On the supply front, DEG stocks remained ample affected by prevailing oversupply conditions as well as surged imports from overseas at competitive import prices. Steady operating conditions at domestic production facilities smoothen the flow. However, from x January to xx Equate Petrochemical Company in Oyster Creek, Texas – curbed production for maintenance – this contributed to a minor tightening of supply – however not nearly enough to correct the overall DEG situation.
From the feedstock side, ethylene oxide prices rallied during the period, bolstered by the ascent in upstream crude oil prices but the fundamentals were too weak to push prices up in the US market. Increasing geopolitical tension—US-Venezuela relations, concerns about Greenland, potential US plans for a new deal with Iran—continued to dominate the crude oil market, which in turn affected the downstream sector of the value chain notably DEEG and MEG. The WTI crude oil price was up x.xx x...
