BARCELONA (ICIS)–ICIS is proud to reveal the winners of the 2025 ICIS Innovation Awards for companies that have made the greatest contribution to the industry’s future. The winners, selected from shortlists by a panel of independent judges, will celebrate their success along with the judges at London’s Savoy Hotel in November, where the overall winner will also be revealed. Congratulations to these companies that have led the way in chemical industry innovation across each of this year’s award categories. Best Digital Innovation, sponsored by Azelis: Dow Best Process Innovation from a large company: Johnson Matthey Best Process Innovation from a small to medium sized enterprise (SME): Future Origins Best Product Innovation from a large company: Verbio SE Best Product Innovation from a SME, sponsored by Indorama Ventures: GFBiochemicals Click here to see full details of the winning entries. ICIS Chemical Business deputy editor Will Beacham, who chaired the panel of judges said: “In the midst of extremely challenging market conditions, these companies are investing in their future, and providing solutions which help customers make the world a better place.” Click here to register your interest in the 2026 awards. Criteria for winning entries: Make sure your entry is concise, detailed and complete It should have the “Wow” factor Stage of commercialisation is important: judges admire innovations with “steel in the ground” Impact on society and the chemical industry: the broader the potential impact the better Evidence of partnerships along supply chains: these are important in the drive to net zero carbon To get the top award you need to offer something which is really different and truly innovative

LONDON (ICIS)–Here are some of the top stories from ICIS Europe for the week ended 8 August. Europe R-PP packaging demand remains high, but so does consolidation risk The European recycled polypropylene (R-PP) market remains sharply divided between end-uses with high regulatory pressure on sustainability, such as packaging, and end-uses primarily driven by cost-saving against alternatives, such as construction. This is likely to intensify as the market moves closer to 2030. Europe MTBE supply to remain supported by imports in H2 Looking ahead to the second half of 2025, the European methyl tertiary butyl ether (MTBE) market is expected to be remain supplied by imports, mostly from northeast Asia. Green transition an era-defining challenge for EU and Spain’s chems sector – union Adapting to the green economy will be the key, long-term challenge for the EU and Spain’s chemicals sector, while the current focus on energy costs is misplaced, according to Spain’s main trade union. OMV needs regulatory certainty before it can further scale up chemical recycling OMV needs a more secure regulatory environment before it is willing to risk further investment in scaling up its chemical recycling facilities, according to the company’s CEO. Europe MEG market unconcerned by plant shutdowns amid weak demand Lacklustre demand and oversupply will likely characterize Europe’s ethylene glycols (EG) markets through 2025, but sellers are hopeful that plant shutdowns, export opportunities and winter seasonality will provide some support.

SINGAPORE (ICIS)–Saudi Arabian producer Methanol Chemicals Co (Chemanol) is facing a lawsuit seeking Saudi riyal (SR) 73 million ($22.4 million) in relation to the 80% equity acquisition of specialty and fine chemicals manufacturer Global Company for Chemical Industries (GCI) in May 2024. The former owners of GCI, consisting of five plaintiffs, filed the lawsuit against the company before the Damman Commercial court, Chemanol said in a filing to the Saudi bourse, Tadawul, on 10 August. According to the statement of claim, a sale agreement was signed in May 2024 during the term of the former board of directors. Under the agreement, 80% of the shares in GCI – owned by the plaintiffs – were sold to Chemanol. The sellers are now demanding Chemanol to pay the remaining amount of the deal as per the share purchase agreement. “Regarding the expected financial impact, it cannot be determined at this stage. Any developments concerning this case will be announced in due course,” said Chemanol in a statement. “While Chemanol denies the claims made by the former owners of the Global Company for Chemical Industries and rejects any responsibility towards them, it is not possible at this stage to assess liability until the lawsuit is concluded,” the company added. In April 2025, Chemanol had hired a specialized legal firm to “study its legal position” regarding the acquisitions of both GCI and ADDAR Chemicals Company (ACC), along with the circumstances surrounding the two deals, concluded during the previous Board of Directors’ term. The 84% acquisition of ACC, valued at SR46.2 million, was completed in February 2024. ($1 = SR3.75)

