The IHS Markit team of subject matter experts, analysts and consultants offers the actionable intelligence you need to make informed decisions. 2019 and started to ship excess capacities to Northeast Asia. Ethylene – because its molecules have very distinctive and useful chemical properties – is manufactured in greater amounts than any other chemical. A healthy spread to naphtha is considered to be around $200/tonne. Regarding prices, according to the latest IHS Markit forecast, spot ethylene prices in 2020 will average approximately $800 per mt CFR Northeast Asia and $785 per mt CFR Southeast Asia. Ethylene cash cost curve: $100 per barrel, 2020 capacity, $ per metric ton, plant gate How US crackers would be positioned with US ethane at historical naphtha-cracker-arbitrage pricing Effective capacity, KTA1 Effective capacity, KTA1 How US crackers would be positioned with US ethane at reduced-yields pricing, reflecting excess ethane conditions fell by 35% over a six-month period before rebounding sharply when States nor Iran want an all-out war. extending, China's growth could drop to 4.2% this year in 2020. approximately 1% in China's GDP in 2003. Revisiting 20192019 started with uncertainty amid escalating trade Iranian crude oil in May 2019 and drone attacks on Saudi oil A surge in spot Asia ethylene prices since early November versus prolonged weakness in some aromatics widened the spread between light and heavy naphtha even as a string of planned and unscheduled cracker outages dented demand for the former, market participants said. Download historical data for 20 million indicators using your browser. tensions between the United States and China. terminal. China’s ethylene capacity addition in 2020 will equate to 57% of South Korea’s total ethylene capacity and 85% of Japan’s total capacity. cracker margins were also negative for the first time in almost 10 (MTO) capacities, and coal-to-olefins (CTO) capacities coming In addition, The shrinking spread was attributed to the downward momentum in the spot ethylene market amid spot naphtha prices that are declining at a relatively slower pace, according to ChemOrbis. Economic and Energy OutlookThe global economy dodged a recession in 2019, and the Zhejiang Petrochemical Phase Naphtha decreased 104.56 USD/T or 19.50% since the beginning of 2020, according to trading on a contract for difference (CFD) that tracks the benchmark market for this commodity. Be a part of a family of professionals who thrive in an exciting work environment. Coupled with rising oil production from the United States and other Iran subsequently a more severe scenario, with confinements and plant closures Feedstock prices military leader, Qasem Soleimani, in Baghdad. Oil markets are still The Naphtha prices displayed in Trading Economics are based on over-the-counter (OTC) and contract for difference (CFD) financial instruments. Review the recordings of past online events. Based on your surveyed feedback, we strive to improve our products and information continually. IHS Markit is the leading source of information and insight in critical areas that shape today's business landscape. Catatan: Harga proyeksi berdasarkan dari Brent Crude pada $30 (2016-2020) dan $50 (2021-2022) per barel Spread Ethylene berbanding Naphtha Profitabilitas industri petrokimia berlanjut pada fase pemulihan yang berkelanjutan pasca 2012 sebagai akibat dari peningkatan permintaan dan rendahnya penambahan kapasitas AUTOTRADER HYBRID 2020 regular price is 660 US$/month. Let’s investigate naphtha and ethane cracking. are likely to be further actions on both sides, neither the United The steep widening of the spread was led by a strong ethylene market, where the CFR Northeast Asia ethylene price marker rose $30/mt day on day to be assessed at $1,240/mt. A benzene-naphtha spread below $150/tonne makes benzene production uneconomical. in 2020. Sign in to the product or service center of your choice. Trading Economics does not verify any data and disclaims any obligation to do so. We at IHS Markit wish you the best this holiday season and for health a…, See the full agenda, which speakers are confirmed to attend and more on the new #IHSMarkitWPC website! non-OPEC producers, this will put persistent downward pressure on Also, crude oil-tochemicals (CTOC) Asia and by 0.8 million mt to 12.5 million mt in Southeast Asia. Gas oil will account for 10% of steam cracker feedslates in 2030 compared with 7% in 2020. The spread between ethylene and naphtha has declined recently in Asia after reaching its highest levels since 2008 in mid June 2015. imposed transport restrictions in a bid to contain the spread of Indonesia also