The Beat Goes On – Demand Strong & Supply Issues Linger To Close 2Q21; 3Q To Stay Far From Normal

Daily Chemical Reaction

The Beat Goes On – Demand Strong & Supply Issues Linger To Close 2Q21; 3Q To Stay Far From Normal

Key Points:

• This report discusses American consumer demand strength and lingering global supply issues that favor US premium contract prices in 3Q21. We also highlight why we think cost inflation will remain a sector hot topic in 2H21.    
• We highlight Air Liquide, AkzoNobel, H.B. Fuller, Formosa, & Reliance news, flag multiple price hike efforts, & note global production update items.  
• US contract PVC and caustic values increase MoM in June, per industry reports. This report highlights our estimate of US Chlor-vinyl profit trends.  
• We discuss an increased push to broaden climate-friendly initiatives from traditional channels and flag several circular economy initiative updates.
• The Freightos China-to-US freight rate index and the Baltic Exchange Freight Rate Index increase WoW, and both indexes reflect multi-year highs.
• We note numerous other pertinent chemical sector items in this report.

See PDF below for all charts, tables and diagrams