China’s adoption of its New Normal policies is bursting the bubble. Prices for most commodities are returning to historical, much lower, levels. Chemical companies face a major challenge now that China’s business model has changed. The country is no longer aiming to achieve high levels of economic growth by operating an export-focused development model, supported by vast infrastructure spending.
Instead, its New Normal policies are focused on boosting domestic consumption by creating a services-led model based on exploiting the opportunities created by the power of the internet. This “China Chill” highlights the chaos now having an impact on petrochemical feedstock and product markets...............................................Full Article: Source
|