Daily Chemical Reaction
- We view industrial gas companies as major beneficiaries of the energy transition and related government funding, and we discuss other compelling global opportunities.
- The US natural gas export market should remain robust in 2023/24 if not disrupted by a collapse in economic and political incentives, and we maintain a positive outlook.
- The North American Chlor-alkali market has seen a profit drop in 2H22 relative to 1H22 levels, but its comparative cost advantage to other regions, especially Europe, is high.
- Despite the significant funding from the IRA and other programs, most private funders want “oven-ready” projects, which limits the path to markets for many new entrants.
- We discuss Unilever, Whirlpool, and other chemical end-market business updates that support our cautious demand view and show a food and energy inflation scatter chart.
See PDF below for all charts, tables and diagrams