- In Europe, PVC sellers' efforts to prevent further margin erosion have yielded some success in July, with deals closing at modest increases of €10-20/ton. Some producers are preparing to revisit price hikes in September, expecting stronger post-summer demand driven by restocking needs, the impact of provisional anti-dumping duties, and less frequent import offers.
- After Hurricane Beryl made landfall near Matagorda on Monday, causing energy firms to halt operations and Texas’ largest ports to close, most oil and petrochemical companies in Texas have either resumed operations or are in the process of restarting. The overall impact on oil and petrochemical production is expected to be limited.
- Lotte Chemical's CEO, Lee Hoon-ki, announced a significant shift in the company’s portfolio, aiming for a corporate value of $36 billion by 2030. The company plans to reduce its basic chemicals business, which struggles due to Chinese market dominance, to less than 30% of its portfolio. Instead, Lotte Chemical will focus on advanced material technologies to generate high profits and move away from the volatile petrochemical cycle. Additionally, the company will sell underperforming assets and attract external investment, expecting to generate about 2.3 trillion won ($1.6 billion) in cash flow.
- Freight rates on China-India routes, which saw sharp increases in late June, have recently started to ease. Observers are watching to see how this downturn will affect Asian markets, as previous increases led to price hikes for many polymers. There is also speculation on whether the rally will falter on routes from China to Europe and the US, as the price gains have notably slowed this week.
