Major US Jan-Oct chem exports rise 22%, imports fall 3%

HOUSTON (ICIS)–Eight US petrochemicals continued to push US exports higher with solid double-digit gains during the first 10 months of this year, according to statistics tracked by ICIS.

Five polymers, methanol, styrene and ethylene glycol (EG) accounted for 83% of all chemical exports, with the three major grades of polyethylene (PE) generating year on year gains of 44-45% each and EG more than doubling.

In the following graphic, the year-to-date (YTD) figures cover January through October.

Exports of the 15 major chemicals tracked by ICIS rose by 22% in January through October versus the same time last year.

Trade tensions between the US and China could start easing soon as the two countries are said to be close to a trade deal.

But the conflict has prompted a realignment of global trade flows this year, especially in PE, with the US increasing export sales to Europe, southeast Asia and Latin America because of dwindling export opportunities to China from additional tariffs on US material.

Meanwhile, imports continued to drift lower, with the shipments to the US of major chemicals declining a little more than 3% in the first 10 months this year as the domestic chemical plant buildup continues.

Such growth has fuelled an olefins and polyolefins boom in the US. The American Fuel & Petrochemical Manufacturers (AFPM) has said that its members are building at least 11 new ethylene plants in the US during 2018-2021, with PE capacity expected to grow by over 30%.

The installation of new domestic methanol plants will soon make the US a net exporter of the material, although it most likely will be 2020 before that happens. US methanol imports in October year to date totalled a little more than 2m tonnes, while exports ran at 1.7m tonnes, according to ICIS.

Additional reporting by Jessie Waldheim and Zachary Moore
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