation construction within the facility compound. The power station is scheduled to arrive by barge at Mengali port later this year and is expected to be installed and operational by mid-2025. The construction of the first phase, with a capacity of 8.5 megawatts, is expected to be completed in July 2025. The power plant project is under the direction of contractor Nuez et Fils and it is estimated that the total investment will be approximately $125 million. The company said the new power plant at Mayumba is viewed as a major infrastructure advancement for the region and this new reliable power source is expected to stimulate regional development. “These infrastructure developments are crucial for advancing the project and enhancing the economic viability of our proposed solution mining and conventional processing methods for potash production. The construction of the port and power plant, along with the associated infrastructure, will significantly mitigate risks related to future mining, processing, and shipping operations,” said Farhad Abasov, Millennial Potash chair. “Millennial remains committed to supporting the Gabonese government’s efforts to develop infrastructure in southern Gabon and will keep shareholders informed on the progress of these projects.” The Banio project is in the south-west corner of Gabon, approximately 450 km south of Libreville along the Atlantic coast. The maiden mineral resource estimate showed an indicated mineral resource estimate of 656.6 million tonnes at a grade of 15.9%, with an inferred mineral resource estimate of 1.15 billion tonnes at a grade of 16%.

HOUSTON (ICIS)–The US harvest is nearly over with corn now at 95% and soybeans having reached 96% completed according to the latest US Department of Agriculture (USDA) weekly crop progress report. The pace of corn harvest is ahead of both the 86% level achieved in 2023 and the five-year average of 84%. All the reporting states for corn are at 90% completed except for Pennsylvania at 67%, Colorado at 82% and Wisconsin at 89% of their acreage concluded. Soybean harvesting has climbed to 96%, which is above the 94% rate from last season as well as the five-year average of 91%. All the reporting states for soybeans are at 90% completed except for North Carolina at 53%, Kentucky at 83% and Tennessee at 89% of the crop done. In other harvesting updates the USDA said there is now 71% of the cotton crop done with sorghum acreage 91% completed.

TORONTO (ICIS)–The Port of Vancouver and other Canadian West Coast ports as well as the Port of Montreal were preparing on Wednesday to resume operations, but the exact timeline remains unclear, officials said in updates. The government on Tuesday directed the Canada Industrial Relations Board (CIRB) to order the resumption of all operations at the ports and to settle pending labor disputes through binding arbitration. It may take a couple of days before operations at the ports resume, according to the country’s labor minister. The CIRB is an independent agency with its own procedures. The Port of Vancouver acknowledged the government intervention but said that a timeline for full resumption of impacted operations has yet to be determined. The Port of Montreal said that cargo handling activities would gradually resume over the coming days, subject to when the CIRB issues its order. It would take several weeks to clear terminal backlogs and restore the fluidity of supply chains, it added. Labor disruptions at Vancouver and the other West Coast ports were at their 10th day on Wednesday, and at Montreal they were at their 14th day. In the chemical industry, trade group Chemistry Industry Association of Canada (CIAC) welcomed the government intervention. More than Canadian dollar (C$) 22 million ($15.7 million) of chemistry and plastic products was traded through Vancouver and other West Coast ports each day in 2023, for a total of C$8 billion for the year, CIAC said. This includes products that go into making chlorine and related products for municipal drinking water and exports of organic chemicals and resins to global markets, it said. The government needed to do more to avoid “harmful disruptions to our trade infrastructure”, said CIAC president and CEO Bob Masterson. Canada has a limited number of ports that are capable of handling large container ships that are capable of shipping goods to foreign markets, he said. “Continued disruptions signal the wrong message to our trading partners and companies who want to invest in Canada: that Canada cannot be relied on to get their products where they need to go,” he said. Meanwhile, the unions representing the port workers said they would challenge the government’s intervention in the disputes in court. Earlier, another labor union, Teamsters Canada Rail Conference (TCRC), filed a court challenge against the government’s move in August to intervene and end a freight rail labor dispute. That case has not yet been decided. The unions argue that the government interventions violate workers’ rights to strike. ($1=C$1.4) Thumbnail shows containers that are commonly handled in ports. Image by Costfoto/NurPhoto/Shutterstock