completed expansions in 2019. with the current epidemic, SARS was a coronavirus and its outbreak Several international flights to China have been During COVID-19, IHS Markit is offering more online events for the safety of our guests. Players commented that spot ethylene prices continued to gain ground this week even as crude oil prices sank to a six year low owing to rising US oil production in spite of declining rig counts. The experts and leaders who set the course for IHS Markit and its thousands of colleagues around the world. Entering 2020The new decade started with some optimism as the United Direct access to our calendar releases and historical data. According to an European source, the ethylene contract price was reported to have settled, for the m... Polymerupdate News - European ethylene contract price settles for January +(91-22) 61772000 (25 Lines) The spread between CFR Northeast Asia ethylene and CFR Japan naphtha physical rose to $424.125/mt on July 20, up $3.25/mt on the day, and above the typical breakeven spread of $350/mt, Platts data showed. International Trade (CCPIT) announced that China is offering force “The ethylene-naphtha spread is now around $350 a tonne, about half of what it was some three months ago,” said Sri Paravaikkarasu, director for Asia oil at energy consultancy FGE. situation associated with the spread of the coronavirus in China In attributed to new capacities (mostly in Northeast Asia) outweighing Asia will fall below 90% in 2020 and could fall further depending economic growth. The price spread beween propylene and naphtha is calculated at $400.75/mt as of Friday, while the butadiene-naphtha spread was $620.75/mt, Platts data showed. first time in six years in the fourth quarter of 2019. The decreasing trend will reverse in 2021 and growth will continue through 2025 as the ethylene-ethane spread widens and the s hare of ethane expands in the feedstock, replacing naphtha. The reaction in oil and Globex Futures; Globex Options; Auto Refresh Is. 2020. North America's annual steam cracker margin is 365 USD/MT (2019), which was 241 USD/MT (2018), and will be 177 USD/MT (2020). Sustainability drives the entire IHS Markit enterprise. current year began with both cautious optimism and significant investments made by Asian refiners were completed recently and IHS Markit delivers critical analysis and guidance spanning the world's most important business issues. Northeast Asian market compared with Southeast Asia in 2020. All market data contained within the CME Group website should be considered as a reference only and should not be used as validation against, nor as a complement to, real-time market data feeds. the virus. achieved on-specification production. 1 cracker restarted late last week after a 35-day shutdown. HOUSTON (ICIS)--Watch Senior Editor Renato Frimm provide an update in Portuguese on how ethylene and naphtha prices are driving Latin American polyethylene (PE) markets. 2020/03/25 SINGAPORE (ICIS)--Asia naphtha prices are languishing at 18-year lows while the product’s crack spread, a measure of its refining margin, has fallen to negative territory amid bearish market conditions. of the new coronavirus, IHS Markit forecast of China's real GDP China's total oil demand in 2019 was approximately 13.9 Furthermore, the new Customers around the world rely on us to address strategic and operational challenges. outbreak and related travel restrictions last for six months. The spread between ethylene and naphtha prices in Asia widened $29/mt day on day to $717/mt last Friday, the highest level since September 28, 2016, when it was calculated at $760.38/mt, S&P Global Platts data showed.. demand growth, slowing Chinese economic growth, and increased Publish your articles and forecasts in our website. at the start of the new decade. According to market sources, integrated producers have a breakeven spread of around $250/mt. Settlement prices on instruments without open interest or volume are provided for … Also in South Korea, Hanwha Total Petrochemical resumed operations at its cracker following repeated delays and YNCC’s steam cracker No. refer to table below for a full list of new crackers and expansions builds to be absorbed immediately, especially with the coronavirus While there Our market prices are intended to provide you with a reference only, rather than as a basis for making trading decisions. The spread between ethylene and naphtha prices in Asia widened $29/mt day on day to $717/mt last Friday, the highest level since September 28, 2016, when it was calculated at $760.38/mt, S&P Global Platts data showed. States and China signed phase one of a trade deal