Episode 1447: PODCAST: Asia C2 surge pressures PE, SM, PVC amid ongoing feedstock shortages (Part 1)

SINGAPORE (ICIS)--The ongoing Middle East conflict has disrupted crucial flows of naphtha feedstock to cracker operators across Asia. With about 60% of Asia’s naphtha imports typically sourced from the Middle East, the region remains vulnerable to widespread cracker run‑rate cuts and temporary shutdowns, with the effect cascading through the ethylene value chain.

• Naphtha shortages force Asia producers to cut C2 and PE operating rates
• Market participants look to China for alternative SM supply amid tightening availability
• PVC margins hold firm on adequate inventories and steady downstream demand

In part one of this podcast, market editors Josh Quah and Izham Ahmad examine how tightening feedstock availability is pressuring cracker operating rates and reshaping sentiment in the ethylene (C2) and polyethylene (PE) markets.

In part two, market editors Luffy Wu and Jonathan Chou discuss how the disruption is filtering downstream into the styrene monomer (SM) and polyvinyl chloride (PVC) markets, and what participants can expect in the weeks ahead.