Daily Chemical Reactions

Sector Per-Unit Profit Trends Robust, Producers Set To Battle Degradation As Supply Chains Normalize
April 28, 2021
Commodities Mentioned:
Plastics (PVC, PP, PE, PS, PET, etc.), Methanol, Acetic Acid, Isocyanates, Caustic Soda, Carbon Dioxide, Hydrogen, Methanol, Natural Gas/NGLs, Crude/Naphtha
Companies Mentioned:
3M, Avantor, Axalta, Covestro, Huntsman, BASF, Dow, DIC, Entegris, Kemira, LG Chem, LyondellBasell, McDermott, Olin, Westlake, Occidental, Shin-Etsu, Formosa Plastics, Repsol, S-Oil, Aramco, Sika, Symrise, Tikkurila, Tokuyama, Methanex, Natgasoline, Southern Chemical

Daily Chemical Reaction

Sector Per-Unit Profit Trends Robust, Producers Set To Battle Degradation As Supply Chains Normalize

Key Points:

  • Commodity chemical per-unit profit postings remain robust in 1Q reports – we flag recent polyurethane trends at Covestro & ECU trends at Olin.  
  • We frame the Methanex North America methanol contract nomination for May relative to US & Asia spot prices, & historic contract premium trends.
  • We highlight pertinent chemical sector corporate items (e.g., 3M, Covestro, LG Chem, Olin, Shin-Etsu, Tikkurila, & Tokuyama business updates).
  • We flag the rising fund flows targeting CCS & unrealistic hydrogen goals.  
  • The Baltic Index hits a 10-year high amid continued freight rate strength.  

See PDF below for all charts, tables and diagrams

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