HOUSTON (ICIS)–European ethylene producers could be planning more cracker shutdowns, with the lost capacity being replaced by imports from the US. US ethylene export capacity is being expanded. Midstream companies are adding more US capacity to process the feedstock used to make ethylene. Outside of chemical feedstock, midstream companies see potential growth from energy demand from data centers. EUROPE MAY SHUT DOWN MORE CRACKERSUS-based midstream company and ethylene exporter Enterprise Products hinted that more shutdowns were possible beyond the ones announced this year by ExxonMobil, SABIC and Versalis. “We’ve heard from a lot of the chemical companies that they are doing strategic reviews of their European assets,” said Christopher D’Anna, senior vice president, petrochemicals. He made his comments during an earnings conference call. “So, we expect to see some closures, and we expect that to lead to additional ethylene exports going that way,” D’Anna said. Among the region’s crackers that rely predominantly on naphtha, most produce less than 700,000 tonnes/year of ethylene, which prevents them from benefiting from economies of scale, according to ICIS data. Europe’s elevated energy costs pile on the problems faced by these smaller naphtha crackers. US INCREASING ETHYLENE EXPORT CAPACITYUS ethylene exports surged in 2020 after Enterprise Products and Navigator Gas started shipping material out of their joint venture terminal at Morgan’s Point, Texas. That terminal can export 1 million tonnes/year of ethylene. By the end of 2024, the two will complete an expansion project that can handle ethane or ethylene. If dedicated to ethylene, the expansion can export up to 500,000 tonnes/year of ethylene, bringing the total to 1.5 million tonnes/year. By the end of 2025, Enterprise and Navigator will complete another expansion at Morgan’s Point, which will add even more flexible capacity. If dedicated to ethylene, this expansion could export up to 1.5 million tonnes/year of ethylene. In all, the Morgan’s Point terminal could export up to 3 million tonnes/year of ethylene if it chooses to dedicate all of its flexible capacity to ethylene. As new Enterprise ethane capacity comes online during 2025 and 2026, additional flex train capacity can be utilized for ethylene. In addition, Navigator has ordered two carriers that can each carry 48,500 cubic meters of liquid ethylene, with delivery scheduled for March 2027 and July 2027. The carriers have the flexibility to carry ethane, ammonia or liquefied petroleum gas (LPG). EXPORTS AND US ETHYLENE BALANCEIf Enterprise and Navigator decide to maximize ethylene exports at its Morgan’s Point terminal, it would likely tighten the US market, since the new crackers being proposed and built are integrated with downstream units. But D’Anna’s comments raises an interesting scenario. Europe may be willing to import ethylene to preserve its downstream units and its manufacturing base. In the future, US chemical producers could add ethylene capacity to serve a global ethylene market. Growing supplies of low-cost feedstock ethane in the US could make such a global ethylene market possible. ETHANE SUPPLIES CONTINUE GROWING IN THE USEthane produced from natural gas processing plants should reach 2.74 million bbl/day in 2025, steady from 2024, according to the Short Term Energy Outlook from the Energy Information Administration (EIA). US oil and natural gas production should also continue increasing, with oil reaching 13.54 million bbl/day in 2025, and dry natural gas reaching 104.62 billion cubic feet/day, according to the EIA. As oil and natural gas production is set to rise steadily over the next two years, ethane output from processing plants is also projected to increase, according to Kojo Orgle, feedstock analyst for ICIS. Orgle monitors the US markets for ethane and other petrochemical feedstock. With limited growth in domestic ethane consumption as a petrochemical feedstock, additional supply will need to be directed toward exports. Consequently, the ethane market will rely heavily on expansions in US waterborne NGL export capacity. Ethane supplies hit record highs this year and may continue to grow if new outlets do not keep pace with production. OTHER MIDSTREAM DEVELOPMENTSEnterprise noted future demand for natural gas from data centers being built in Texas and from new power plants being developed under the recent Texas Energy Fund. Energy Transfer Partners is pursuing similar opportunities for power plants and data centers throughout its natural gas network, from Arizona to Florida and from Texas to Michigan. Energy Transfer received requests to connect to about 45 power plants in 11 states that