【Overseas Highlights】Sumitomo Chemical Declares Force Majeure, Suspends Deliveries! J.P. Morgan Warns: Full-Blown Oil Shock Imminent

News Summary:

Raw Materials News-Suspension of delivery! Sumitomo Chemical encounters force majeure

Packaging News Highlights-Raw material supply is tight, South Korea encourages the use of eco-friendly products to reduce plastic consumption.

Other News-Demgy Group DebutAIX 2026High-performance plastic solutions to upgrade aircraft interiors

Macro News-U.S. Energy Secretary: U.S. energy prices will continue to rise until the Strait of Hormuz resumes navigation.

Price information-The central parity rate of the Chinese yuan against the US dollar is reported as6.8593Raise64

The following is the details of international news.

1.Delivery Suspended! Sumitomo Chemical Declares Force Majeure

Sumitomo Chemical Asia announced force majeure. It is located in Singapore and serves the Southeast Asian, Indian, and Oceania regions.MMA/PMMACore SupplierMMAAnnual production capacity22.3ten thousand tons, this force majeure will directly impact the high-end market in the Asia-Pacific regionPMMASupply. The core chemical products of this base:MMAMonomer: Annual Production Capacity22.3Ten thousand tons;PMMABrandSUMIPEX®, annual production capacity1510,000 tons, the largest in AsiaMMA/PMMAIntegrated manufacturerS-SBR(Solution-polymerized styrene-butadiene rubber); polyethylene, polypropylene, nylon6、EVA、EPDMRubber.

2.Middle East conflict forcedSONGWONImplement a new round of price adjustments

4 14 Songwon Industrial Co., Ltd. announce, except2026 3In addition to the previously announced price increases, a new round of price adjustments will be implemented across its entire product portfolio. This additional price adjustment has become imperative due to the escalating conflict in the Middle East and its significant impact on market conditions. The price increase takes effect immediately, with specific increases varying by product portfolio or as stipulated in applicable contracts. Monthly pricing will remain in effect until further notice.SONGWONHeadquartered in Korea, it is one of the world's leading manufacturers of polymer stabilizers.

3.EU strictly controls packaging voids in e-commerce2026 8New regulations take effect this month

The EU Packaging and Packaging Waste Regulation stipulates,2026 8 12As of the date, the internal gap of e-commerce packages in the EU market must not exceed50%Inflatable bags, bubble wrap, and similar materials are all counted as void fill, and visually deceptive or excessively redundant packaging is prohibited. The regulation applies across the entire e-commerce supply chain, and businesses are required to comply.2030The renovation will be completed before the Spring Festival. The new regulation sets out exemption cases, such as transport protection, in the EU.2028The accounting standards will be introduced at the beginning of the year, reshaping the packaging logic for exports to Europe.

4.The EU will impose import measures on products originating from South Korea and Mexico.PTAImposition of Anti-dumping Duties

The European Commission on imports of purified terephthalic acid (PTA) from South Korea and MexicoPTAImposing provisional anti-dumping duties, this measure shall take effect from4 10effective as of the date indicated. The European Commission stated that, against a backdrop of weakening demand, dumped goods have continued to expand their market share, causing material injury to the EU industry. This duty applies to products with a purity of no less than99.5% PTAProducts of this type are primarily used in the production of polyethylene terephthalate (PET).PET). San Nan Petrochemical (Samnam Petrochemical) and HanwhaImpact（Hanwha ImpactIt applies6.2%the tax rate; the tax rate for other Korean exporters is13.7%, the tariff rate on all imported goods from Mexico is25.7%. After investigation, it has been determined that Taegwang Industry (Taekwang IndustrialThere is no dumping behavior, therefore, there is no need to pay anti-dumping duties.

