Recent developments
Long‑term feedstock anchors
In the UAE, TA’ZIZ signed long‑term offtake, feedstock and sales agreements valued at $28.5 billion, anchoring methanol, PVC chain and gas supply while securing downstream sales. ADNOC launched an Industrial Resilience Program to prioritize Local+ manufacturing, ICV credits and demand visibility, and plans AED200 billion in project awards for 2026–2028 connecting qualified domestic suppliers with EPCs. The measures aim to localize strategic items and harden project delivery against external shocks.
Gas and LNG resilience
New upstream and LNG flows improved optionality: Equinor’s Eirin tie‑back started gas deliveries via Gina Krog; OMV Petrom and ROMGAZ began Neptun Deep pipelaying toward first gas in 2027; QatarEnergy shipped the first LNG export from Golden Pass LNG in Texas; and ENEOS will re‑enter MLNG Tiga with a 10% stake, reinforcing long‑term supply to Asian buyers.
Disruptions and pricing
The Middle East conflict and Strait closure strained trade: Yara reported major supply shocks and higher fertilizer prices.
Borouge rerouted 61% of March production via alternative logistics.
Technip Energies cited temporary site stoppages and potential revenue deferrals. LKAB noted delivery risks to Middle East customers.
Producers responded with pricing actions: BASF raised plastic‑additive prices up to 25% and PPG announced global price adjustments. EPCs such as MAIRE identified procurement buffers and alternative logistics for Middle East sites.
Localized capacity builds
Petrobras resumed urea production at Ansa, lifting domestic nitrogen availability. Evonik opened an expanded specialty amine plant in Nanjing and completed a specialty H2O2 plant in Leshan with Fuhua to serve electronics and packaging.
BASF commissioned menthol and linalool in Ludwigshafen and citral in Zhanjiang, and expanded HALS/NOR HALS additives for plastics durability. China also localized UHMWPE slurry‑pump supply at Tianjin to reduce reliance on imported critical equipment.
Portfolio realignments
Reshaping polymer and intermediates platforms continued: Lone Star agreed to acquire DOMO Engineered Materials (including TECHNYL). INEOS Inovyn moved to sell its Italian chlor‑alkali business to Esseco. In Japan, Prime Polymer will absorb Sumitomo Chemical’s PP and LLDPE businesses. Upstream, Shell agreed to acquire ARC Resources, consolidating Montney gas and liquids to underpin LNG‑linked value chains.
Circularity and low‑carbon inputs
ROSI will deploy automated PV recycling in Spain, while Axens, IFPEN and JEPLAN validated Rewind PET for textile‑to‑textile monomer to substitute virgin feedstock. BASF introduced ELASTOSPRAY BMB mass‑balance isocyanate for SPF. For energy inputs, Air Liquide committed more than $350 million in Louisiana to supply gases to a low‑carbon steel plant, and Statkraft and Hydro signed 12.3 TWh of long‑term PPAs in Norway.