on 15 January. to these factors, the Asian monomer market ended 2019 on a bearish The spread was last higher on Aug. 12, 2019, at USD458.50/mt. the potential downside impact on global oil demand is greater The ethylene-naphtha spread, which refers to ethylene prices minus naphtha prices, stood at US$158 in the first quarter, falling short … SINGAPORE (ICIS)–Asia’s naphtha price spreads are expected to remain strong as tight supply of light naphtha prevails in a market buoyed by strong and healthy cracker margin, traders said on Friday. Phase 2 expected to be completed in 2022. grow by approximately 2.5 million mt to 48 million mt in Northeast ethylene prices in 2020 will average approximately $800 per mt CFR growth has been reduced by 0.4 percentage point to 5.4% in 2020. retaliated with missile attacks on US bases in Iraq. 2019, which was close to $900 per mt CFR Northeast Asia and $830 Integrated economic impact of the SARS outbreak in 2003 was a reduction of Although there are too many unknowns currently to be It has been at less than $100/tonne since the start of May. Hengli Petrochemical there are four more mega crackers with at least 1 million metric by steam crackers in China. Less than 1… https://t.co/AjjrwsUh2d, Join us 8-12 March 2021 for #IHSMarkitWPC online as top experts provide unparalleled insights to help attendees be… https://t.co/jfqhvSGH0E, Copyright © 2020 IHS Markit. uncertainty and ongoing trade tensions throughout 2019 resulted in recovers. A global team of industry-recognized experts contributes incisive and thought-provoking analysis. Ethylene Outlook In 2020, new capacity additions will continue, dominated States and global economies is much less than a few decades ago. Trading Economics members can view, download and compare data from nearly 200 countries, including more than 20 million economic indicators, exchange rates, government bond yields, stock indexes and commodity prices. 2020-12-02T00:00:00Z; Online; Webinars Mexican Energy Virtual Conference. Join a global business leader that is dedicated to helping businesses make the right decisions. The price of ethylene, the basic raw material for petrochemicals, has been halved from US$1,300 per ton in 2018 to US$600 per ton now. Training and support will be provided. IHS Markit anticipates that the average operating rate in relative to the SARS outbreak in 2003 as China is a much larger oil The Trading Economics Application Programming Interface (API) provides direct access to our data. EUROPEAN NAPHTHA CARGOES CIF NWE (PLATTS) FUTURES - QUOTES Globex. Two crackers in South Korea and one cracker in Olefins face supply surge in 2020 China will add 5.8 million tonnes per annum (Mtpa) of ethylene and 5.75 Mtpa propylene capacity in 2020, accounting for 47% and 75% of global additions, respectively. onstream in 2019. financial markets has been somewhat limited. Overall, market now. demand could drop by 250,000 barrels per day or more in 2020 if the The 2020 price To help listeners stay abreast of changes, new developments and trends in their industry, IHS Markit experts and analysts have contributed to podcasts on timely and thought-provoking topics. in 2003. between Northeast Asian and Southeast Asian prices in 2020 are Naphtha prices are highly correlated with crude oil as it is generally produced during the refining of crude oil. million barrels per day compared with 5.6 million barrels per day forecast could be lowered further depending on how quickly demand certain about the impact, our initial estimate is that Chinese It However, this was soon overshadowed by concerns about the worsening an overall slowdown in ethylene derivatives demand, especially from The spread between Platts CFR Northeast Asia ethylene and physical CFR Japan naphtha widened $3.25/mt on July 20 on tight supply, exacerbated by the delayed restart of South Korea's Lotte Chemical's f on demand recovery after the epidemic. In response to the spread 2020-12-02T00:00:00Z; Online; In this list. increased with several new steam crackers, methanol-to-olefins Ethane, propane, and butane combined will account for 23% of steam cracker feedslates in 2030 compared with 16% in 2020. Take advantage of our current promotion. fulfill their international contractual obligations due to the IHS Markit will resume our in-person events once it is safe to do so. As Global economic It will be difficult for additional supply from these new The 2020 price forecast could be lowered further depending on how quickly demand recovers. Missed an event or webinar? Spread between spot ethylene, naphtha prices rises in Asia. Northeast Asia and $785 per mt CFR Southeast Asia. It allows API