In this latest episode, Kristen Mueller, principal consultant for Argus LPG, talks with David Appleton about the outlook for LPG in 2021, the medium-term developments on the supply side of the balance and the key factors that could reshape the market over the long-term.
The LPG demand in 2021 has evolved a bit differently than expected. The demand trends significantly differ based on a geographical split and the Covid-19 impact on those regions. Chinese petrochemicals demand remains bullish similar to 2020 with new plants coming online while India remains an area of concern given the recent surge in cases across the country.
In the mid-term, Europe has seen a number of closures to facilities while Asia and the Middle East saw a number of large refineries come online. The supply from US remains bullish. The bigger question over the long-term will relate to the developments in African market and the support from local governments.