Petrochemical Margin Compression

Steam crackers in Asia are facing extreme margin pressure as naphtha costs remain high. Operators are reportedly considering run-rate reductions or feedstock switching to propane to survive the current energy shock.

Shipping Surcharges

Maritime risk surcharges for cargoes transiting the Middle East remain at war levels. This 'Hormuz premium' is preventing any downward correction in delivered naphtha costs despite slowing global growth.