could consume gas loads of up to 6 billion cubic feet/day. For data centers, Energy Transfer received requests from 40 that could consume gas loads of up to 10 billion cubic feet/day. EnLink Midstream said data centers could represent at least 7.5% of US electricity consumption by 2030, up from 2.5%. With rising natural gas demand from data centers and continued capital discipline among producers, natural gas prices are projected to rise in 2025 and in 2026, Orgle said. Such demand growth could provide support for natural gas prices, which could raise prices for ethane. If US ethane export capacity does not grow fast enough to drive substantial ethane disposition, increased ethane rejection may occur as higher natural gas prices boost ethane’s fuel value, Orgle said. MIDSTREAM PROJECTS The following table shows some of the midstream projects being developed in the US. Company Project Type Capacity Units Location Startup Brazos Midstream Sundance I Gas Plant 200 million cubic feet/day Martin County Oct-24 Brazos Midstream Unnamed Gas plant 300 million cubic feet/day – H2 2025 Delek Unnamed Gas Plant 110 million cubic feet/day Delaware H1 2025 Durango Midstream Kings Landing, Phase I Gas Plant 200 million cubic feet/day Eddy County, NM Q4 24 Durango Midstream Kings Landing, Phase II Gas Plant 200 million cubic feet/day Eddy County, NM na Energy Transfer Frac IX Fractionator 165,000 bbl/day Mont Belvieu Q4 26 Energy Transfer Badger Gas Plant 200 million cubic feet/day Delaware mid 25 Energy Transfer Permian processing expansions* Gas Plant 200 million cubic feet/day Permian Energy Transfer Expansion of Nederland NGL terminal Terminal Up to 250,000 bbl/day Nederland, Texas mid 25 Energy Transfer Expansion of Orla East Gas pPlant 50 million cubic feet/day Orla, Texas Q3 24 Entergy Transfer Lonestar Express Expansion Pipeline 90,000 bbl/day 2026 Enterprise Fractionator 14 Fractionator 195,000 bbl/day Mont Belvieu Q3 25 Enterprise Mentone West (Mentone 4) Gas Plant 300 million cubic feet/day Delaware Q3 25 Enterprise Mentone West 2 Gas Plant 300 million cubic feet/day Delaware h1 26 Enterprise Mentone 3 Gas Plant 300 million cubic feet/day Delaware in service Enterprise Leonidas Gas Plant 300 million cubic feet/day Midland In service Enterprise Bahia NGL pipeline Pipeline 600,000 bbl/day Q3 25 Enterprise Neches River Terminal (NRT), phase 1 Terminal 120,000 ethane, 900,000 refrigerated tank Q3 25 Enterprise Neches River Terminal (NRT), phase 2 Terminal add 60,000 ethane to raise total to 180,000, Propane 360,000 H1 26 Enterprise Ethylene Export Expansion* Terminal 550,000-2m tonnes/year Q4 24 & Q4 25 Enterprise Orion Gas Plant 300 million cubic feet/day Midland Q3 25 Enterprise Enterprise Hydrocarbons Terminal (EHT) LPG expansion Terminal 300,000 bl/day Houston Ship Channel end 2026 Gulf Coast Fractionators JV * GCF Fractionator Fractionator 135,000 bbl/day Mont Belvieu 24-Nov Moss Lake Hackberry NGL Project Terminal 315,000 bbl Calcesieu Ship Channel NA Moss Lake Hackberry NGL Project Fractionator 300,000 bbl Calcesieu Ship Channel NA MPLX Preakness II Gas Plant 200 million cubic feet/day Delaware started up MPLX Secretariat Gas Plant 200 million cubic feet/day Delaware H2 25 MPLX Harmon Creek II Gas Plant 200 million cubic feet/day Marcellus started up MPLX Harmon Creek III Gas plant 300 million cubic feet/day Marcellus H2 26 MPLX Harmon Creek III de-ethanizer 40,000 bbl/day Marcellus H2 26 MPLX BANGL pipeline** Pipeline expansion from 125,000 to 250,000 bbl/day Q1 25 ONEOK MB-6 Fractionator Fractionator 125,000 bbl/day Mont Belvieu year end 24 ONEOK West Texas NGL Pipeline Expansion Pipeline increase to 740,000 bbl/day year end 24 ONEOK Elk Creek Pipeline Expansion**** Pipeline increase to 435,000 bbl/day Q1 25 ONEOK Medford Fractionator rebuild Fractionator 210,000 bbl/day Medord, Oklahoma Q4 26, Q1 27 Targa Train 9 Fractionator Fractionator 120,000 bbl/day Mont Belvieu started up Targa Train 10 Fractionator Fractionator 120,000 bbl/day Mont Belvieu started up Targa Train 11 Fractionator Fractionator 150,000 bbl/day Mont Belvieu Q3 26 Targa Greenwood Gas Plant 275 million cubic feet/day Midland Q4 23 Targa Greenwood II Gas Plant 275 million cubic feet/day Midland started up Targa Wildcat II Gas Plant 275 million cubic feet/day Delaware Q2 24 Targa Roadrunner II Gas Plant 230 million cubic feet/day Delaware started up Targa Bull Moose Gas Plant 275 million cubic feet/day Delaware Q2 25 Targa Pembrook II Gas Plant 275 million cubic feet/day Midland Q4 25 Targa Daytona NGL Pipeline Pipeline 400,000 bbl/day Completed Targa LPG Export Expansion Terminal 1m bbl/month Q3 23 Targa Galena Park LPG terminal expansion Terminal 650,000 bbl/month H2 25 Targa Falcon II Gas Plant 275 million cubic feet/day Delaware Q2 26 Targa Bull Moose II Gas Plant 275 million cubic feet/day Delaware Q1 26 Targa East Pembrook Gas Plant 275 million cubic feet/day Midland Q2 26 Targa East Driver Gas Plant 275 million cubic feet/day Delaware Q3 26 Insight article by Al Greenwood Thumbnail photo: Polymer pellets (source: Shutterstock)

