The escalation of the U.S.–Israeli conflict with Iran has significantly impacted global petrochemical markets. Strikes on critical infrastructure triggered severe energy disruptions and shortages of key raw materials, directly influencing the phenolic resin value chain.
Crude oil surged above $xxx per barrel during March, sharply increasing the production cost of feedstocks such as phenol and formaldehyde. This rise in upstream costs translated directly into higher manufacturing expenses for phenolic resin, compelling producers to maintain firm offers.
The ongoing conflict also disrupted global logistics. Shipping through the Strait of Hormuz faced constraints, leading to elevated freight charges, higher insurance premiums, and extended delivery timelines. These logistical challenges reduced the availability of competitively priced imports, strengthening seller control in the phenolic resin market.
On the supply side, domestic producers faced margin pressure due to rising feedstock...