5.Demgy Group Make an appearanceAIX 2026High-Performance Plastic Solutions Empowering Aircraft Interior Upgrades

Global leader in high-performance plastics and composite materials solutionsDemgy Group , will be4 14 Winter Solstice16 Sunshine appeared at the Aircraft Interiors Expo held in Hamburg, Germany.AIX), showcasing its latest innovations. The exhibition will take place at the Hamburg Messe. As aviation giant Airbus (Airbus) and Boeing (BoeingFirst-tier supplier,Demgy 6B88C Booth No. , showcasing its professional technical strength in the fields of metal replacing plastic, lightweighting, and large-scale manufacturing processes.Demgy This participation in the exhibition demonstrates the company's commitment to meeting the evolving demands of next-generation aircraft interiors. Its solutions focus on three core directions: achieving lightweight and weight reduction through advanced materials, integrating functional designs to enhance passenger experience, and utilizing scale manufacturing technologies, including additive manufacturing.

6.LGChemical analog of bisphenolAThe Business Department is undergoing restructuring, considering selling part of its equity or establishing a joint venture.

Recently,LG General petrochemical products—— A（BPAThe business unit is advancing a restructuring that includes the sale of equity. The industry generally believes that this is a strategic move to restructure the low-profitability general chemicals business and transition towards higher-value-added areas.2026 4 8 LGChemistry and Capital Chemistry, Sany PwC (Samil PwCin South Chungcheong Province, South KoreaLGA（BPA) Due diligence related to strategic cooperation of the Business Department. The company is currently studying multiple restructuring plans.,Including the sale of bisphenolA（BPAPart of the business department's equity, establishment of a joint ventureJV), etc.

7.Inventory is about to be depleted! JPMorgan warns: An oil shock is set to unfold comprehensively

The global oil supply crisis is transitioning from the warning stage to the substantive impact stage, according to J.P. Morgan’s head of commodities.Natasha KanevaThe latest report explicitly states that the last batch of oil tankers before the Strait of Hormuz blockade is expected to…4 20Expected arrival at destination in the coming days; global supply chain“Inventory before lockdown”Will be completely exhausted, the oil shock is in full swing.Kanevaindicate,3 4Early this month, governments, businesses, and consumers around the world collectively spent2.5Billion barrels in reserve, equivalent to daily660thousand barrels to cushion the impact of supply shortages. However, this buffer capacity is nearing its limit.——Even if refiners double their current output cuts, the OECD (OECD) Commercial crude oil inventories may still increase in5At the beginning of the month, it fell to the operational minimum. The market is no longer absorbing shocks but instead depleting its last buffer while being forced to compress demand.

8.Raw material supply is tight, and South Korea is encouraging the use of eco-friendly products to reduce plastic consumption.

Due to the Middle East conflict, the supply of key raw materials for plastic production in South Korea is tight. The Ministry of Climate and Environment of South Korea.13will be launched nationwide for a duration of6A one-month campaign encouraging the public to reduce plastic consumption。According to the Korean Business News13Participants can register through an online recycling platform and commit to complying with measures aimed at reducing the use of plastic products.9The guidelines include using reusable cups, shopping bags, and takeaway containers, avoiding disposable cutlery and plastic straws, and purchasing products made from recycled materials. The government also encourages participants to minimize unnecessary packaging and to properly sort waste.

Overseas Macroeconomic Market

Zelenskyy signs law extending the collection period of the military tax.

Ukrainian President Zelenskyy14signed on the15110The bill stipulates that the tax will continue to be collected after the conflict ends.5%a military tax for a period of three years. According to reports, this measure is one of the conditions for the International Monetary Fund to continue providing financial assistance to Ukraine. The Ukrainian Ministry of Finance stated that this step is expected to increase the state budget by more than1400One billion hryvnias for defense, reconstruction and infrastructure.

[Iran official says U.S. should not dare to take risks if it is wise]

The chairman of the Iranian Parliament's Committee on National Security and Foreign Policy, Aziz, on local time.4 13Japan stated that for a long time, the United States has consistently made strategic misjudgments regarding Iran.40The U.S. did not achieve any of its stated goals in the war in Iraq, and its military actions have instead harmed regional and global interests. Now, instead of learning from the war, the U.S. continues to misjudge the current situation. The so-called "blockade" of the Strait of Hormuz by the U.S. will only harm America's own interests. Aziz stated that the Iranian armed forces are prepared, and if the enemy takes another risky action, Iran will respond firmly.

Sources: U.S. and Iranian delegations will hold talks in Pakistan later this week.

14A source quoted by the media said that the US and Iranian delegations will hold talks in Islamabad, Pakistan, later this week.