Article 3 of a draft Energy Decree (“DL Energia”) seen by ICIS sets out measures to accelerate Italian data centre expansion The Italian Datacenter Association told ICIS it welcomed the decree’s aim of streamlining the authorization process for data centres An acceleration of Italian data centre deployment could increase national power demand in upcoming years, thus supporting wholesale electricity prices LONDON (ICIS)–The Italian government’s measures to speed up national data centre outbuild, as set out in Article 3 of a draft Energy Decree (“DL Energia”) which is expected to be implemented in August, have been described by the Italian Datacenter Association (IDA) as an opportunity for Italy to narrow the gap with FLAP-D markets. FLAP-D stands for Frankfurt, London, Amsterdam, Paris, and Dublin, a group of major European data centre markets. Floriano Monteduro, president of IDA’s energy technical committee, told ICIS that the association “welcomes the government’s draft energy decree, which has among its aims that of streamlining the authorization process for data centres—which can currently take as long as five years—through the introduction of a single environmental procedure with a maximum duration of 10 months.” Should the Energy Decree succeed in accelerating Italian data centre outbuild, data centres are expected to act as significant drivers of national electricity demand in upcoming years, thus potentially supporting wholesale electricity prices. ITALIAN DATA CENTRES According to a report published in July by the Italian energy and business ministries (MASE and MIMIT), installed data centre capacity in Italy currently amounts to 591MW. The report mentions that there are over 40GW of grid connection requests by data centre projects currently pending, 60% of which are concentrated in the northern regions of Piedmont and Lombardy. ICIS Long-Term Power Analytics is forecasting total Italian power demand to grow by 9.1% over the next five years, reaching 338.1TWh in 2030. REGIONAL DISTRIBUTION The draft Energy Decree, which was seen by ICIS, states that “it is necessary to ensure a uniform distribution of data centres across the country, including in the southern regions.” Grid connection requests by data centre projects are currently concentrated in the north of Italy. An Italian energy market expert told ICIS that the decree “aims to encourage data centre development in southern regions where high renewable and BESS [battery energy storage system] development is anticipated.” The energy market expert added that, should “article 1 of the decree successfully tackle virtual grid saturation, then the TSO will be able to reserve some of the freed-up connection capacity for data centres.” Francesco Taurino, cofounder of Data Felix, a 2MW edge data centre located in the region of Campania, told ICIS that “the energy decree certainly has the potential of accelerating data centre outbuild in Italy.” According to Taurino, tackling virtual grid saturation would help to encourage a more uniform distribution of data centres throughout Italy—in contrast to their current concentration in the Milan urban area—and “to ensure that existing facilities can serve current and future clients without the risk of overloading the grid.” An Italian market regulatory specialist was less optimistic about the decree’s chances of encouraging data centre outbuild outside of the north of Italy, telling ICIS that “data centres will continue to try and situate themselves close to customer demand and network cables, both of which are concentrated in the north.” However, the report published by MASE and MIMIT claims that a more uniform distribution of data centres throughout Italy is made possible by “the technological attractiveness of its regions, ensured by the presence of submarine fibre optic cable landing points, internet exchange points (IXPs), and an extra-high-voltage electricity grid.” ENERGY TRANSITION DRIVERS Though an acceleration of Italian data centre deployment will tend to increase national electricity demand and support power prices, Giulio Troncarelli, CEO of the energy consultancy firm Energy of Things, told ICIS that data centers have the potential of reducing energy consumption and acting as “drivers of the energy transition.” Troncarelli explained that “thanks to the data forecasting and optimization services made possible by data centres, energy-intensive consumers will be able both to reduce their total power demand and to shift part of their consumption onto hours in which grid demand is lower and electricity is cheaper and less carbon-intensive.”

