The market for Naphtha finds itself caught in a web of dropping oil prices shifting global trade currents, and congested logistics, spanning from the industrial heartlands of Asia to the Gulf Coast of America.
Naphtha was formerly a reliable pillar of the petrochemical supply chain, but it is currently dealing with increased port congestion, decreased downstream demand, and a flurry of strategic agreements as businesses compete for supply in a changing environment. Naphtha is at the forefront of a global recalibration as economic challenges and electrification tendencies pick up speed.
As crude oil fell x.xxx to USD xx.xx/barrel in the fourth week of May the price of hydrogenated naphtha in China fell x.xxx to USD xxx/tonne (Ex-Hebei). A stronger U.S. currency, poor downstream demand, and an increase in OPEC+ and U.S. output all contributed to the...
