Since last week, we have been publishing quite a long and detailed ICIS analysis on petrochemicals development during the current month. Here you can read the first post. Next week we’ll publish the last post of the trilogy.

ICIS analysis on petrochemicals

ICIS analysis, updated from only a few weeks ago, looks at the European cracker output under threat from reduced refined products demand, for instance. The estimate now is that, potentially 37% of the region’s propylene capacity is impacted, 37% of benzene, and 31% of ethylene.

This is apart from the pressure put on production of these vitally important chemical feedstocks from generally weakened downstream demand.

BASF has shuttered facilities serving markets closely related to automobile production. Across the group, its plants are operating at more than 60%, management said.

ICIS analysis on petrochemicals: Dow and ExxonMobil

Dow said it is idling five polyethylene (PE)/elastomers facilities in the Americas for at least one month, and it is running reduced global propylene oxide (PO) and methylene diphenyl diisocyanate (MDI) rates until industrial demand improves. It is running its siloxanes production at reduced rates globally.

ExxonMobil said that volumes at its chemicals division were down in the first quarter for its non-US chemicals operations while margins for the segment were lower in the quarter, year on year.

US chemicals operations were constrained by overcapacity and the volumes from newly installed US Gulf Coast plants, but margins had remained firm because of cheaper quarter to quarter feedstock costs.

The LyondellBasell view

LyondellBasell said that its olefins & polyolefins segments – in the Americas and Europe/rest of the world – had experienced consumer-driven demand for polymers used in packaging and medical products but that the impact of the pandemic and low crude oil prices would continue to impact its businesses in the second quarter.

«Weak demand from markets for industrial and durable products is expected to persist», it said.

ICIS analysis on petrochemicals

 

(To be continued…)

Highlights

Cummins at Agritechnica: go with hydrogen!

In Hannover Cummins confirmed its commitment to the Destination Zero strategy, especially in the part dedicated to hydrogen, which is now a protagonist not only in agnostic engines, but also in production and supply phases. For agricultural OEMs, the direction is increasingly towards the “tailor-mad...

AS Labruna at METS 2023

AS Labruna is at home at the RAI of Amsterdam, the 2023 edition of METS is the 10th successive attendance

Related articles

Cummins opens new pilot installation facility in Marktheidenfeld, Germany

Cummins has announced the opening of a new Pilot Installation Centre at its Marktheidenfeld, Germany site. This centre will specialise in vehicle and machinery in-use emissions compliance testing and will support product development of Cummins’ renowned internal combustion engine technology, includi...
News

MAN Energy Solutions announces dual-fuel methanol 175D 

MAN Energy Solutions has announced that a dual-fuel version of its MAN 175D high-speed engine, capable of operating on methanol, will be available by the end of 2026. The new variant, designated MAN 175DF-M, will be available both as newbuild and retrofit variants.
News