Chlor-alkali
Overview
The dynamic between chlorine and caustic soda and their varied end-uses creates a very dynamic market for chlor-alkali products, meaning that the markets do not grow equally.
Tracking this market requires a high level of understanding of the dynamics and the experience to interpret the market to provide an accurate price assessment.
Argus’ chlor-alkali experts will help you decide what trends to track and how to stay competitive in today’s ever-changing global markets.
Latest chlor-alkali news
Browse the latest market moving news on the global chlor-alkali industry.
Ti market assesses fallout of UKTMP chlorine gas leak
Ti market assesses fallout of UKTMP chlorine gas leak
London, 28 May (Argus) — The titanium market is assessing the fallout of a chlorine gas leak at Kazakh titanium sponge producer Ust-Kamenogorsk Titanium and Magnesium Plant (UKTMP) on 19 May, with the company anticipating no significant impact to production but other sources cautioning the possibility of outages during repairs. "An industrial incident occurred during a scheduled preventive cleaning of equipment at one of the production sites, as a result of a short-term deviation in the operation of the gas exhaust system," UKTMP told Argus . The leak occurred during maintenance to repair blocked pipes on one of the plant's chlorinators. One of the emitted gases was chlorine, which is used in the Kroll process to convert titanium dioxide into titanium tetrachloride. Titanium tetrachloride is subsequently reduced with magnesium to produce titanium sponge. Additional cleaning was promptly carried out and UKTMP switched to a reserve chlorinator per standard procedure, it told Argus . But one market source questioned the condition of UKTMP's reserve equipment, owing to a lack of investment in recent years. "The incident did not affect the production process as a whole, especially the production of titanium sponge. Today, the plant is operating normally, without any change to the production schedule," UKTMP said. Mixed or limited information received by market participants has led to varied reactions. Some sources have claimed that the situation is more critical than UKTMP has said, underpinned in part by videos released online of green chlorine gas over Ust-Kamenogorsk in eastern Kazakhstan, although Argus could not verify these videos. It could take more than six months to repair damaged equipment, during which time sponge production will be affected, some sources claimed, but UKTMP denied such an outage. US titanium producer ATI confirmed to Argus that its supply of titanium sponge is secure, but ATI could not provide insight on UKTMP's operations. France's Aubert & Duval — a consumer of aerospace-grade 6Al 4V ingot, and titanium sponge through its EcoTitanium subsidiary — declined to comment. One Atlantic alloy producer that Argus understands procures 6Al 4V ingot from UKTMP said it does not see any risk to grade 5 ingot supply as a result of the leak. UKTMP produced 19,000t of titanium sponge last year, according to the company, accounting for 21pc of aerospace-approved sponge supply, or 16pc, including Russia. By Samuel Wood Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.
OxyChem maintains demand estimates for 2025
OxyChem maintains demand estimates for 2025
Houston, 8 May (Argus) — US chemical producer OxyChem is maintaining expectations for demand growth in its key sectors this year and remains committed to its profit guidance despite various market challenges. OxyChem during its first quarter earnings call today said its full-year profit guidance is $900mn-$1bn, roughly in line with the $1bn midpoint guidance for 2025 it expected during its 2024 fourth quarter earnings call. The company said the performance of its chemical sector exceeded expectations for the first quarter, although winter weather disrupted production and stoked higher operating costs during the three-month period. Sales revenue totaled $1.19bn in the first quarter, less than 1pc higher than a year earlier. The company expects domestic polyvinyl chloride (PVC) consumption to grow by 4-5pc in 2025 from last year, while higher costs associated with first quarter disruptions were now over. But the company added there is still uncertainty around how demand, costs, and prices will overlap during the months ahead. Challenges to PVC prices persist because of China's increasing dominance in the global market. China's global PVC market share grew from virtually nothing in 2020 to roughly 30pc in 2024 as producers sold overbuilt domestic supply, OxyChem said. China's increased presence in the export market weighed on global PVC export prices, which eventually pressured domestic US contract prices, the company added. OxyChem anticipates caustic soda demand will mirror last year, but recent expansions in the wider industry could pressure prices. OxyChem reported a $185mn profit for the first quarter, 27pc lower than the same quarter a year earlier despite higher sales revenue. By Aaron May Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.
