Global News ,Market Developments,Policy & Regulation,Macro Environment & Trade(July 7-13, 2025）

Industry & Corporate News

Dow’s European Plant Closures Dow will permanently shut three European chemical plants—an ethylene cracker in Böhlen and a chlor‑alkali & vinyl facility in Schkopau (both Germany), plus a siloxanes plant in Barry, UK—impacting around 800 jobs, in addition to 1,500 cuts already announced. The move is part of a cost-saving strategy, projected to incur US$630–790 million in charges, and aims to eliminate high-energy, low-margin assets by 2027–29.

Quantum Dots to Supercharge Solar Efficiency First Solar has partnered with UbiQD, a New Mexico-based nanotechnology company, to integrate copper indium-based quantum dots into its bifacial solar panels. These quantum dots enhance the absorption of reflected sunlight from the ground, potentially increasing energy output by more than 5%.

Energy Market Developments

Crude Oil: Supply Appears Tighter Than Expected According to the International Energy Agency (IEA), global oil supply in 2025 is growing faster than previously forecast (+2.1 million b/d), but refinery throughput and summer demand are tightening market conditions. Brent crude rose toward $70/barrel as supply outlook narrows.

Oil Prices Climb on Geopolitical Tensions Brent settled at $70.44/barrel, and WTI at $68.50/barrel as markets priced in potential new sanctions on Russia and increased summer travel demand.

Chemicals & Materials Market Activity

U.S. Chemical Investment Hits Record LevelsAccording to the American Chemistry Council (ACC), U.S. chemical manufacturing construction hit a record-high annual rate of $41.7 billion in May (+1.7%). Meanwhile, the Global Chemical Production Regional Index (CPRI) rose 0.3%, with growth led by Europe and Asia-Pacific.

BASF Cuts 2025 Outlook Germany’s BASF lowered its 2025 EBITDA guidance to €7.3–7.7 billion, citing weaker global demand, lower industrial production, and new U.S. tariffs. Q2 sales fell nearly 10% year-over-year.

European Producers Eye Divestment High energy costs and regulatory burdens are driving companies like Dow, BASF, and Sabic to consider asset sales or downsizing in Europe, shifting operations to more cost-competitive regions.

Rare Earths & Natural Gas

U.S. Strengthens Rare Earth Supply Chain The U.S. Department of Defense invested $400 million in MP Materials, acquiring a 15% stake in its Mountain Pass rare earth mine in California and backing a magnet plant in Texas. Ramaco Resources also announced rare earth discoveries in Wyoming, boosting its stock by 31%.

Natural Gas Outlook Remains Volatile Natural gas remains a key transitional fuel in 2025, with prices and supply influenced by geopolitical instability, LNG trade flows, and regional energy policies (e.g., Europe’s shift away from Russian gas).

Policy & Regulation

EU → Critical Chemical Alliance The European Commission will launch a Critical Chemical Alliance to strengthen EU supply chains for essential chemicals. The initiative will pinpoint strategic production sites, reduce dependency (e.g., 80% of methanol is imported), embed critical-chemical criteria in public procurement, and simplify regulations—saving an estimated €363 million annually.

Global Materials Governance Calls A Financial Times opinion piece highlights the urgency for an International Materials Agency. With nations stockpiling critical minerals (for clean energy, defense, etc.) and amid geopolitical tension—statistics like China’s rare-earth export limits—experts argue a global body is needed to coordinate data, ensure sustainability, and prevent resource exploitation. A G20 summit may be the moment to start.

Macro Environment & Trade

U.S. Tariff Threats Escalate Trade Tensions Globally

Under President Trump, the U.S. administration issued letters to 14 countries—including Japan, South Korea, Brazil, India, and Canada—threatening to impose 35% tariffs starting August 1. This move has heightened global trade tensions, raised uncertainties in manufacturing supply chains, and prompted warnings of possible retaliatory actions from China. Amid the market jitters, investors sought safety in gold, pushing prices above $3,300 per ounce.

On July 11, markets were spooked again as the U.S. proposed 35% tariffs on Canadian goods. Meanwhile, Brent crude averaged $67.88/barrel in Q2—down from $75.73 in Q1—and energy giants like BP are warning of profit pressure due to lower fuel prices.

Commodities Market Turns Cautious

IEA warns of a slowdown in petrochemical demand. Oil and chemical market participants are closely watching monetary policy, interest rates, and trade restrictions that may curb Q3 consumption growth.