Global Chemical and Materials Industry News: June 2–6, 2025

Updated: Jun 13, 2025

1. Global Market and Trade Developments

U.S.-China Trade Tensions Escalate: The U.S. Department of Commerce introduced stricter licensing requirements for ethane exports to China, with potential denials for some requests. This move, seen as an extension of U.S.-China trade disputes, may disrupt global petrochemical supply chains, particularly for plastics production
Rare Earth Supply Constraints: China’s tightened rare earth export policies have intensified global supply shortages, impacting industries from electric vehicle batteries to wind turbines. The U.S. and EU are ramping up domestic mining efforts, but short-term gaps persist
EU Carbon Border Adjustment Mechanism (CBAM): The EU’s CBAM, now fully implemented, imposes tariffs on high-carbon chemical imports like ammonia and plastics, pressuring Asian and Middle Eastern exporters to adopt low-carbon technologies .

Green Ammonia Investments: BASF and Dow Chemical announced investments in green ammonia production for fertilizers and fuels in Europe and North America, with projects slated for 2026 .
Bio-Based Plastics Growth: DuPont and SABIC unveiled new bio-based polyethylene materials for packaging and automotive applications, targeting commercialization by late 2025 .
Transparent Polyimide Films: Demand for transparent polyimide films in OLED displays and aerospace continues to rise, with key players like MGC, DuPont, and SKC driving growth in the Asia-Pacific market .

Advanced Composites Expansion: Hexcel and Toray Industries expanded carbon fiber composite production in the U.S. to meet demand from Boeing and SpaceX .
ADC Market Surge: The antibody-drug conjugate (ADC) sector saw increased investment in chemical linkers and coupling agents, with Merck KGaA partnering with a U.S. startup to develop novel ADC materials .
China Chemical Industry Updates: China National Chemical Corporation (ChemChina) held discussions with Hangyang Group, potentially exploring industrial gas collaborations. Meanwhile, a fatal explosion at a nitrocellulose facility in Hebei raised supply chain concerns for ACR additives .

Energy Price Volatility: Rising natural gas and crude oil prices, particularly in North America, are increasing costs for ethane and propane, impacting downstream petrochemical competitiveness.
Chemical Sector Outlook: Major firms like LyondellBasell and Evonik reported cautious Q2 2025 profit forecasts due to raw material cost fluctuations, though specialty chemicals (e.g., battery additives, electronics materials) remain resilient .
Tin Price Surge: A Myanmar earthquake and mining ban drove global tin prices to AUD $42,500/ton, affecting electronics and chemical coatings supply chains .

Asia-Pacific: The region remains the largest consumer of chemicals and materials, driven by China’s role in EV battery materials and green tech. However, export restrictions on ethane and rare earth pose risks .
Europe and North America: Policy-driven shifts toward low-carbon production continue, with the EU leading in regulatory frameworks and the U.S. focusing on innovation and self-sufficiency .
This content comes from www.chemwi.com. Please indicate the source when reprinting.