Orbia focused on cost in face of weak PVC market
Orbia focused on cost in face of weak PVC market
Houston, 25 April (Argus) — Mexico-based chemicals producers Orbia is focusing on reducing future costs as the broader polyvinyl chloride (PVC) industry faces weakening market dynamics. Orbia said Friday it would focus on maintaining strict discipline on fixed costs, working capital, and capital investments to weather the turbulent global economic landscape. The company is targeting $250mn in savings by 2027, with cumulative savings of $160mn by the end of 2025. The company also expects $75mn of divestments by the end of the year in its building and infrastructure segment. Plants and related infrastructure in Europe were the primary targets of the optimization, according to company officials on the first-quarter earnings call. Orbia chief executive Sameer Bharadwaj said the company could revise capital expenditures lower from its initial $400mn target provided earlier this year should market conditions further deteriorate. Short-term operating costs currently face lower levels with falling ethane prices, a critical feedstock to manufacture ethylene for PVC production. The focus on cost management was spurred by sluggishness in the global PVC market. Chinese and US PVC producers drove export prices lower as a means of moving excess capacity, which Orbia expects to continue. "PVC pricing is as low as it gets" Bharadwaj said. He added producer margins would be squeezed further if product prices continue to decrease. Orbia posted a $41mn profit during the first quarter, down from the $106mn profit a year earlier. Orbia's polymer solutions segment, which includes PVC production, reported $6mn loss during the three-month period because of lower global prices for vinyls and a force majeure at its Coatzacoalcos, Veracruz, plant that was lifted in mid-April. Orbia made a $24mn profit during the same period a year ago. The building and infrastructure segment, inclusive of PVC products, posted a $3mn profit for the quarter compared to a $33mn profit a year earlier. By Aaron May Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.
Dow studying German cracker and chlorine/vinyl closures
Dow studying German cracker and chlorine/vinyl closures
London, 24 April (Argus) — Dow has announced an expansion of its strategic review of European assets, which it said may result in the potential idling or shutdown of its cracker in Boehlen, Germany, chlor-allkali and vinyl assets in nearby Schkopau, also in Germany, and the shutdown of siloxanes production in Barry, UK. The company aims to complete the review, including the initial scope of its polyurethanes business by mid-year. The European actions are part of a package of measures aimed at delivering $6bn in cash support to help it manage the current downturn. Outside Europe, Dow said that it would also delay construction of its Path2Zero project in Fort Saskatchewan, Alberta, Canada until market conditions improve. The total includes $1bn in costs savings by 2026, $1bn in capital expenditure savings and proceeds from the sale of a stake in a newly-formed infrastructure-focused company resulting in the sale of a minority stake in select US Gulf Coast infrastructure assets. The measures were announced as Dow reported first quarter 2025 results with a net loss of $290mn, down by $444mn year on year, primarily driven by lower prices and higher energy and feedstock costs. Sales of $10.4bn were down by 3pc on the year but with a volume increase of 2pc. Dow chief executive Jim Fitterling said: "The significant impact of slower GDP growth and volatile market conditions on our industry underscores the importance of our proactive management and best-owner mindset. Today's announcements build on Dow's cost actions that are already underway, aiming to further strengthen our financial flexibility and support a balanced capital allocation approach." Dow's cracker in Boehlen has an annual ethylene nameplate capacity of 540,000 t/yr, with propylene capacity of 285,000 t/yr. The review comes in the same week that TotalEnergies announced a plan to close one of its Antwerp crackers by the end of 2027. LyondellBasell, which is also reviewing a number of European chemical assets, will announce its first quarter 2025 results tomorrow. At Schkopau, Dow operates a chlor-alkali unit with 250,000 t/yr chlorine capacity and 740,000 t/yr ethylene dichloride capacity. The site previously had around 330,000 t/yr of capacity for chloride monomer (VCM) production, with two lines operating at the site, but Dow closed the larger of the two lines to reduce capacity to roughly 110,000 t/yr of VCM earlier this year. Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.
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