Russia’s invasion of Ukraine has accelerated the surging fossil feedstock price that has continuously climbed throughout 2021. Tecnon OrbiChem consultants have reported their analysis of the impact of these surging prices in several key chemical intermediates. As Russia plays an outsized role in global energy markets given that it is the world’s third-largest oil producer and the largest exporter, a key strategy is to start reducing this dependency, especially for several European countries.
This white paper from Tecnon OrbiChem discussed the developments in several renewable chemicals sectors including hydrogen, methane, methanol, and naphtha. It also noted the potential impacts in renewable chemicals that are dependent on agriculture feedstock such as fats, oils, sugar and carbohydrates. Russia’s invasion of Ukraine and the sweeping sanctions from the US, UK and parts of Europe that ensued, have further rocked the fats and oils market this year. Ukraine and Russia ship more than 75% of global sunflower oil exports, one of the world’s four leading edible oils. Grain prices have soared for all major exporters as wheat, corn, and barley are the major grains supplied by Ukraine and Russia.
The pine chemicals market, while considered a niche industry compared to the overall chemicals sector, also has the potential to be affected by the sanctions coming from each side – Russia and the Western markets. While Ukraine does not have any pine chemicals production, Russia, however, is considered a major global CTO producer and exporter, especially to Europe.
You can download this white paper on this link, which is part of Tecnon OrbiChem’s latest blog post on the Russia-Ukraine trade impact analysis.
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