Episode 1133: Think Tank: How Red Sea, Panama Canal troubles influence chemicals, LNG
Chemicals and liquefied natural gas (LNG) players are switching from global to a more regional approach to their markets as logistics challenges caused by the Red Sea attacks and Panama Canal drought persist.- Red Sea disruption may not end until 2025- Some US chemical prices rising as Panama Canal restrictions continue- Poor downstream demand caps increases - Europe isocyanates and polyols react to logistics pressures- Margins rising for European producers as purchasers switch to local sourcing- LNG prices are falling despite logistics disruption- LNG markets now becoming more regional - LNG globally expected to be oversupplied by 2027/8 as wave of new capacity starts up