Argus Olefins Margins

Argus Olefins Margins delivers monthly analysis of steam cracker and PDH cash margins for ethylene and propylene across the US, Europe, Middle East and Asia.

Overview

Argus Olefins Margins is a monthly service providing independent analysis of steam cracker and propane dehydrogenation (PDH) costs and margins for ethylene and propylene production. The service covers five regions — the US, Western Europe, the Middle East, Northeast Asia and Southeast Asia — and includes a three-month forward forecast and 24 months of rolling historical data.

At a glance

Monthly steam cracker and PDH cash margin analysis.
Coverage across five key global regions.
Three-month forecast and 24 months of historical data.
Feedstock benchmarking across all major cracker inputs.
Identify regional feedstock cost competitiveness.
Benchmark cracker and PDH margins to support decisions.

Key features

Three-month margin forecast

A rolling three-month forecast of steam cracker and PDH margins across five key global regions, updated monthly for both ethylene and propylene production.

24-month margin history

Monthly historical cash costs and margins for ethylene and propylene, covering the US, Western Europe, the Middle East, Northeast Asia and Southeast Asia.

Regional benchmarking

Comparative view of cost competitiveness for steam crackers and PDH units across regions, identifying the key factors driving margin differentials between feedstocks.

Detailed cost models

Cash costs and margins underpinned by detailed assumptions for fixed and variable costs, including utilities, all based on Argus price assessments.

Feedstock benchmarking

Assesses the relative attractiveness of ethane, propane, butane and naphtha for flexible crackers, with context on upstream and downstream market dynamics.

Interactive data workspace

Access ethylene and propylene margins, forecasts and historical data through the interactive Olefins Margins Workspace on Argus Direct, with downloadable Excel datasets.

Who uses this service

Argus Olefins Margins is used by organisations across the olefins value chain seeking regional insight into margin dynamics, feedstock cost shifts and ethylene and propylene production economics.

Refinery operators and olefins producers

Benchmark steam cracker and PDH performance against independent regional cost and margin models.
Assess the impact of feedstock price movements on ethylene and propylene production economics.
Evaluate regional competitiveness and support operational planning using rolling forecasts and historical margin data.

LPG/NGL producers and marketers

Anticipate implied feedstock demand volumes using regional margin and forecast data.
Identify commercial opportunities based on cracker cost competitiveness signals across regions.
Support quarterly planning with insight into feedstock price dynamics and near-term outlooks.

Traders and distributors

Identify feedstock arbitrage signals across the US, Europe and Asia using regional margin data.
Review commercial opportunities supported by capacity analysis and trade flow context.
Support portfolio decisions with rolling three-month forecasts and 24 months of historical data.

Manufacturers and consumer goods companies

Monitor producer cost and margin trends to understand pricing pressures.
Gain insight into regional competitiveness and supply chain risks.
Support procurement and budgeting decisions using independent margin analysis.

Frequently asked questions

What markets does Argus Olefins Margins cover?

The service covers ethylene and propylene production economics across five regions:

United States
Western Europe
Middle East
Northeast Asia
Southeast Asia

Each region includes steam cracker cash costs, steam cracker cash margins, feedstock benchmarking and analysis of the key market drivers influencing regional competitiveness. PDH cash costs are also modelled across all five regions.

What is propane dehydrogenation (PDH) and why do margins matter?

Propane dehydrogenation (PDH) is a chemical process that converts propane into propylene. PDH margins — the difference between propylene revenues and total production costs — indicate the commercial viability of PDH operations. Tracking PDH margins across regions enables operators and market participants to assess how feedstock cost movements affect propylene production economics globally.

What feedstocks are included in the steam cracker margin analysis?

The steam cracker models assess margins for the following feedstocks, reflecting the most commercially relevant inputs in each market:

Ethane
Propane
Butane
Naphtha

How are the regional cost models constructed?

Each model is based on a fully flexible mixed-feed cracker or PDH unit with capacity representative of the relevant market. Fixed and variable costs, including utilities, are incorporated using Argus price assessments. Feedstock prices are sourced from regional benchmarks, and product prices use contract or spot values depending on the region.

How often is the report published and what does it include?

Argus Olefins Margins is published monthly. Each issue includes:

An executive summary highlighting key regional market drivers and major developments affecting margin forecasts.
Steam cracker cash costs and margins by region and feedstock
PDH cash costs across all five regions
A three-month forward margin forecast
24 months of rolling historical data
A downloadable Excel dataset

How can I access Argus Olefins Margins data and reports?

The monthly PDF report is delivered directly to subscribers by email. The accompanying Excel data file is available for download via the Argus Direct^® platform. An interactive Olefins Margins Workspace on Argus Direct provides dynamic access to margin data, charts and historical datasets.

Does the service include margin forecasts?

Yes. Each monthly issue includes a rolling three-month forward forecast of steam cracker and PDH margins across all five regions. Forecasts incorporate forward feedstock price expectations, product price outlooks and analysis of month-on-month feedstock and product price changes to explain near-term margin trends by region and feedstock.

How does Argus cover industry news and market developments for olefins?

Expert market commentary is included in each monthly PDF report and published in real time through the Argus Direct client portal. Coverage includes feedstock market developments, changes in steam cracker and PDH economics, operating rates, trade flows, price movements and major industry events affecting global olefins markets.

What factors affect steam cracker and PDH margins?

Steam cracker and PDH margins are influenced by feedstock costs, product prices, operating costs, supply-demand fundamentals and regional market conditions. The Argus Olefins Margins service analyses these drivers to help subscribers understand changes in production economics and competitiveness across key global regions.

How does the Argus Olefins Margins service help assess regional competitiveness?

The service compares steam cracker and PDH costs and margins across the US, Western Europe, the Middle East, Northeast Asia and Southeast Asia. This helps subscribers evaluate feedstock attractiveness, production economics and the factors influencing regional cost competitiveness.

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