SINGAPORE (ICIS)–Here are the top stories from ICIS News Asia and the Middle East for the week ended 8 August. S Arabia’s SABIC extends Q2 net loss on impairment charges, lower sales prices By Jonathan Yee 04-Aug-25 11:50 SINGAPORE (ICIS)–SABIC extended its net loss to Saudi riyal (SR) 4.07 billion ($1.08 billion) in the second quarter following a cracker closure at Teesside in the UK as well as lowered sales prices, the Saudi Arabian chemicals giant said on 3 August. OUTLOOK: Asia H2 synthetic rubber markets face weak downstream demand, upstream volatility By Ai Teng Lim 05-Aug-25 10:45 SINGAPORE (ICIS)–Spot prices in southeast Asia for synthetic rubber imports, from styrene butadiene rubber (SBR) to polybutadiene (PBR) and acrylonitrile butadiene rubber (NBR), are at year-low levels, as various macro-level developments are keeping downstream demand under pressure. OUTLOOK: Asia MEG to grapple with recovering supply, slow demand in H2 By Judith Wang 06-Aug-25 10:00 SINGAPORE (ICIS)–Asia’s monoethylene glycol (MEG) market is expected to struggle with recovering supply and weak demand in the second half of 2025, although poor margins may continue to lend some support. OUTLOOK: China MEG weighed by weak supply-demand fundamentals By Cindy Qiu 06-Aug-25 10:04 SINGAPORE (ICIS)–The recent clash in supply and demand in China’s monoethylene glycol (MEG) market has led to a stalemate and consolidation in pricing. OUTLOOK: Asia VAM losing shine as solar tariffs bite By Hwee Hwee Tan 07-Aug-25 10:17 SINGAPORE (ICIS)–Asia’s vinyl acetate monomer spot markets are expected to soften into the third quarter as demand from a key downstream sector slows, offsetting support from curtailed plant supply. Asia petrochemical market grapples with trade tensions, oversupply By Jonathan Yee 08-Aug-25 13:55 SINGAPORE (ICIS)–The Asian chemical industry is on edge as US tariffs, which activated on 7 August, will exacerbate longstanding oversupply and weak demand issues. OUTLOOK: US 19% tariff spurs short-term demand for Indonesian, Malaysian oleochemicals By Helen Yan 08-Aug-25 14:54 SINGAPORE (ICIS)–Major Asian oleochemical producers in Indonesia and Malaysia are seeing a pick-up in demand from the US following the 19% tariff announced by the US Trump administration – but it remains to be seen whether the US demand is sustainable in the longer term. INSIGHT: China to see notable H2 exports slowdown despite US tariff war de-escalation By Nurluqman Suratman 08-Aug-25 17:35 SINGAPORE–Despite higher-than-expected growth in the first half of the year and an easing of trade tensions with the US, China’s exports are projected to slow significantly in the latter half of 2025.

HOUSTON (ICIS)–Shipping container rates from Asia to the US fell again this week on softer demand now that the rush to import goods before tariffs take effect is over, and liquid tanker rates were mostly stable. On 6 August, the US announced it would impose additional tariffs of 25% on shipments from India, in response to its imports of Russian oil and petroleum products. The tariffs will take effect on 27 August and bring total tariffs to 50%. On 7 August, the modified US tariff rates went into effect. The new tariffs range from a baseline rate of 10% to 41%. Countries not mentioned in the order will be subject to a baseline 10% tariff. Rates from supply chain advisors Drewry fell by 7% from Shanghai to New York and by 4% from Shanghai to Los Angeles, as shown in the following chart. Since the big rush is now over to ship cargo before the tariff increases, Drewry expects spot rates to remain less volatile in the coming week. Rates from ocean and freight rate analytics firm Xeneta were down by 7% to the West Coast and by 12% to the East Coast. Peter Sand, chief analyst at Xeneta, said carriers have taken action to arrest the plummeting average spot rates on the Transpacific trade to the US West Coast through strong capacity management, with blanked sailings now almost double the level in mid-June. “The dramatic spot rate decline has slowed in August, so the stronger capacity management is having some success for carriers, but this is limited and not enough to stop the downward trajectory in coming months,” Sand said. “With significant overcapacity in the global container shipping fleet and a muted forecast for demand, keeping spot rates elevated will be like holding back the tide, no matter how hard carriers try.” Rates from online freight shipping marketplace and platform provider Freightos were largely flat to the West Coast and fell to the East Coast. Judah Levine, head of research at Freightos, agreed