How fluctuating crude oil prices impacts petrochemical industry?
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Fluctuating crude oil prices have a significant impact on the petrochemical industry. Studies have shown that global demand shocks and oil-specific demand shocks have a positive effect on crude oil prices, while oil supply shocks have no significant effect . The price uncertainty of naphtha and crude oil directly affects the operating condition and profit of the petrochemical process . The prices of basic petrochemical feedstocks, such as naphtha, benzene, ethylene, and propylene, react to changes in oil prices, with naphtha prices moving one to one with oil prices in the long run . The volatility of oil prices also affects the cost and profit of downstream industries in the petrochemical sector, particularly those at the top of the industry chain . Chemical makers in the industry have been impacted by high feedstock costs due to rising petroleum prices, leading to lower earnings forecasts and financial difficulties .
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28 Citations | The provided paper does not specifically mention how fluctuating crude oil prices impact the petrochemical industry. The paper discusses the impact of rising oil prices on the chemical industry as a whole. |
06 Sep 2011 3 Citations | The paper does not specifically mention the impact of fluctuating crude oil prices on the petrochemical industry. The paper focuses on the effects of oil price fluctuations on the cost-profit ratio of industries such as oil processing, coking, chemical materials and chemical manufacturing, transportation, and pharmaceuticals. |
01 Jan 2018 1 Citations | The paper analyzes the relationship between crude oil prices and prices of basic petrochemical feedstocks. It finds that naphtha prices move one to one with oil prices in the long run, while prices of other feedstocks react less than unity. |
01 Jan 2018 1 Citations | Fluctuating crude oil prices directly affect the operating condition and profit of the petrochemical industry, leading to a difference in profit with the same amount of raw material procurement. |
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