Petrochemicals: Margins Could Face Pressure

Petrochemical margins could face pressure in 2011 as recovery matures and capacity in the Mideast and China continues to build. With industry demand growth is now tracking at just over 5%/year, the petrochemicals and plastics market is expected to expand by about 35 million-40 million m.t./year between 2010-2015, according to CMAI (Houston). The rebound in ethylene demand has been significantly stronger than expected at the beginning of 2010, says Mike Devanney consultant at SRI Consulting (SRIC: Menlo Park...

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