Latin America stories: weekly summary

SAO PAULO (ICIS)–Here are some of the stories from ICIS Latin America for the week ended on 27 December.

NEWS
OUTLOOK ’25: LatAm chemicals pessimism persists as downturn could last to 2030
For many players within Latin America petrochemicals, 2025 will only be one more stop on the long downturn journey as, for many, the market’s rebalancing will only take place towards the end of the decade.

Colombia GDP to grow ‘close to 3%’ in 2025 – central bank
The Colombian economy picked up strength at the end of 2024, and higher spending on gross capital formation such as petrochemical-intensive public works and machinery could see “close to 3%” growth in 2025, according to the country’s central bank.

Peru declares state of environmental emergency on Petroperu’s oil spill
Peru’s Ministry of the Environment (MINAM) declared late on Wednesday an environmental emergency after state-owned crude producer Petroperu admitted to an oil spill five days ago.

Argentina’s consumers expect 2025 inflation to average 45% – poll
Argentinians are buying into the success story of inflation, which has sharply come down in 2024, and expect the annual rate to average 45% in 2025, its lowest level since 2021, according to an opinion poll by Buenos Aires’ University Torcuato di Tella.

Mexico’s manufacturing output up slightly in October, construction down 8.5%
Output in Mexico’s petrochemicals-intensive manufacturing’s output rose by 0.5% in October, year on year, but production in construction fell considerably, the country’s statistic office Inegi said on Monday.

PRICING
OUTLOOK ’25: LatAm PP supply to remain long amid squeezed margins
Latin America polypropylene (PP) is expected to remain oversupplied in the first half of 2025, with producers’ margins likely to remain squeezed.

OUTLOOK ’25: LatAm PE demand could finally improve from Q2 onwards
Latin American polyethylene (PE) demand should start slowly in 2025, but it could take a decisive turn for the better from Q2 onwards.

OUTLOOK ’25: Ample LatAm PS supply meets poor demand
The Latin American polystyrene (PS) market will continue facing headwinds in 2025 on the back of weak demand across the region combined with plentiful supply.