The continuous trade disputes between the US and China are one of the main causes of the price decline. The dynamics of the Chinese petrochemical industry have changed dramatically as a result of the escalation of tariffs on US imports, particularly liquid petroleum gas (LPG) a vital feedstock for the manufacturing of butadiene. With Chinese buyers now avoiding US LPG procurement strategies have shifted to alternative suppliers in the Middle East and Africa. These logistical changes have disrupted raw material availability and increased volatility in the feedstock market.
On the demand side, the downstream synthetic rubber market especially sectors such as polybutadiene rubber (PBR), styrene-butadiene rubber (SBR) and acrylonitrile butadiene styrene (ABS) have been sluggish. Despite a slight upward movement in automobile production in Q* **** tyre manufacturing and other rubber-intensive industries have not ramped up consumption as...
