Daily Chemical Reactions

Facing The Sea – North American PE Exports To Likely Set Record In 2023, Cost Curve To Determine Profitability
March 28, 2023
Commodities Mentioned:
Plastics (PVC, PP, PE, PU, PC, PET, etc.), Clean Energy Minerals, Carbon Dioxide, Hydrogen, Natural Gas/NGLs, Crude/Naphtha
Companies Mentioned:
Aramco, Rongsheng Petrochemical, Sinopec, SABIC, Borouge, Li-Cycle, Albemarle, Liontown, Synthomer, Renewcell, Hasa, Technip Energies, LyondellBasell, Ineos, Agilyx, OCI, Adnoc, European Lithium, Idemitsu Kosan, W.r. Grace, Croda, Sulzer Chemtech, Energy Transfer, ConocoPhillips, Methanex, Petrobras, Indorama, Mitsui Chemicals, Evonik, Rock Tech Lithium, BP, Dow, ExxonMobil, OQ Chemicals, ABB, Parason, Harita Nickel

Daily Chemical Reaction

Facing The Sea – North American PE Exports To Likely Set Record In 2023, Cost Curve To Determine Profitability

Key Points:

  • North American polyethylene (PE) exports will likely hit a record level in 2023, enabled by its sizable cost advantage relative to Asia and Europe—global PE markets to reflect trough setting.
  • We flag significant moves by Aramco to push its business further downstream in refining and petrochemicals, with an array of growth projects underway for development in China.
  • We discuss the importance of a steep global ethylene cost curve for US polyethylene exporters and add to our thoughts about energy and chemical producers combining to extend value chains.
  • We discuss the challenges to producing green chemicals, specifically ammonia in Europe, as it appears to be under review at Adnoc. We also provide thoughts on growth in RNG markets.
  • China has boosted economic stimulus to spur growth, which appears highly needed in light of Maersk and SABIC commentary on demand. A global demand surge seems unlikely near term.

See PDF below for all charts, tables and diagrams


Client Login

Learn About Our Subscriptions and Request a Trial

Contact us to gain full access and experience our services!

Request a Free Trial

Archives