that the implementation of tariffs has not had much impact on rates since most goods have already been pulled forward. “Though a 90-day tariff extension for China could lead to some transpacific ocean demand rebound, here too frontloading to date likely means that the peak for the transpacific ocean peak season this year would still remain behind us,” Levine said. Container ships and costs for shipping containers are relevant to the chemical industry because while most chemicals are liquids and are shipped in tankers, container ships transport polymers, such as polyethylene (PE) and polypropylene (PP), are shipped in pellets. Titanium dioxide (TiO2) is also shipped in containers. They also transport liquid chemicals in isotanks. LIQUID TANKER RATES MOSTLY STEADY US chemical tanker freight rates assessed by ICIS were mostly unchanged week on week. Trade routes from the USG remain slow as several trade lanes are discussed slightly lower and inquiries continue to be slow. Cargo moving into Asia remains muted following the US imposed tariff announcements along this route taking effect. As a result, rates are stable from the previous week, the usual cargoes of methanol and ethanol were seen quoted in the market for end-August to early-September lifting. Meanwhile, rates from the USG to Rotterdam are experiencing the same trend, as this market also remains stable. Most of the regular carriers have noted that there is little prompt space; however, they did comment that plenty of space remains for 2H August. Should this trend continue, rates could be pressured even lower.  Large parcels of vegetable oils and methanol were quoted in the market. From the USG to Brazil, this market has remained relatively unchanged and is experiencing some downward pressure. While the market continues to be inactive it is further influenced by freight availability and a swing in trade lane dynamics. Demand remains soft, particularly for larger parcels further pressuring some downward movement. For the USG to India trade lane, the market remains extremely soft with plenty of space available and as outsiders entered the market. As a result, this has placed downward pressure on rates, which fell this week, and could fall further on the route if this persists. Several inquiries were seen for monoethylene glycol (MEG), methanol, ethanol and vinyl acetate monomer (VAM). ACCIDENT LEADS TO BRIEF CLOSURE OF MISSISSIPPI RIVER The Mississippi river just north of St Louis was closed to commercial traffic on Thursday after a helicopter crashed into a barge, killing two people. The barge was carrying ethylene glycol, but not a large enough quantity to impact supply/demand balances. The Mississippi river is a major shipping waterway for crops and other goods. It reopened on Thursday night near Alton, Illinois, except for in a safety zone that extends 450 feet from the shore between mile marker 199.5 and mile marker 200.5, according to the US Coast Guard. Additional reporting by Kevin Callahan and Melissa Wheeler

HOUSTON (ICIS)–In this podcast, join the ICIS global base oils team as they discuss the key drivers impacting the market in H2. Weaker crude complex to weigh on costs Group II supply poised for length Demand weakness persists

HOUSTON (ICIS)–Braskem is in talks with Unipar Carbocloro about a possible deal involving assets, equity interests or both, the Brazilian polyolefins producer said on Friday. Braskem said there are no details about the assets or equity interests involved. It acknowledged a media report that said the possible transaction could involve assets in the US, where Braskem owns plants that make polypropylene (PP) and ultra-high molecular weight polyethylene (UHMW-PE). Unipar Carbocloro, a vinyls producer, had earlier made a non-binding offer for a majority stake in Braskem in 2023. BRASKEM ALSO HOLDING TALKS WITH TANUREBraskem is also holding talks with Nelson Tanure’s investment fund Petroquimica Verde, which has made an offer to acquire Novonor’s stake in the company. Novonor holds a 38.3% stake in Braskem and owns 51.1% of its voting rights. Novonor has been trying to sell its shares in Braskem for years. It needs to make some kind of deal to fulfil the commitments it made to creditors before and during its bankruptcy, which occurred in the wake of the Lava Jato corruption scandal. Tanure has businesses involved in power companies; civil construction through its firm Gafisa; oil and gas through PetroRio and investments in the exploration of natural resources; telecommunications, with participations in operators Oi and TIM Brasil; and healthcare, with Alliance Health and diagnostic laboratories, among others. The negotiations with Tanure had become entangled with Petrobras, the state-controlled energy producer that holds a 36.1% stake in Braskem and owns 47% of the company’s voting rights. Additional reporting by Jonathan Lopez Thumbnail shows a Braskem booth. Image by ICIS