SINGAPORE (ICS)–China’s Energy Law that will take effect in January 2025 is expected to drive investments in the domestic hydrogen sector as it will provide further policy support, and enable technological developments aimed at expanding the scope of hydrogen applications. Under the law, hydrogen will no longer be classified as a dangerous chemical product, thus, removing restrictions around its applications, production and storage. China’s hydrogen sector is currently in the demonstration phase, mainly focusing on commercial vehicle application. When the new legislation kicks in, hydrogen production and refuelling stations and storage facilities will be allowed outside designated chemical parks, and that is expected to address infrastructure gaps in the sector. Hefty transportation cost due to lack of hydrogen refuelling stations and long-distance pipelines has been one of the key bottlenecks that impede hydrogen adoption in China. Storage and transportation account for about 30% of end-use hydrogen costs, limiting hydrogen applications in urban public transport and long-haul sectors. With the new energy law, development of the Chinese hydrogen sector is expected to gain pace between 2026 and 2030. (See ICIS Hydrogen Topic Page for details) The China Energy Law was approved on 8 November at the 12th session of the Standing Committee of the National People’s Congress (NPC), China’s top legislature. It fills a legislative gap since China – despite being the world’s largest energy producer and consumer – had long lacked an overarching energy law. Currently, there are several standalone energy-related laws and regulations in the country, including the Electricity Law, the Coal Law, the Energy Conservation Law, and the Renewable Energy Law, but lacked a legislation that covers the whole energy industry until now. The recently launched Energy Law will provide a much-needed framework for strengthening the legal foundation of the energy sector, ensuring national energy security and promoting renewable and low-carbon transformation. The law includes nine sections, covering stipulations on energy planning, development and utilization, energy market systems, energy reserves and emergency measures, energy technology innovation, supervision and management, legal responsibilities, supplementary provisions. Insight article by Patricia Tao and Yu Yunfeng

SINGAPORE (ICIS)–Shares of petrochemical companies in Asia extended losses on Wednesday, tracking weakness in regional bourses, amid a strong US dollar and uncertainty over trade policies of US President-elect Donald Trump which could fuel inflation. At 04:00 GMT, LG Chem fell by 4.75% in Seoul, while Mitsui Chemicals and Asahi Kasei were down by 2.90% and 0.88%, respectively, in Tokyo. Formosa Petrochemical Corp (FPCC) was down 1.79% in Taipei, while Sinopec Corp slipped 0.47% in Hong Kong. Japan’s benchmark Nikkei 225 Index was down by 1.01% at 38,978.11; South Korea’s KOSPI Composite fell by 1.91% to 2,435.04; and Hong Kong’s Hang Seng Index slipped by 0.63% to 19,721.58. Sentiment toward Asian equities has shifted to caution following Trump’s re-election on concerns that his policies will drive up inflation and prevent the US Federal Reserve from cutting interest rates further. The broad dollar index (DXY) rose further on 12 November to its highest since November 2022, according to Singapore-based UOB Global Economics & Markets Research. The DXY, which measures the greenback against six peers, inched up 0.05% on Thursday to 105.97. A stronger US dollar makes imports more expensive for Asia, fueling inflation, and higher borrowing costs for the region. Japan and China rely heavily on imports for their energy and raw material needs. The South Korean won continued to slide against the greenback on Thursday, hovering above the psychologically important level of won (W) 1,400 at W1,406.57 to the US dollar. The Japanese yen (Y) also touched a fresh low since 30 July on Thursday and was trading at around Y154.8 to the US dollar. Thumbnail image: US dollar banknotes, 19 September 2024 (Costfoto/NurPhoto/Shutterstock)

