WPC 2021:COVID hurts petchem projects Some feedstocks suffered,others surged,capex cuts have slowed project schedules

摘要

The impact of the COVID-19 pandemic has seen demand for some petrochemical feedstocks suffer while demand for others has surged,with the collapse in oil prices also causing normally feedstock-advantaged regions such as the Middle East to stall or potentially cancel petchem projects,according to IHS Markit experts at the World Petrochemical Conference(WPC)2021,held in an online format 8-12 March.COVID-19 cut into US liquefied petroleum gas(LPG)production and saw US export growth take a short-term pause,according to Walt Hart,vice president/global natural gas liquids at IHS Markit,speaking in a panel discussion on olefins,feedstocks,and derivatives.LPG production should begin to grow again,however,with US exports to remain the largest in the world,Hart said.LPG demand"remained relatively strong throughout the COVID crisis,"he said.There's still"room to grow"in China,but US LPG exports are now reaching into Southeast Asia and occasionally into India,he noted.With Saudi Arabia having cut oil production to support prices,Middle East LPG exports have fallen."This is changing trade dynamics and the relationship between Japan's spot prices and Middle East prices,and waterbome freight rates have essentially disintegrated over the last couple of years.The US is going to have more and more influence on the benchmark prices in Asia and the Middle East going forward,"he said.