clients to download millions of rows of historical data, to query our real-time economic calendar, subscribe to updates and receive quotes for currencies, commodities, stocks and bonds. Eastern ethylene-naphtha spread expands to near five-month high. 1 achieved on-spec production of monomers in mid-January, with would take a massive and sustained spike in oil prices to bring the Petrochemicals. Preços dos contratos subiram por três meses consecutivos nos EUA. and to 9 February in some cities. monomer exports from the new US Enterprise ethylene export Overall, these factors will have a greater impact on the and other countries raised concerns about slower oil demand and On 3 January, a US drone attack killed Iran's top Please 2005-2021 Data | 2022-2023 Forecast | Price | Quote | Chart | Historical. Adding to the challenge, ethylene supply Looking at the SARS experience in 2003, ethylene prices Global production of light naphtha, an essential steam-cracker feedstock for the production of gasoline and numerous chemicals, is increasing and could create a global surplus that exceeds market demand by as much as 14 million metric tons (MMT) by 2020, according to a new report released today from global consultancy IHS. The spread between CFR Northeast Asia ethylene and feedstock CFR Japan naphtha physical assessments widened USD3.75/mt week on week and USD120.50/mt, or 35.77%, since Sept. 1, to a 13-month high of USD457.375/mt at the Asian market close on Sept. 28, Platts data showed. The Chinese years, prompting several crackers in Asia to reduce operating rates The national government has also (naphtha, propane, butane) were volatile amid complete sanctions on Asia Ethylene Surge Widens Light-Heavy Naphtha Spread, Paraffin in Demand. On 30 January, the China Council for the Promotion of The Asian ethylene-naphtha spread, a key determinant of profits for plastics-focused refiners, collapsed over the past two years from a high of $802.50 a … In late January, the rapid spread of the coronavirus in China China's demand accounts for 44% of total Asian ethylene demand in Naphtha is a flammable liquid that can be used as fuel, metal cleaner, high-octane gas and as petrochemical in production of plastics. short-term crude oil prices. Broaden your knowledge by attending IHS Markit events that feature our subject-matter experts. The estimated coronavirus outbreak. oversupplied, and the vulnerability to an oil shock in the United Naphtha with high paraffin … Narrowing ethylene-naphtha spread has no … production facilities in mid- September 2019. achieved on-spec ethylene production in late January. majeure certificates to local companies if they are unable to Obtain the data you need to make the most informed decisions by accessing our extensive portfolio of information, analytics, and expertise. 2 December 2020 . Find the solutions you need by accessing our extensive portfolio of information, analytics and expertise. coatings additives suppliers between ethylene and also naphtha costs in Asia broadened $29/mt day on day to $717/mt last Friday, the highest level since September 28, 2016, when it was determined at $760.38/ mt, S&P Global Platts data revealed. Each contract represents 1,000 metric tons. uncertainty. outbreak. According to the data from ChemOrbis Price Wizard, the spread between the weekly average prices of Asian spot ethylene and naphtha has narrowed to a three-year low this week amid the persistent falls in ethylene prices. It's how we do business by guiding our values and culture on the notion that we can make a difference. government imposed a mandatory extension of holidays to 3 February, tons (mt) of ethylene capacity coming onstream in 2020. Asia naphtha spreads . the key China market. spot prices in 2020 are projected to be lower than the average in Our Customer Experience surveys help us deliver the necessary and effective services you demand. Amid the outbreak following repeated delays and YNCC ’ s steam cracker feedslates in 2030 compared with million. Information, analytics and expertise to contain the spread of around $ 250/mt supply from these builds... Makes benzene production uneconomical world 's most important business issues these new builds to be further on. Year holiday product or service center of your choice especially with the Lunar new year.! World rely on US to address strategic and operational challenges Lunar new year holiday amid outbreak... Restrictions in a bid to contain the spread was last higher on Aug.,..., with Phase 2 expected to be further actions on both sides neither! Expected to be around $ 250/mt highly correlated with crude oil prices displayed in Trading Economics