HOUSTON (ICIS)–Warnings from chemical companies about upcoming auto shutdowns are becoming true, with Nissan becoming the latest automobile producer to announce reductions in its workforce and global production capacity after slashing its forecast for operating profits during its current fiscal year. Chemical producers have warned that automobile producers had started taking unscheduled and prolonged downtime in the third quarter, and the trend will continue in the fourth quarter. For Celanese, the downturn was sudden and painful, especially for its Engineered Materials segment, contributing to a big Q3 miss in its earnings and a decision to temporarily idle plants in the fourth quarter. Trinseo, which also makes engineered materials, expects a lot of its customers will shut down operations during the fourth quarter. The latest ICIS auto forecast still expects builds to increase in 2024. The rate of growth will slow in 2025. Automobiles represent a key end market for plastics and chemicals because nearly every component has some chemistry. The latest data indicate that polymer use is about 423 pounds (192kg) per vehicle. Chemicals are also used to make antifreeze and other fluids, catalysts, coatings and adhesives. AUTO CUTBACKS SO FARNissan plans to cut global production capacity by 20% and reduce its workforce by 9,000. The move is part of a plan to reduce fixed costs by 300 billion yen and variable costs by 100 billion yen when compared to its fiscal 2024, which will end on 31 March. Nissan has slashed its outlook for fiscal year 2024, as shown in the following table: Revised FY 24 Outlook Previous FY 24 Outlook Revenue 12,700.0 14,000.0 Operating profit 150.0 500.0 Source: Nissan Stellantis is cutting 1,100 jobs at its US plant in Toledo, Ohio, which produces Jeep vehicles, according to a report by the Wall Street Journal, a business publication. In the late summer, it reported Stellantis’s plans to lay off 2,450 workers in Michigan state after it decided to end production of a truck model. Volkswagen has called for a 10% pay cut for workers in Germany in order to ensure its competitiveness and safeguard jobs. According to media reports, the auto major may close three of its 10 plants in Germany and cut thousands of jobs. Additional reporting by Stefan Baumgarten Thumbnail shows automobiles. Image by Costfoto/NurPhoto/Shutterstock.

SAO PAULO (ICIS)–A potential US import tariff of 10% on Mexican goods is looming large on the country’s export and petrochemicals-intensive manufacturing sectors, but it is early days and the worries are premature, according to the head of institutional relations at polyethylene (PE) producer Braskem Idesa. Sergio Plata, who is also the president of the Association of Industrialists of Veracruz State (Aievac), home to a large petrochemicals hub, added that Mexico is not only a supplier to the US – the country exports around 80% of what it produces to the US – but it is also a key consumer of US goods. Plata said this will be a crucial factor that will allow Mexico to renegotiate the United States-Mexico-Canada Agreement (USMCA) from a position of strength when it is up for renewal in 2026. Although the focus in the past week has been on how Mexico could be hit by tariffs when Trump becomes US president – with some analysts forecasting a negative impact of 0.5-1% of GDP in a full year – Plata made a call to stay calm and carry on – for now. He argues that the tariffs will not be imposed overnight, saying that such topics are likely to be addressed within the context of the USMCA renegotiation, in more than a year’s time. Moreover said Plata, in Donald Trump’s first term, he ended up dropping some campaign promises under pressure from different lobby groups, not least businesses which could see input costs spike if new tariffs are implemented. “These [proposals would be] important challenges for Mexico, and I believe 2026’s USMCA renegotiation will be key for the entire North America so we can continue being and become more competitive,” said Plata. “Regarding tariffs, at this time we can only wait until the parties sit at the negotiating table, so we can have a dialogue with the US government. What I can certainly say is that NAFTA first and now USCMA have greatly served the three countries, a success which we should not measure only based on the trade balance.” The US trade balance – or deficit – is a key theme running through Trump’s tariff proposals as he wants to re-invigorate the US manufacturing sector, and produce as much as possible domestically. Indeed, the US consistently runs a large trade deficit with China and Mexico, its two main sources of manufactured goods. In 2022, Mexico exported goods worth $452 billion to the US, according to data from Comtrade via Trading Economics; the US, in turn, exported goods worth $323 billion to Mexico – a difference of nearly $130 billion. According to Plata, nothing is written about tariffs, at least within the USMCA, and issued a reminder of what happened when the USCMA was first signed, as a successor to NAFTA after Trump’s first administration demanded changes to a free trade deal it deemed disadvantageous. Despite the furore, tariffs were kept off the table because the US government eventually saw that tariffs within the USCMA would also negatively affect its own companies. Whether an emboldened Trump, with a clear popular mandate to implement his promises, will also give in this time remains to be seen. “We would be going too far ahead of ourselves if we already think a 10% tariff on Mexico will be imposed. We Mexicans must now make