North American Chemical Feedstock Cost Advantage Significantly Rose In 1Q24 Relative to Europe & Asia

Feedstock Market Trends: Crude Oil prices have reached multi-year highs relative to US natural gas in March, which is a notable positive for North American petrochemical producers relative to peers in Europe and Asia.
Agriculture Market Trends: Crop prices increased WoW and Ex-US natural gas prices increased relative to US levels, which is a constructive development for North American ammonia production margins into 2Q24.
Chemical Market Trends: Global commodity chemical prices were mostly unchanged WoW, and we flag US ethylene chain benefits flowing to both producers and buyers which is unlike other chains, such as propylene.
Polymer Market Trends: Global polymer prices on average reflect support into the close of March, helped by global feedstock level developments, which we will also discuss in our upcoming polymer expectations report.

Exhibit 1 – Chart of the Day: Chemical feedstock cost ratio trends notably benefit North American producers in 1Q24.