Finnish President: US and"Selective warfare" has turned the Strait of Hormuz into a "nuclear weapon"

Local time4 13

Iran says oil exports have not been interrupted for a single day

Iranian Oil Minister Mohsen· Paknejad today (4 14It was reported that since the outbreak of the military conflict with the United States and Israel, Iran's oil sales have been good, with part of the revenue used to repair the damage caused by the attacks on industry. Paknejad said that Iranian oil sector workers maintained the operation of facilities during the conflict, ensuring that oil exports "were not interrupted even for a day," including key export hubs such as Khark Island.

U.S. media says"USS Bush" takes a detour around Africa to the Middle East

The Wall Street Journal of the United States13A report citing two U.S. officials said that the U.S. aircraft carrier USS Bush is currently sailing near the coast of Africa, heading to the Middle East to participate in the Iran conflict. The report stated, "The unusual route of the USS Bush - sailing around the Horn of Africa rather than through the Mediterranean - indicates that it is intentionally avoiding the Red Sea, where it could be attacked by Yemen's Houthi rebels supported by Iran."

Pakistan urges US and Iran to extend ceasefire45Sky

According to Pakistan’s Dawn newspaper, Pakistani diplomatic sources stated that Pakistan has called for an extension of the temporary ceasefire between the U.S. and Iran.45The source said that since the end of last weekend's negotiations, the Pakistani side has been in contact with multiple parties, building a broad consensus, and striving to extend the ceasefire period or restore technical-level contact between the US and Iran, paving the way for a second round of formal negotiations. The intermediary has been helping the US and Iran exchange information on unresolved issues, hoping to persuade both sides to extend the ceasefire for at least45

U.S. Energy Secretary: Straits of Hormuz will be navigable before U.S. energy prices will continue to rise.

U.S. Secretary of Energy Chris·Wright13The US acknowledged that energy prices may continue to rise until there is a "meaningful" resumption of ship traffic in the Strait of Hormuz. Chris Wright said that shipping in the Strait of Hormuz will resume in the coming weeks.

[U.S. Media: Saudi Arabia Pressures U.S. to Abandon Blockade of the Strait of Hormuz]

 According to The Wall Street Journal of the United States13According to reports, Saudi Arabia is pressuring the United States to abandon its blockade of the Strait of Hormuz and return to the negotiating table, as Saudi officials are worried that such actions by the U.S. could prompt Iran to escalate its actions, disrupting other important shipping routes. The report cited officials from Gulf states as saying: "Saudi Arabia has warned that Iran might retaliate by blocking the Bab al-Mandeb Strait, a Red Sea route crucial for Saudi Arabia's remaining oil exports."

Price Information:

The central parity rate of the Chinese yuan against the US dollar is reported as6.8593Raise64Point; Previous trading day’s midpoint rate6.8657, the official closing price of the previous trading day6.8338, closing prices for the day and night sessions6.8300。

[Upstream raw material USD market price]

4 13 CFRNortheast Asia Ethylene1425 /Stable tonnageCFRSoutheast Asia1475 /Ton stable.

Northeast Asia Propylene South Korea Average Price to1310 / 10 / CFRChina Average Price1315 /Ton stability.

Northern Asia CIF price, Propane925-935 /ton; butane1025-1035USD per ton

Frozen goods from South China5Monthly CIF Price of Propane987-997 /ton; butane1037-1047 /

Free On Board (FOB) price of frozen goods in Taiwan, Propane925-935 /Ton; Butane1025-1035US dollars per ton.

【LLDPEUS Dollar Market Price

Film:1380 / CFRHuangpu;

Injection Molding:1500 / CFR

【HDPEUS Dollar Market Price

Film:1460 / CFRHuangpu;

Hollow:1380 / CFRDongguan

Injection Molding1420 / CFRYantian;

Pipe: No quotation available

【LDPEUS Dollar Market Price

Film1600 / CFRDongguan

Coating: No quotation.

【PPUS Dollar Market Price

1460 / CFRHuangpu;

Copolymerization1700 / CFRHuangpu;

1595 / CFR(Huangpu)

Transparent1680 / CFRHuangpu;

Pipe material:1800 / CFR