it clear to the US that the commercial relationship should not only be measured on the trade deficit, but rather on what Mexico gives to the US as well, and not just the other way around,” said Plata. “Because Mexico also generates North America-wide economic development. I can speak for what I know best and only in this region, only in the south of the state of Veracruz, we import from the US around 1.3 million tonnes/year of chemicals and petrochemicals, resulting in billions of imports. The figures are important both ways and this will be brought to a potential negotiating table.” SHEINBAUM AND TRUMPA fascinating aspect for the years to come will be the personal relationship between the US and Mexican presidents, if any – Trump and Claudia Sheinbaum could not be more different ideologically. Sheinbaum’s backing of a supermajority in parliament of two-thirds may cause further friction going forward on top of that caused by the approval on 11 September of a controversial judicial reform which is opposed from many fronts. The US ambassador to Mexico has publicly sounded the alarm about Morena’s judicial reform (see statement here), as did the US chemicals trade group the American Chemistry Council (ACC) and nine other industrial peers who wrote to the US cabinet to “convey their concern” about the proposals. “Regarding the judicial reform, we have the basis for the state of law in the Constitution, and that is a framework that provides certainty,” said Plata. “The devil is in the details, and in coming weeks and months we’ll evidently have to pay attention in the secondary stages of the reform’s debate in parliament, which must be open to listen to the specialists,” said Plata. The Braskem Idesa executive preferred to bring the conversation back to Mexico’s 2026 challenge. One-party Morena reforms allowing, Plata said the current Mexican cabinet would head into a potential USMCA renegotiation in a strong position. “We are in a good position to negotiate, now more than ever, and this is because as a country we are in much better place than we were at in 1994, when Mexico signed NAFTA. At the time, the US and Mexico did not have the solid trade relationship they have today,” he said. “On the Mexican side, many things have changed for the better. Since the 1990s, we have signed more than 50 free trade agreements (FTAs) and the state has now excellent trade negotiators. As an industry and as a country, we are well prepared to sit at the table and reach a good outcome in 2026.” – ICIS will publish on Wednesday (13 November) the second part of this interview, focusing on Sheinbaum’s domestic policies towards chemicals. As President-Elect, she approached the industry and travelled to its Veracruz hub, gaining praise from Plata as well as other industrial groups. As President, is she keeping up that focus on fostering chemicals? Plata said she is – Read this Insight article for wider analysis on how new trade policies in the US could hit the Mexican economy Interview article by Jonathan Lopez

LONDON (ICIS)–The Netherlands court ruling mandating that Shell cut its total carbon emissions by 45% by 2030 has been thrown out, the oil and gas major said on Tuesday. The original 2021 verdict had mandated that Shell’s emissions reduction targets also apply to its scope 3 emissions, which relate to the CO2 generated by customers downstream of a business from the use of its products. At the time of the original case, Shell has pledged to cut emissions by 50% compared to 2016 levels by 2030, but that target only referred to scope 1 and 2 emissions. Th company shifted its tax base to the UK and dropped the “Royal Dutch” from its name shortly after the original verdict. The Netherlands’ Court of Appeal in the Hague overturned the ruling on Tuesday. In a written statement on the verdict, the court stated that the decision to overturn the original verdict due to “insufficient consensus in climate science on a specific reduction percentage to which an individual company like Shell should adhere.” “The court was unable to establish that the social standard of care entails an obligation for Shell to reduce its CO2 emissions by 45%, or some other percentage,” the court added. The original case was brought by Dutch environmental group Milieudefensie. The push for Shell to cut scope 3 emissions by 2030 would be unlikely to have a substantial impact on overall national emissions-reduction, the court added. “Shell could meet that obligation by ceasing to trade in the fuels it purchases from third parties. Other companies would then take over that trade. This would consequently not result in a reduction in CO2 emissions,” the court said. Shell estimates that by 2023 it had achieved 60% of its target to cut scope 1 and 2 emissions in half by 2030. Thumbnail image: The Hague Court of Appeal rules on the Shell emissions-reduction case on 12 November (Source: Hollandse Hoogte/Shutterstock)