【Overseas News】Sudden Shipping Closure! The Strait of Hormuz Completely Closed! Covestro, Following BASF, Finalizes Massive Antitrust Settlement

International News Digest:

Raw Material News - Oil Explodes in the Chemical Industry! Strait of Hormuz Suddenly Blocked

Additive News - Henkel achieves carbon-neutral production at its adhesive technology plants in India and Turkey

Automotive News - Covestro's post-consumer recycled PC/ABS materials are used in the interior components of the Lexus ES.

Macro Highlights -Iranian Foreign Ministry: Massive U.S. strikes render the ceasefire “meaningless”

Price Information-The central parity rate of the RMB against the US dollar is reported at 6.8150, down by 20 points.

The following are details of international news.：

Oil ignites chemicals! The Strait of Hormuz is suddenly blocked.

In the early hours of June 11 local time, the military conflict between the United States and Iran escalated sharply, and the Strait of Hormuz—the world’s most critical energy shipping chokepoint—was suddenly closed. This geopolitical event not only sent international oil prices soaring, but also instantly rewrote the cost logic of the global chemical industry chain, from polyurethane to...Engineering plasticsNone are spared.

According to Xinhua News Agency in Washington on June 10, U.S. Central Command issued a statement that day saying that, under the direction of U.S. President Donald Trump, the U.S. military had completed “self-defense strikes” against multiple targets inside Iran. Operational forces from the U.S. Marine Corps, Air Force, and Navy launched precision-guided munitions at Iranian targets. Russia’s Sputnik News Agency further disclosed that all the targets struck were located in southern Iran, including air defense systems, radars, command posts, and drone control stations.

Iran's response was swift and strong. According to China News Service, Iran's Mehr News Agency cited a statement from the Central Command of the Armed Forces of Iran, declaring that the Strait of Hormuz is now closed to all vessels, including oil tankers and merchant ships, and any ships attempting to pass through this waterway will be considered targets for strikes. Shortly thereafter, the Iranian Islamic Revolutionary Guard Corps Navy announced that it had attacked two "violating vessels" attempting to transit the Strait of Hormuz.

Following BASF, Covestro reaches a settlement agreement!

Recently, according to the U.S. law firm Hartley LLP, following BASF’s earlier agreement to a first settlement of $3 million in a case alleging that multiple companies conspired to manipulate the prices of chemicals used in polyurethane production, the plaintiffs subsequently reached a second settlement agreement with Covestro. Although the specific amount of the settlement was not disclosed, it is said to be several times larger than the amount of the first settlement.

Hartley LLP is the lead counsel for the direct purchaser plaintiffs in the multi-district antitrust litigation involving diisocyanates. Jason Hartley, a partner at Hartley LLP, stated, "We look forward to the court's approval of these two settlement agreements and to continuing our claims against the remaining defendants."

Evonik’s Shanghai AEM Center Officially Opens, Accelerating Cost-Effective Green Hydrogen Production

Evonik recently announced the official opening of its first anion exchange membrane (AEM) technology center in Asia, located in Shanghai, which will provide more cost-competitive solutions for green hydrogen production. The center will test DURAION® high-performance membranes—key membrane materials for water electrolysis hydrogen production—under real operating conditions, further advancing the development of AEM technology.

Henkel has achieved carbon-neutral production at its adhesive technology factories in India and Turkey.

Henkel has reached a major milestone in the global sustainability strategy of its Adhesive Technologies business unit: two flagship plants in Kurkumbh, India, and Gebze, Türkiye, have achieved carbon-neutral production. These two sites have successfully eliminated Scope 1 and Scope 2 emissions, marking a critical step toward Henkel’s goal of decarbonizing its operations by 2030. These achievements further support Henkel’s science-based climate targets by reducing greenhouse gas emissions from operations through improved energy efficiency, electrification, the gradual phase-out of fossil fuels, and the expanded use of renewable energy across all production sites worldwide.

Covestro's post-consumer recycled PC/ABS materials are used in the interior components of the Lexus ES.

Covestro has announced that its polycarbonate (PC)/ABS material Bayblend® T85X R35 CQ has been adopted for interior components of the Lexus ES, demonstrating the practical application of the “material effect.” As part of Covestro’s Circular Intelligence (CQ) product portfolio, the material delivers a 25% reduction in global warming potential (measured in CO₂ equivalent) compared with conventional fossil-based alternatives, according to internal calculations. This marks an important step forward for the automotive industry in adopting more sustainable materials. As automakers advance their own environmental goals, including preparing for evolving regulatory frameworks such as the EU End-of-Life Vehicles Regulation, this development highlights the growing trend of using recycled materials without compromising quality.

Abandoned fishing nets transformed into recycled polymers! LyondellBasell (LYB) wins Toyota Sustainability Award.

