A spot methanol barge traded at a four-year high of 135¢/USG fob ITC for April delivery today, up by 10¢/USG from last week.
US Gulf coast barge prices have continued to climb since the beginning of March as war in the Mideast Gulf disrupts global commodity markets and upends trade flows.
It is understood a producer bought the 10,000-bl barge today at 135¢/USG, the highest price since 8 March 2022.
Bids followed the deal at 120¢/USG fob ITC against offers at 140¢/USG.
Houston, 27 March (Argus) — US styrene monomer (SM) exporters are working to fill widening supply gaps in Europe following the outbreak of the Mideast Gulf war, which has impeded vessel traffic through the strait of Hormuz and sharply reduced Middle East SM export flows. The global supply constraint has pushed US styrene to a nearly two-year high just days before the start of the American Fuel & Petrochemical Manufacturers' International Petrochemical Conference in San Antonio, Texas, from 29-31 March 2026, where industry participants gather from around the world to discuss pertinent topics in petrochemical markets and construct forward-looking views for the forthcoming year. Producers in the Middle East make up a significant portion of global styrene trade. Saudi Arabia accounts for 44pc of China's SM imports, 40pc of India imports and 33pc of European imports, according to Global Trade Tracker data. Europe has been particularly exposed as shipments through the Mideast Gulf have slowed down. European SM prices have risen by 40pc since the start of the conflict because of tight SM supply, reaching $1,697.50/t on 26 March, according to Argus data. US SM prices increased by 27pc over the same period to $1,450/t, opening the paper arbitrage from the US Gulf coast (USGC) to Europe. Heading into April, US exporters are attempting to secure more vessels for trans Atlantic shipments, but tight tanker availability has created significant export bottlenecks, market participants said. Bulk freight shipping availability from the USGC to northwest Europe and the Mediterranean remained restricted in March, pushing freight rates sharply higher. Estimated shipping costs from the USGC to Europe nearly doubled to around $140/t this week from $72/t in February. Estimated North American SM operating rates ranged from 56-60pc this week, according to a generic Argus model with run rates pegged by market participants. Operating rates have been reduced because of planned maintenance at two USGC SM plants: SABIC and TotalEnergies' joint venture facility in Carville, Louisiana, and Ineos Styrolution's plant in Bayport, Texas. The Carville, Louisiana, unit is expected back on line in early April, potentially lifting regional rates to around 65pc, but US Gulf coast spot availability remains limited. Sources estimate roughly 5,000 metric tonnes of SM is available for April spot sales without producers drawing from their derivative units. Export constraints are compounded by a heavy global turnaround season. At least two US SM units are in planned outages, two Saudi Arabian plants were scheduled for maintenance in March and at least two European feedstock ethylene crackers underwent work in the first quarter. More recently, Saudi Arabian state-controlled petrochemicals producer [Sabic has declared force majeure] (https://direct.argusmedia.com/newsandanalysis/article/2806297) on its methanol and SM sales, effective 26 March, citing logistics disruptions stemming from the ongoing US-Iran war and impeded vessel traffic through the strait of Hormuz. Tight SM supply has begun to filter into downstream markets. Polystyrene (PS) and acrylonitrile butadiene styrene (ABS) producers are entering a seasonably stronger demand period with higher pricing. The impact is expected to ripple through consumer goods such as plastic take-away containers, disposable cutlery, foam packaging and ABS based products including toys and Lego bricks, sources said. As the US and global styrene turnaround season continues, market participants expect inventories to remain tight until domestic maintenance wraps up in the second quarter. Global SM availability is likely to stay constrained while vessel shortages persist and shipments remain restricted through the strait of Hormuz, sources said. By Jake Caldwell Send comments and request more information at feedback@argusmedia.com Copyright © 2026. Argus Media group . All rights reserved.
Sao Paulo, 27 March (Argus) — Petrochemical giant Braskem will appeal the Brazilian government's Thursday decision setting definitive antidumping duties of $199/t on imports of US polyethylene (PE) and $238/t on Canadian grades, chief executive Roberto Ramos said. Ramos said the government, in its 26 March decision, "did not properly assess" the technical evidence presented in the investigation, which runs through 14 May, and reiterated that the local foreign trade chamber of commerce, Camex, had previously recommended duties of $734/t. "The study is very robust and clearly demonstrated predatory pricing by US producers", he said. Ramos also highlighted the sharp increase in feedstock costs stemming from the conflict in the Middle East, especially petrochemical naphtha. Braskem sources most of its naphtha from Brazilian state-controlled Petrobras but still imports volumes from the US, Algeria and the Middle East. "The government should have been more sensitive to our situation," Ramos added. "We are effectively in a state of war", he said, calling the ruling "regrettable". Ramos said Braskem will conduct a deeper review of the government's decision but confirmed the company will move ahead with a formal appeal. Results Braskem's margins narrowed in the fourth quarter as global oversupply and seasonal softness continued to pressure spreads. Recurring earnings before interest, taxes, depreciation and amortisation (Ebitda) fell to $109mn in the fourth quaarter from $150mn in the prior quarter, on thinner resin and chemical spreads and lower sales in Brazil and export markets. Braskem's operations in Brazil and South America remained the largest drag. Cracker utilization dropped to 59pc, a drop of 6 percentage points from the prior quarter, because of scheduled maintenance in Bahia state and reduced feedstock supply to Sao Paulo state. Domestic resin sales fell by 6pc and chemical sales dropped by 15pc from the prior quarter. Segment recurring Ebitda slipped by 30pc to $143mn from the third quarter. At Braskem's operations in the US and Europe, weaker polypropylene (PP) prices, pressured by higher imports in Europe and turnarounds, pushed segment Ebitda to $32mn. Utilization fell to 71pc, a fall of 8 percentage points from the previous quarter, while PP sales eased by 3pc. Mexico was the sole operational bright spot. Utilization at its joint venture there rose to 85pc, an increase of 38 percentage points from the third quarter, as ethane supply normalized with higher imports through the TQPM ethane terminal. PE sales increased by 52pc, while recurring Ebitda remained modest at $11mn. Braskem posted a fourth-quarter loss of $1.9bn, driven mainly by deferred tax asset write offs and other non cash impacts. Full-year 2025 recurring Ebitda totaled $557mn, down by 49pc year on year. Braskem's year-end gross debt reached $9.4bn, with $2.1bn in cash, the company said. By Fred Fernandes Send comments and request more information at feedback@argusmedia.com Copyright © 2026. Argus Media group . All rights reserved.
