Our lumber segment operating results were hampered by lower
operating rates which resulted in higher unit cash conversion costs at our Fort St.
Koort expects styrene
operating rates to decline 6 percentage points through 2022 as Chinese capacity additions outpace his "ambitious" demand growth estimate of 2.3%, he noted.
According to the company, the adjustments are in response to the cost impact associated with the continued low
operating rates in the steel market, increasing operational costs and delivery costs associated with specific regional supply and demand imbalances.
"Other upside triggers are related to news on possible value accretive mergers, and further improvement in
operating rates and efficiencies.
According to the report, several Middle Eastern producers have experienced unplanned shutdowns or inferior feedstock-conversion rates, resulting in lower
operating rates and yields.
The report provides a view of North American supply, including the key metrics of capacity, production and
operating rates, in addition to regional trade.
State-owned Abu Dhabi National Oil Co (Adnoc) has restarted a secondary unit at its newly expanded Ruwais refinery and has increased its
operating rates to over 80 per cent, industry sources say.
City officials have ordered a number of industries to close or reduce
operating rates before and during the event in a bid to reduce air pollution.
Platts reported that global emulsion styrene butadiene rubber prices were resisting a decline in feedstock costs as European and Chinese producers slashed
operating rates amid weak demand and a switch to cheap natural rubber.
"We've been making it through all the planned cracker outages just fine and have been fortunate not to have any unplanned outages, so monomer
operating rates are already improving."
Unemployment, industrial production activity and factory
operating rates (utilization) are improving modestly," said Hal Vandiver, MHIA executive consultant.
