Gas & Petrochemicals
Ethylene
Ethylene is a core petrochemical building block used in polyethylene, ethylene oxide, styrene and other derivative chains.
MARKET REFERENCES
How the market commonly references price
There is rarely one universal price for a physical commodity. Commercial value depends on the benchmark, specification, origin, destination, timing and logistics agreed between buyer and seller.
- ICIS / Platts CFR Northeast Asia
- CFR Southeast Asia
- Europe and US regional contract / spot references
TYPICAL COMMERCIAL STRUCTURE
How physical pricing is often built
Physical spot cargoes are typically negotiated against the prevailing regional CFR/FOB assessment ± a location, timing or grade differential. Contract markets may settle on monthly regional contract prices.
PRICE DRIVERS
What moves the physical differential?
- Cracker operating rates
- Naphtha / LPG feedstock economics
- Polyethylene demand
- Plant turnarounds
- Freight and vessel availability
PHYSICAL TRADE
Commercial considerations
Ethylene requires specialised gas-carrier logistics. Spot pricing is region-specific rather than based on one global benchmark.
The examples on this page describe common market conventions at a high level. Actual contracts can use different pricing periods, assessments, quality adjustments, Incoterms and negotiated differentials.
Market methodology reference: view source / methodology
PHYSICAL COMMODITY BROKERAGE
Discuss a Ethylene requirement.
Share the specification, quantity, origin or destination, delivery basis and timing.