June 15, 2022 • Posted in Daily Bulletin

MH Daily Bulletin: June 15

News relevant to the plastics industry:

At M. Holland

  • M. Holland’s 3D Printing group offers a rapid response alternative for producing selected parts where resin availability is tight. For more information, email our 3D Printing team.
  • Market Expertise: M. Holland offers a host of resources to clients, prospects and suppliers across nine strategic markets.

Supply

Europe imported record amounts of liquefied natural gas in 2022
  • More oil news related to the war in Europe:
    • Russia’s self-reported oil and gas revenues dropped by more than half from April to May, largely due to currency movements. 
    • A key piece of equipment for Russia’s Nord Stream gas pipeline to Europe is stuck in Canada due to Western sanctions, sending flows down 40% and causing European gas prices to spike by double digits on Tuesday. 
    • The U.S. will allow certain energy-related transactions with Russian banks to continue through Dec. 5, corresponding to the EU’s deadline for ending Russian crude imports. 
  • High fuel prices are exacerbating a cost-of-living crisis in the U.K., with some earners spending up to a fifth of weekly wages just to fill up their tanks. 
  • Mexico’s administration is maintaining a generous regimen of subsidies and tax exemptions covering roughly 36% of true fuel costs, despite growing hits to the nation’s revenue. 
  • Brazil’s subsidized fuel prices will remain some 20% below international levels after Petrobras delayed an expected price hike. 
  • China is launching a larger-than-expected campaign to build hydro energy storage that could meet 23% of the nation’s peak power demand by 2025. 
  • NextEra Energy, owner of Florida Power & Light and one of the world’s biggest renewable developers, plans to use massive solar farms to make most of its operations carbon-free by 2045
  • The EU is considering a one-year delay to 2027 for the launch of its carbon market for buildings and transport. 
  • BP is taking the lead on a $30+ billion project to produce massive amounts of hydrogen from renewable sources in Australia’s Outback. 

Supply Chain

Domestic Markets

United States Fed Funds Rate

International Markets

  • Hong Kong tightened restrictions on nightclubs and bars responsible for the island’s recent rise in COVID-19 cases. A transition in Hong Kong’s leadership next month could bring different pandemic restrictions.
  • A new wave of COVID-19 may be starting in the U.K., driven by the fast-spreading BA.4 and BA.5 subvariants of Omicron. 
  • Canada will end its mandatory COVID-19 vaccination policy for air and rail travelers beginning June 20. 
  • EU countries are pressuring COVID-19 vaccine makers to renegotiate contracts amid weakening demand.
  • Global profit expectations fell in June to their weakest level in almost 14 years, according to a Bank of America survey, with 73% of investors forecasting a weaker economy over the next 12 months.  
  • The euro zone’s trade deficit almost doubled in April from the previous month, while industrial production rose 0.4%. Meanwhile, the bloc’s central bank will hold an emergency meeting today to discuss bond-market turbulence that followed its plan to reduce bond buying and raise interest rates. 
  • China’s industrial production unexpectedly grew by 0.7% in May from a year ago, supported by rebounding manufacturing output as lockdowns eased:
China Industrial Production
  • Earnings at Asian firms declined 3.2% in the March quarter, the first decline in seven quarters on the supply impact of Chinese lockdowns. 
  • Canadian factory sales rose 1.7% in April, the seventh straight monthly rise on gains in energy products, cars and metals. 
  • When adjusted for inflation, average household earnings in Britain were 3.4% lower than a year ago in April, the sharpest decline in two decades. 
  • Argentina’s 12-month inflation rate topped 60% in May. 
  • More news related to the war in Europe:
  • Ryanair expects summer fares to be up to 9% higher than pre-pandemic levels amid surging travel demand. 
  • Cathay Pacific Airways of Hong Kong, one of the few places still imposing quarantines on arriving travelers, carried just 4% of the passengers and 34% of the cargo that it carried before the pandemic, as the airline maintained forecasts for a steep loss this year. 
  • Certification issues are pushing back Airbus’ plans to start delivering its milestone A321XLR narrow body jetliner. 
  • Volkswagen and Mercedes indicated they could achieve the EU’s plan to ban gas-powered cars by 2035
  • BMW is testing new batteries in an electric SUV model that can reportedly hold a charge for 600 miles

Some sources linked are subscription services.

Stay informed with industry trends and insights.

Subscribe