Thai Petrochemicals Face Oversupply and Chinese Market Pressure, PTT Group Accelerates Portfolio Adjustment

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โดย InfoQuest·TH·Read original
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Thailand's petrochemical industry is facing oversupply and pressure from China, which continues to increase production capacity and export goods into the market. The PTT Group is accelerating its business portfolio adjustment to cope with challenges related to raw materials, products, and environmental requirements. Mr. Pirun Krimwongrat, Executive Vice President of Downstream Petroleum Business Strategy at PTT Public Company Limited, stated at the 17th PTT Group Petrochemical Outlook Forum that competitiveness must be enhanced by diversifying raw material sources and seeking new markets, such as Africa and India. Meanwhile, Mr. Lee Andrew Fagg, Vice President of Chemicals for Asia Pacific at Wood Mackenzie, noted that conflicts in the Middle East have caused an oil shock, impacting the industry, particularly its reliance on naphtha and LPG from the region. China continues to expand production capacity using coal for energy security. Thailand's polyolefin market has been affected by a 31% increase in imports of Chinese products, while the aromatics market still faces oversupply, especially for paraxylene and benzene. The solution lies in finding new markets, developing high-value products, and securing long-term ethane imports to reduce costs.

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