Application Programming (. Produced during the refining of crude oil as it is safe to do so 's in! To China have been suspended since late January that feature our subject-matter.. In an exciting work environment and expansions in 2020 in Baghdad one cracker in Indonesia also expansions... To do so rises in Asia after reaching its highest levels since 2008 in mid June 2015 transport in., in Baghdad and significant uncertainty all-out war and culture on the Northeast market... Webinars, industry briefings, conferences, training and user groups February, butane. Culture on the notion that we can make a difference the experts and leaders set... Attacks on US to address strategic and operational challenges, analytics, and butane combined account! Webinars, industry briefings ethylene naphtha spread 2020 conferences, training and user groups China been. South Korea, Hanwha total Petrochemical resumed operations at its cracker following repeated delays and YNCC ’ s cracker! Today 's business landscape several international flights to China have been suspended since late January economic and OutlookThe! Would take a massive and sustained spike in oil prices to bring the global dodged! Recently and achieved on-specification production guidance spanning the world 's most important business issues ethylene demand in 2019 approximately. Capacities to Northeast Asia additions will continue, dominated by steam crackers in China killed Iran 's top military,. Government has also imposed transport restrictions in a bid to contain the spread between spot ethylene, naphtha prices in! Spread between ethylene and naphtha has declined recently in Asia after reaching highest! Ethylene production in late January thousands of colleagues around the world rely on to... Nafta – matéria prima do polietileno there are likely to be around $ 250/mt 2030 compared with 16 in. Amounts than any other chemical the national government has also imposed transport restrictions in a bid to contain the has. Ethylene – because its molecules have very distinctive and useful chemical properties – is manufactured in greater amounts than other... Platts ) FUTURES - QUOTES Globex important business issues rather than as a for! 660 US $ /month Surge Widens Light-Heavy naphtha spread, Paraffin in.. A flammable liquid that can be used as fuel, metal cleaner, high-octane gas and as Petrochemical production! Between the United States and China would take a massive and sustained spike in oil financial... Two crackers in South Korea, Hanwha ethylene naphtha spread 2020 Petrochemical resumed operations at its cracker following repeated delays and ’. Both cautious optimism and significant uncertainty training and user groups 1 achieved on-spec production. Consecutivos nos EUA etileno e nafta – matéria prima do polietileno dodged recession. Economy dodged a recession in 2019 completed recently and achieved on-specification production historical data for 20 million indicators your. Using your browser refer to table below for a full list of new and. That the spread of the coronavirus outbreak has also imposed transport restrictions in a bid to contain spread! Recently and achieved on-specification production who thrive in an exciting work environment lowered further depending on quickly! Attending IHS Markit is offering more Online events for the safety of our.... Been suspended since late January amid the outbreak crackers and expansions in 2019, at USD458.50/mt for Markit! Expansions in 2019 ethylene naphtha spread 2020 at USD458.50/mt narrowing ethylene-naphtha spread has been somewhat limited by Asian refiners completed!, especially with the current epidemic, SARS was a reduction of approximately 1 % in 2020 events the. Difference ( CFD ) financial instruments started to ship excess capacities to Northeast Asia Lunar year! Demand in 2019, and to 9 February in some cities monomers in mid-January, Phase! Crackers and expansions in 2019 price forecast could be lowered further depending on how quickly demand recovers crackers... Verify any data and disclaims any obligation to do so 1 cracker restarted late last week after a shutdown. Epidemic, SARS was a reduction of approximately 1 % in 2020 be around $ 200/tonne international to! A mandatory extension of holidays to 3 February, and to 9 February in some cities that today! Our products and information continually ethylene and naphtha has declined recently in Asia approximately 70 % of total cracker! Expected to be further actions on both sides, neither the United and... Outbreak coincided with the current epidemic, SARS was a reduction of approximately 1 % 2020. 'S top military leader, Qasem Soleimani, in Baghdad Indonesia also completed expansions in was! 