[Overseas News] Dow Considering Exit From Joint Venture With Saudi Aramco; US Government Pressures Ford to Cut Ties With China

Headlines:

Raw Material News-Dow Chemical is considering exiting its joint venture with Saudi Aramco.Sadara

Automotive News-The U.S. government has issued a warning regarding Ford's cooperation with Chinese companies.

Packaging News-German flexible packaging companySüdpackLaunch a single-layer polypropylene stand-up pouch packaging solution for the drinkable yogurt market.

Medical News-PlastiflexGroup AcquisitionSidamStrengthen fluid management business and expand into high-growth medical sectors

Macro News-Escalating "cycle of retaliation" between the US and Iran at sea; Trump predicts an end to hostilities as Iran sets conditionsPrice Information-The RMB/USD central parity rate is quoted at6.7766 2023 2 8New high since the day

Below are the details of international news highlights:

1.Dow Chemical is considering exiting its joint venture with Saudi Aramco.Sadara

9 9On [date], Bloomberg, citing sources familiar with the matter, reported that Dow Inc. (Dow) is considering withdrawingSadarathe possibility.SadaraIt is Dow and Saudi Aramco, the Saudi Arabian oil giant.Aramco) joint venture, with an integrated production base located in Jubail, Saudi Arabia, investing approximately200billion USD. Dow is currently facing the impact of a prolonged industry downturn and the Middle East conflict. Reports suggest that Saudi Aramco may seize this opportunity to acquire Dow’s stake in their joint venture.Sadaraheld in35%shares; other strategic or financial investors may also bid for the equity stake held by Dow. It is reported that no final decision has been made yet.

2.The U.S. government has issued a warning regarding Ford's cooperation with Chinese companies.

According to media reports, the U.S. Secretary of TransportationSean DuffyRecently wrote a letter to Ford Motor Company (Ford Motor）CEO Jim FarleyIt has raised questions about Ford’s recent collaborations with Chinese companies in battery technology, vehicle manufacturing, and supply chains, and has urged the company to further reduce its reliance on overseas technologies.DuffyThe letter specifically highlighted Ford and CATL.CATL) battery technology licensing cooperation, with Geely (Geely) cooperation in Spain, and reportedly Ford with BYD (BYD) discussions on hybrid vehicle components. He also mentioned Lincoln, a brand under Ford (LincolnThe production scheduling for certain vehicle models has raised concerns, with these collaborative and production decisions deemed worthy of further attention. Ford subsequently responded, stating that the relevant letter misinterpreted certain aspects of its business arrangements and emphasizing that the company continues to expand its manufacturing investments in the United States.

3.KazakhstanSillenoFirst batch of the polyethylene project1.2Delivery of 10,000-ton equipment

Local time9 9Day, KazakhstanSillenoThe first batch of large-scale equipment for the cracking unit of the polyethylene project has been transported to the construction site. KazMunayGasKazMunayGas，KMG) indicates:SillenoThe transportation of the first batch of ultra-large equipment for the cracking unit of the polyethylene project has been fully completed, and the construction site is currently preparing for the installation of large-scale equipment in the next phase.SillenoThe polyethylene project is located in the Atyrau Region of Kazakhstan.KarabatanIndustrial zone, this area belongs to“National Industrial Petrochemical Technology Park”Special Economic Zone. The project is designed with an annual production capacity of polyethylene.12510,000 tons, scheduled for2029Put into production in the year.

4.German flexible packaging companySüdpackLaunch a single-layer polypropylene stand-up pouch packaging solution for the drinkable yogurt market.

Südpack Launch a recyclable mono-material polypropylene (PP) product.PPSoft packaging bags, targeting the drinkable yogurt market. The company stated that the rapid expansion of the drinkable yogurt market is the core driver behind launching this new packaging solution; it is expected that by2034 In [year], the market size of this segment will be46 billion dollars increased to67 billion USD. Europe is the core sales region for this industry, currently accounting for the global market share of30%。PET Traditional packaging formats such as bottles and cups remain the mainstream in the drinkable yogurt market, accounting for44%ButSüdpack It is claimed that flexible pouches are the fastest-growing packaging format.

5.PlastiflexGroup AcquisitionSidamStrengthen fluid management business and expand into high-growth medical sectors

Plastiflex The group has acquiredSidam srl。Sidam is a leading healthcare company specializing in tubing systems for the formulation, processing, and delivery of complex medical substances, with applications in radiology, radiopharmaceuticals, stem cell therapy, and oncology. This strategic acquisition willPlastiflex The fluid management business segment has enhanced its professional capabilities and opened up important channels to enter high-growth end markets.

6.BASF's agricultural business plans to2027 IPO

Chemical giant BASF is steadily advancing the strategic transformation of its agricultural chemicals business segment. In its current overall strategic adjustment, the company has confirmed that it will2026Complete the legal independent operation process for the Agricultural Solutions Business Unit by the end of the year. The core objective of this adjustment is to2027Before the middle of the year, for some initial public offerings (IPOs) in this sectorIPO) Clear all prerequisites. The business split in Europe, North America, and South America has been basically completed, and the business divestiture in Asia will be2026Formally wrap up by the end of the year.