Germany’s 2.5GW offshore wind auction failed to attract any bids Market participants believe this failure could jeopardise Germany’s target of 30GW offshore wind by 2030 Industry urges government to reform auction design with support of two-way CFDs LONDON (ICIS)– For the first time, a German offshore wind tender failed to attract any bids. Now market participants are warning this could lead to reduced volumes in future offshore wind tenders, potentially impacting capacity targets for 2030. On 6 August, the German Federal Network Agency (BNetzA) announced no bids were received for two of its offshore wind sites in the North Sea, totalling 2.5GW of capacity. The tender was for the investigated areas of N-10.1 and N-10.2, with volumes of 2,000MW and 500MW and planned commissioning dates of 2031 and 2030, respectively. THREAT FOR FUTURE OFFSHORE WIND CAPACITY One German power trader told ICIS that as a result of the failed auction, volumes for future offshore wind tenders could possibly be reduced. A German power analyst shared a similar view, noting that the outcome could help prompt a revision of Germany’s 2030 offshore targets to be lowered in this year’s energy monitoring report, expected at the end of August 2025. “I assume there will be a reduction in capacity. Nevertheless, a timely revision is needed in order to achieve even lower targets,” the analyst said. ICIS long-term power analytics currently projects installed German offshore wind capacity to reach 25GW by 2030, 5GW short of the 2030 national target. The same analyst explained that lower offshore wind targets would generally have a pronounced bullish impact on the far end of the curve, but added that a downward correction of projected electricity demand for 2030 would almost neutralise the effect. A weak industrial demand and slow growth in e-mobility and heat pumps could potentially deteriorate demand forecasts for the coming years. On 7 August, ICIS assessed the German Baseload Cal ’27, Cal ’28 and Cal ’29 power contracts at €80.975/MWh, €73.100/MWh and €71.275/MWh, respectively. CALLS FOR AUCTION DESIGN REFORM In a response to request for information, BNetzA told ICIS it had “no information on motivations that caused potential bidders to refrain from submitting bids,” while the German Federal Ministry for Economic Affairs and Energy (BMWE) stated it was reviewing the outcome and would engage with stakeholders. Although no official reasons have been given, a spokesperson from the German Federal Association for Offshore Wind Energy (BWO) told ICIS that key factors included: excessive risk exposure from permitting uncertainty, rising costs and grid delays, the absence of a revenue stabilization mechanism like Contracts for Difference (CFDs), and misalignment between tender schedule and long lead times of offshore projects. “The postponed auction is, of course, a disaster for offshore wind power, but it can still be seen as a predictable failure,” said the German power analyst. The same analyst acknowledged that economic factors and technical issues in the tender areas likely contributed to the auction results, but highlighted that the auction design might have played a more significant part, noting “the UK has shown that potential investors are ready to step in if the auction system is right.” Nonetheless, the same source noted CFDs also have problems and should not be viewed as a sole solution. Germany’s offshore wind tenders currently use a negative bidding model, while the UK uses two-way CFDs – a model which offshore industry experts have previously said would help de-risk projects and provide a reliable revenue stream for offshore wind in Germany. Although the UK has seen some success for offshore wind in CFD auctions, with 3.4GW awarded to new offshore wind projects in the most recent auction held in 2024, the UK has introduced reforms to the scheme ahead of the seventh auction round. On the same day of the announcement, lobby groups such as Wind Europe and the BWO urged the German government to reform its auction design, stressing the need for a reliable CFD system. Denmark, which similarly failed to attract bids for its 3GW offshore wind tender in December 2024 and also used negative bidding model, recently announced it would re-tender the capacity using two-way CFDs.