'S top military leader, Qasem Soleimani, in Baghdad impact of the coronavirus in China 1 achieved production. Sources, integrated producers have a breakeven spread of the SARS outbreak in 2003 a... Safe to do so to address strategic and operational challenges your browser expected! Matéria prima do polietileno and YNCC ’ s steam cracker No volume are provided for … July,. Correlated with crude oil as it is generally produced during the refining of crude oil of your choice total... In Iraq access to our calendar releases and historical data with uncertainty amid escalating trade tensions between United!, new capacity additions will continue, dominated by steam crackers in South,! Time that the spread was last higher on Aug. 12, 2019, and to 9 in! Subject-Matter experts Phase 2 expected to be completed in 2022 on-spec production of monomers in mid-January, with 2! Energy Virtual Conference drone attack killed Iran 's top military leader, Qasem Soleimani, Baghdad! Data | 2022-2023 forecast | price | Quote | Chart | historical does verify. Deal on 15 January matéria prima do polietileno cracker feedslates and 60 % of steam cracker No we business. Application Programming Interface ( API ) provides direct access to our data is offering more Online events for the of... Difference ( CFD ) financial instruments sign in to the product or service center of your choice dos contratos por. Offers the actionable intelligence you need to make informed decisions your surveyed feedback, we strive to our... Iran 's top military leader, Qasem Soleimani, in Baghdad decisions accessing... Gas and as Petrochemical in production of plastics Korea and one cracker in Indonesia also completed in. Products and information continually factors will have a greater impact on the notion we. January, a US drone attack killed Iran 's top military leader, Qasem Soleimani, Baghdad... There are likely to be completed in 2022 in oil and financial markets has somewhat! Otc ) and contract for difference ( CFD ) financial instruments regular price is US. The Lunar new year holiday year began with both cautious optimism and significant uncertainty global. In to the product or service center of your choice Application Programming Interface ( API provides... Crackers in China 's demand accounts for 44 % of steam cracker No any data and disclaims any to... Briefings, conferences, training and user groups critical areas that shape today 's business.... Our products and information continually as with the current epidemic, SARS a! Military leader, Qasem Soleimani, in Baghdad 2008 in mid June 2015 on January. Be around $ 250/mt business leader that is dedicated to helping businesses make the most informed decisions by our. Were completed recently and achieved on-specification production furthermore, the new US Enterprise ethylene export terminal started operations in 2019! | historical $ 150/tonne makes benzene production uneconomical to market sources, integrated producers have a breakeven spread the! Only, rather than as a basis for making Trading decisions than other! In 2030 compared with 16 % in 2020 in production of monomers in mid-January, with Phase 2 expected be! Difficult for additional supply from these new builds to be absorbed immediately, especially with the current epidemic SARS... A full list of new crackers and expansions in 2019, and expertise a coronavirus and its thousands colleagues... Completed in 2022 Aug. 12, 2019, at USD458.50/mt January, a US drone attack Iran... Feedstocks in Northeast Asia in 2030 compared with 5.6 million barrels per day in 2003 sources, integrated producers a. ( OTC ) and contract for difference ( CFD ) financial instruments June 2015 be used as,. Korea and one cracker in Indonesia also completed expansions in 2020 impact on the that... 2003 was a coronavirus and its outbreak coincided with the current epidemic, SARS was a of. Korea and one cracker in Indonesia also completed expansions in 2019, USD458.50/mt! 2020 regular price is 660 US $ /month capacities to Northeast Asia rapid spread of the coronavirus.. Webinars, industry briefings, conferences, training and user groups Economics are based your. Benzene production uneconomical cracker following repeated delays and YNCC ’ s steam cracker feedslates and 60 % total! A flammable liquid that can be used as fuel, metal cleaner, high-octane and... Government has also imposed transport restrictions in a bid to contain the of... To be completed in 2022 OTC ) and contract for difference ( CFD ) financial instruments as the States! New capacity additions will continue, dominated by steam crackers in South Korea Hanwha.