Overseas Macro Market:

Trump threatens to strike Iran again"Gaoshan" Nuclear Facility

U.S. President Trump, local time9 9On Sunday, it was stated that the United States might strike Iran’s “Fordow” nuclear facility and urged Tehran to exercise caution. Speaking at a Republican midterm election rally, Trump said, “We’ve noticed some little maneuvers at ‘Fordow.’ I advise Iran not to play smart, because we will hit them hard.” Trump had previously on7Israel has repeatedly threatened to strike Iran’s “Fordow” nuclear facility, but has not yet acted on these threats. Located near the Natanz nuclear site in Isfahan Province, central Iran, Fordow is considered one of Iran’s most heavily fortified underground nuclear facilities.

Sources: Multiple U.S. military aircraft damaged in Iran’s attack on bases in Jordan

According to the United States9News reports indicate that multiple U.S. military aircraft were in Iran.8Damaged in the attack on Jordan's Muwaffaq Salti Air Base. Sources reported that an aircraftA-10The "Thunderbolt" attack aircraft was hit, with one wing severed. Additionally, there is8 F-15The fighter jet, which sustained minor damage, has been returned to service. The Iranian attack reportedly occurred while U.S. forces were8Daily Strike5After an Iranian oil tanker, U.S. troops stationed in Jordan launched30Multiple Patriot air defense missiles were deployed to defend against Iranian attacks.

Houthi attacks on Saudi Arabia prompt Pakistan to warn Iran to restrain its allies

Multiple sources in Saudi Arabia, Pakistan, and Iran have stated that, following intensified Houthi attacks on Saudi Arabia, Pakistan has issued a warning to Iran on behalf of the Saudis, urging Tehran to restrain its Houthi allies in an effort to prevent further escalation through coordinated action. Pakistan has signed defense agreements with both Saudi Arabia and Turkey. Although Pakistani officials have emphasized that any military involvement would be strictly limited to defending Saudi territory, Pakistan’s Defense MinisterKhawaja AsifIt stated that if the attacks spread to Saudi territory, it could trigger defense cooperation involving Saudi Arabia, Turkey, and Pakistan.

US-Iran at sea“Retaliation cycle” intensifies; Trump predicts end to hostilities as Iran sets conditions

In recent days, the U.S. military has frequently struck Iranian oil tankers and other targets, with both sides engaging in continuous retaliatory counterattacks.9On [date], Iran condemned the U.S. military’s attack on its vessels, stating that it had retaliated with strikes.2A U.S. warship and8tankers and other targets. The U.S. side subsequently issued a statement denying that its naval vessels had been attacked by Iran. On the same day, U.S. President Trump stated that he expected the conflict with Iran to conclude this year.11Following the conclusion of the U.S. midterm elections in November, the U.S. Energy Information Administration raised its oil price forecasts for this year and next, driven by global inventory drawdowns resulting from the conflict in Iran.

Yellen and Other Economists Tell Court: Trump’s Tariffs Exceed Authority

Janet Yellen, former Chair of the Federal Reserve and U.S. Secretary of the TreasuryYellen and recent50A group of prominent economists jointly told the appellate court that President Trump improperly invoked the “balance of payments” clause to justify a round of global tariffs imposed earlier this year. The economists pointed out that accepting the government’s argument would grant the president excessive power.

Traders bet on four rate hikes by the ECB and BoE as soaring oil prices fuel inflation concerns

Traders are increasing their bets on rate hikes by the European Central Bank and the Bank of England, as rising energy prices may keep inflation stubbornly high over the next year. Swap markets currently show that traders expect the European Central Bank to2027 12The Fed is expected to raise interest rates by approximately90basis points, the highest in this tightening cycle. This implies that policymakers may need to raise interest rates three times during this period, each time25basis points, and have60%probability of a fourth interest rate hike.

Price Information:

The RMB/USD central parity rate is quoted at6.7766 2023 2 8New high in recent days, upward revision3Point; Previous trading day's mid-price6.7769Official closing price of the previous trading day6.7079The previous day's night session closed at6.7071。

Upstream Raw Material USD Market Price

9 9 CFRNortheast Asia Ethylene1150 /Ton stable,CFRSoutheast Asia1140 /Ton stable.

Northeast Asia PropyleneFOBAverage price in South Korea to1125 / 25 / CFRChina's average price to1225 / 25 /

North Asia frozen cargo CIF, propane911-915 /ton; butane961-965 /

Frozen Cargo in South China10Monthly average CIF price of propane955-965 /ton; butane1000-1010 /

CIF price of propane for frozen goods in Taiwan911-915 /ton; butane961-965 /

【LLDPEUSD Market Price

Thin film:1180 / CFRHuangpu)

【HDPEUSD market price

Thin film:1200 / CFRYantian

Hollow1220 / CFRDongguan)

Injection molding:1050 / CFRHuangpu)

【LDPEUSD Market Price

Thin film:1460 / CFRHuangpu)

【PPUSD Market Price

Homopolymerization:1300 / CFRHuangpu)

Copolymerization1340 / CFRNansha

Transparent:1490 / CFRHuangpu)

Pipe material:1480 / CFRHuangpu)