LyondellBasell (LYB) received the Sustainability Award from Toyota Motor Europe for advancing circular material solutions in the automotive sector.

Overseas Macro Markets:

Iranian Foreign Ministry: Large-scale U.S. attack renders ceasefire “meaningless” The Iranian Foreign Ministry issued a statement on the 11th strongly condemning the large-scale U.S. attack on Iran on the night of the 10th, saying the attack had extremely dangerous consequences and rendered the previously agreed Iran-U.S. ceasefire “meaningless.”

Iran's Foreign Ministry: U.S. attacks render the ceasefire "meaningless"; Iran is determined to eliminate the source of the attacks.

[Report: SK Hynix Rarely Raises Equipment] According to Korean ETNews, driven by the HBM boom, SK Hynix has achieved a new high in quarterly operating profit and is currently considering increasing the procurement prices paid to suppliers. The industry generally anticipates the so-called "trickle-down effect," where the profits gained by large enterprises will benefit their partners. Recently, several first-tier equipment suppliers of SK Hynix have requested price increases, with the supply price rising by 3% to 4%.

[Kuwait Announces Air Traffic Has Returned to Normal] On the morning of June 11 local time, Kuwait’s Directorate General of Civil Aviation announced that, as the previous “emergency situation” had been resolved, air traffic within Kuwaiti airspace had returned to normal. In a statement, the Directorate General of Civil Aviation said that Kuwait International Airport had resumed normal operations, with flights operating according to the established schedule. The statement stressed that the civil aviation authorities would continue to closely monitor the situation around the clock and maintain coordination with relevant departments inside and outside Kuwait to ensure the safety of the airspace. Earlier that day, Kuwait’s Directorate General of Civil Aviation announced that Kuwait had temporarily closed its airspace due to attacks by Iran.

Saudi Arabia Lifts Five-Year Import Ban on Lebanese Goods The Saudi Arabian government said on the 10th that Saudi Crown Prince and Prime Minister Mohammed bin Salman had ordered the lifting of an import ban imposed on Lebanese goods five years ago, allowing Lebanese goods to enter the country again. Reports said the Saudi side made the decision at Lebanon’s request, in response to the Lebanese government’s “positive measures to rebuild state institutions” and its cooperation with Saudi Arabia.

[Iran Says the United States Is Trying to Make the Strait of Hormuz Unsafe] Majid Mousavi, commander of the Aerospace Force of Iran’s Islamic Revolutionary Guard Corps, commented on the latest U.S. strikes, saying that the United States is trying to make the Strait of Hormuz unsafe. Mousavi said, “We will take action from across Iran,” in response to provocative actions by the United States in the region.

[Kuwait announces temporary closure of airspace] On the 11th local time, Kuwait’s Directorate General of Civil Aviation announced that due to attacks by Iran, Kuwait has temporarily closed its airspace and flights have been diverted.

[The Iranian Armed Forces Respond to the U.S. Halting a New Round of Strikes] On the 11th local time, Iran’s Khatam al-Anbiya Central Headquarters issued a statement saying that the reason the U.S. military stopped attacking Iran was the “powerful and devastating” response of the Iranian armed forces, which once again thwarted U.S. “aggression.” The statement added that the Iranian armed forces’ “response to U.S. aggression and malicious acts is still ongoing.”

Price information:

The RMB mid-point rate against the U.S. dollar was set at 6.8150, down 20 pips. The previous trading day's midpoint rate was 6.8130, the previous trading day's official closing rate was 6.7774, and the previous night's closing rate was 6.7738.

[Upstream Raw Material U.S. Dollar Market Price]

On June 10, CFR Northeast Asia ethylene was stable at USD 930/ton, and CFR Southeast Asia was stable at USD 950/ton.

The average FOB Korea propylene price in Northeast Asia remained stable at USD 1,110/mt, while the average CFR China price remained stable at USD 1,130/mt.

The CIF price for North Asia is as follows: propane 734-744 USD/ton; butane 784-794 USD/ton.

CIF prices for refrigerated cargoes in South China for early July: propane at US$837-947/ton; butane at US$897-907/ton.

The CIF price of frozen goods in Taiwan is as follows: propane 734-744 USD/ton; butane 784-794 USD/ton.

LLDPE USD market price

Film: USD 1,300/ton (CFR Huangpu);

HDPE USD market price

Film: USD 1200/ton (CFR Huangpu);

Hollow: USD 1,300/ton (CFR Yantian);

Injection molding: $1300/ton (CFR Yantian);

[LDPE USD Market Price]

Thin film: USD 1,410/ton (CFR Huangpu);

[PP USD Market Price]

Homopolymer: USD 1,400/ton (CFR Huangpu);

Copolymer: USD 1,370/ton (CFR Nansha);

Membrane material: $1580/ton (CFR Huangpu);

Transparent: USD 1,445/ton (CFR Huangpu).