Daily Chemical Reaction
CERA-Nara – Energy & Chemical Value Chain Benefits On Display, Strategic Integration Inevitable Over Time
- We depart from our CERAWeek meetings with greater confidence that energy and chemical sector strategic ties will strengthen as value-chain integration benefits increase this decade.
- Navigator Holdings and Enterprise Products will expand their US ethylene export capabilities – though this is not a “new” development, we discuss why market fundamentals support it.
- US spot polymer-grade propylene prices have surged in 1Q23 amid production issues, spurring derivative price hikes – a plus for integrated producers, but negative for non-integrated buyers.
- We discuss the BP view of emission reductions coming from ICE fuel efficiency relative to EVs, and we highlight why Western critical mineral product security remains an important issue.
- Global housing market demand headwinds remain stiff among those needing a mortgage, and we show the impact of higher mortgage rates on affordability and impacts to luxury markets.
See PDF below for all charts, tables and diagrams