MH Daily Bulletin: March 9
March 9, 2023 • Posted in Daily BulletinNews relevant to the plastics industry:
At M. Holland
- Each year, M. Holland joins organizations around the globe to celebrate the profound achievements and ongoing efforts of women on International Women’s Day. To celebrate, a few Mployees shared their thoughts on this year’s theme of #EmbraceEquity. Click here to watch the video.
- Plastics Business published a story written by M. Holland’s Todd Waddle, Director, Sustainability, which reviews key considerations for implementing post-consumer recycled (PCR) and post-industrial recycled (PIR) materials. Click here to read the full article.
Supply
- Oil dropped about 1% Wednesday on fears that more aggressive U.S. interest-rate hikes will pressure economic growth and oil demand.
- In mid-morning trading today, WTI futures were up 0.9% at $77.37/bbl, Brent was up 1.0% at $83.45/bbl, and U.S. natural gas was up 2.2% at $2.61/MMBtu.
- U.S. crude stocks fell by 1.7 million barrels last week, defying expectations for a build, according to the U.S. administration.
- This year’s freefall in U.S. natural-gas prices has upended the acquisitions market and could restrict new drilling, experts say.
- Oil executives at a major conference in Houston this week say the era of surging U.S. shale growth is nearing its peak.
- OPEC expects China’s oil demand to grow by up to 600,000 bpd this year.
- A bipartisan group of U.S. senators introduced legislation this week that would pressure OPEC to stop making output cuts.
- The initial budget proposal from the U.S. administration calls for scrapping a variety of subsidies and tax rules favorable to the oil and gas industry.
- Mexico’s state oil company Pemex ended 2022 with financial debt totaling nearly $108 billion, requiring at least $8.2 billion of payments this year.
- An adversarial government and violent protests are threatening Colombia’s economically vital oil industry, a driver of the nation’s economic miracle of the past decade.
- Brazilian oil and gas companies are criticizing a recent temporary tax on oil exports imposed by the government.
- French officials are throwing support behind nuclear energy in negotiations with the EU about plans to grow clean technologies.
- Germany is partnering with several Middle Eastern firms to set up a $34 billion green hydrogen project in northwest Africa’s Mauritania.
- The U.S. Energy Department is offering to cover up to half the cost of some clean-energy projects in the concrete, steel and chemical industries.
- A group of U.S. researchers say they created a new superconductor that can operate at normal pressures and temperatures to transmit electric currents without a loss — a potential boon for energy transmission.
- Polypropylene recycler PureCycle warned in SEC filings that it will miss the deadline for filing its 2022 annual report and could default on its bonds as it struggles to bring its flagship plant onstream.
Supply Chain
- Flood warnings were issued for Northern California in anticipation of another major storm expected to douse the state with rainfall.
- Train, air and water traffic was disrupted across France Wednesday as strikes against pension reform stretched into their second day.
- Elevated freight and labor costs remain problems for overstretched supply chains, experts say.
- Kuehne + Nagel is seeking a greater share of lucrative ocean trade lanes in a bid to expand even as freight volumes are falling.
- Israeli container line Zim is shutting down its expedited China-U.S. service as the pandemic boom unwinds.
- Uber Technologies has amassed a nearly $7 billion business in freight as it considers selling off the unit or listing it as a separate publicly traded firm.
- South Korean officials say the U.S.’s $52 billion Chips Act is too complicated to provide meaningful subsidies to some companies.
- Lowe’s is opening more warehouses that will serve as storage facilities for offseason goods, a bid to streamline its inventory distribution.
- Panama’s government and Canadian miner First Quantum Minerals agreed on a contract to operate a key copper mine following a weeks-long dispute.
- Apple is reshuffling management of its international business to put a bigger focus on India, according to reports.
- DB Schenker, Deutsche Bahn’s logistics arm, is partnering with ocean carrier MSC to carry at least 30,000 TEUs of cargo using transport with net-zero emissions this year.
- In the latest news from the auto industry:
- Production shortfalls are slowing GM’s rollout of two high-profile electric vehicles, the GMC Hummer EV and the Cadillac Lyriq.
- Stellantis finalized plans to build its first production site in South Africa by 2025.
- U.S. highway regulators are looking into over 120,000 Tesla vehicles following two reports of steering wheels falling off while driving.
- BMW will invest almost $600 million at its Mini plant in the U.K., a potential boon for the nation’s lagging auto production.
- Chinese electric-vehicle maker BYD plans to spend $20 billion over the next three years to develop commercial vehicles.
- Minnesota electricity provider Xcel Energy will soon have the nation’s largest utility-owned network of some 700 charging stations.
Domestic Markets
- First-time jobless claims jumped by 21,000 last week to 211,000, a ten-week high and the first time in eight weeks that claims have exceeded 200,000.
- U.S. economic activity increased slightly in late February while businesses reported a moderation in price increases that they expect to continue this year, the Federal Reserve said in a report.
- The U.S. trade deficit widened by a moderate 1.6% in January on a strong rise in both imports and exports.
- Today the White House is expected to release its budget proposal that will reduce federal deficits by $3 trillion over the next decade.
- Women are returning to the workforce, outpacing men in job gains for four consecutive months.
- The FAA is ramping up oversight of Boeing and plans to add nearly 300 employees to its safety office following two fatal 737 MAX crashes in recent years.
- Japan Airlines is close to ordering more than 20 Boeing 737 MAX jets as the carrier renews its medium-haul fleet.
- The $900 billion U.S. foodservice industry is still dealing with a severe shortage of workers, experts say.
- Chipotle Mexican Grill is adding 15,000 jobs across its North American locations in a sign that demand for restaurant food is robust.
- Campbell Soup raised its annual sales forecast after topping Wall Street estimates for quarterly results.
- A California-based aerospace startup is aiming to prove the durability of 3D-printed materials with the launch of a 3D-printed rocket into space.
International Markets
- China’s foreign minister warned that U.S. strategy toward China risks plunging the countries into a conflict.
- The Bank of Canada left its key overnight interest rate unchanged at 4.5% this week, becoming the first major central bank to suspend its monetary tightening cycle.
- Canada recorded an unexpected trade surplus of $1.38 billion in January driven by broad-based gains in exports.
- Ukraine’s year-over-year GDP fell by 26% in February after a 32% drop in January, officials said this week. The nation’s economic minister expects GDP to grow 1% this year.
- Hong Kong’s Cathay Pacific Airways reported a $834.42 million loss last year but was positive about the outlook for 2023.
Some sources linked are subscription services.