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Episode 613: PODCAST: Asia ethylene H2 outlook gloomy amid significant supply gains
ICIS - chemical podcasts
English - May 20, 2021 00:00 - 9 minutes - 4.88 MBBusiness chemicals prices business polymer trade Homepage Download Apple Podcasts Google Podcasts Overcast Castro Pocket Casts RSS feed
SINGAPORE (ICIS)--Asia’s ethylene and downstream capacity is undergoing an explosive growth in 2021 that has cast a shadow over the market outlook for the second half of the year.
In this podcast, Jasmine Khoo speaks with editors Yeow Pei Lin, Trixie Yap, Judith Wang and Izham Ahmad, on ethylene and its key downstream sectors styrene monomer (SM), mono ethylene glycol (MEG) and polyethylene (PE).
• Asia’s ethylene capacity to expand by over 12m tonnes/year in 2021
• More than half of the capacity will come onstream by mid-year
• Growth concentrated in China, South Korea
• China’s import demand recovery capped by rising domestic supply
• Korea’s exports to rise in H2 2021
• Potential change in Chinese SM producers' cost structure on better feedstock availability could become key supply driver
• FOB China SM exports seen as a potential solution amid rising supply in China
• Less than half of the new SM capacity in China to come online in H2 2021 have corresponding downstream styrenics expansions
• Asia MEG market heads for a dilemma
• MEG margins may improve as rising ethylene supply may help reduce feedstock cost
• PE supply in China, rest of Asia, may increase
• PE demand likely to remain challenged by rising Covid-19 cases