Sao Paulo, 27 March (Argus) — Brazil has imposed definitive antidumping duties on polyethylene (PE) imports from the US and Canada amid tighter supply, at $199.04/metric tonne (t) on US-origin resin and $238.49/t on Canadian material, locking in the trade measures for five years at the same rates applied during the six-month provisional phase. The decision was approved during a meeting of the foreign trade chamber Camex's executive management committee (Gecex), and published in the government's official gazette earlier on Friday. The definitive ruling closes the door on an earlier proposal that would have raised US-origin duties to as high as $734/t, a level widely viewed as commercially prohibitive. Market participants said those proposed rates had effectively cut off nearly all trade between the two countries during consultation discussions, as such a steep tariff would have wiped out the competitiveness of US resin entirely. The government ultimately abandoned the higher figure, opting instead to lock in the lower provisional rates Gecex said the tariff levels were maintained "in the public interest", avoiding additional strain on downstream industries, a message reinforced in a separate note from the trade ministry Mdic. The ministry highlighted that duty modulation reflected the supply chain environment observed during the six months of provisional enforcement. The decision comes as Brazil's PE market faces acute supply tightness, compounded by global logistics disruptions. Earlier this month, a distributor of domestic producer Braskem warned clients that all PE grades were unavailable, with no forecast for replenishment, and several product lines had already hit zero inventory. Market participants at the time anticipated further price increases as Braskem issued back-to-back hikes in March amid rapidly depleted stocks. These domestic constraints coincided with the expiration of the provisional antidumping duty in February, prompting Brazilian buyers to shift aggressively back to US PE. Reduced availability from the Middle East, as the US-Israel war with Iran disrupted shipping routes and left over 140 container vessels and 470,000 containers stranded or delayed across the Mideast Gulf, further tightened alternatives. Spot freight rates surged, and war risk premiums multiplied, reinforcing the appeal of US supply, which benefited from stable logistics and shorter transit times. Although US producers sought heavy price increases during the month, their resin remained competitive for Brazilian importers, especially with freight on the Houston–Santos route rising only modestly. Buyers diversified carriers, revisited cfr offers from the US and rebalanced procurement strategies to offset domestic shortages. The ruling stabilizes the regulatory backdrop. While duties are now fixed for five years ahead of the investigation's legal deadline of 14 May, sourcing patterns are unlikely to shift immediately. Continued scarcity in Brazil, constrained Middle Eastern cargoes and global freight volatility mean US PE will remain a critical supply option, despite the renewed tariff burden. By Fred Fernandes Send comments and request more information at feedback@argusmedia.com Copyright © 2026. Argus Media group . All rights reserved.
Houston, 26 March (Argus) — US methanol producers are vying to fill a gap in global methanol supply as the war in the Mideast Gulf has threatened about 17pc of global methanol production capacity as it stretches into its fourth week. Middle East methanol production is estimated at about 26.49mn metric tonnes (t)/yr, with about 90pc of regional capacity beholden to transit through the strait of Hormuz, Argus estimates. Middle East methanol producers are critical suppliers to China and India importers, and the lack of supply is creating sales opportunities for US producers. The shift in the market is likely to be a topic of discussion as participants gather at the annual American Fuel and Petrochemical Manufacturers International Petrochemical Conference in San Antonio, Texas, next week. Heightened offshore demand in March has supported an 18pc increase in US methanol barge prices, which are expected to remain supported. US methanol production is insulated from volatile energy prices and shipping disruptions stemming from ongoing fighting in the Mideast Gulf, positioning domestic producers to fill supply gaps for key global importers. US producers are able to meet domestic and growing global demand after a decade of rapid capacity growth. Europe is an emerging sales opportunity for US producers following a 49pc jump in spot values since the outbreak of the war, Argus data show. Producers are buying up spot barges this month to piece together export cargoes. More than 300,000 bl of methanol has traded at the US Gulf coast so far this month, the highest monthly volume in March since 2021 , Argus data show. Europe is a major importer of US methanol, with importers in the Netherlands and Belgium comprising nearly half of total US exports in 2025 for a combined 2.25mn metric tonnes, census data compiled by Global Trade Tracker show. By Steven McGinn Send comments and request more information at feedback@argusmedia.com Copyright © 2026. Argus Media group . All rights reserved.
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