For Aromatics products, the Company anticipates that the product spread for paraxylene and naphtha in 2024 will decrease to a range of 370-390 USD/ton, down from 2023. Economic challenges in the global economy and changing consumer behavior contribute to the expected decrease. The spreads for benzene and naphtha are expected to be around 240-260 USD/ton, which is similar to 2023. The economic outlook is expected to gradually improve in the latter half of 2024, driven by continued economic stimulus package by the Chinese government, which can positively drive up the benzene market. The production capacity utilization rate for the aromatics is expected to be at 94% in 2024. The outlook for Olefins products, the Company anticipates that Ethylene products price will be at 910-940 USD/ton and Propylene price is expected to be 900-930 USD/ton. Both will increase from 2023. Economic conditions are expected to slowly improve in the second half of 2024, which can support the overall market for ethylene and propylene. The Company expects Olefins utilization rate to be around 92% in 2024. Intermediates Business Unit For Phenol market trend in 2024, the Company expects that Phenol P2F spread will be in the range of 210-230 USD/ton. This reflects a decrease from 2023 and is impacted by ongoing economic challenges in the first half of the year, with a gradual improvement expected in the latter half of 2024. The economic stimulus package in China is anticipated to support this improvement. However, the continuous growth of new capacities entered in China will exert pressure on Phenol products. Regarding MEG (Monoethylene Glycol) market trends, the company expects the price of MEG to be around 540-560 USD/ton with an upward trend. There is an expectation of a gradual recovery in the second half of 2024 as economic pressures will start to ease. This will support the demand for MEG products. For PTA (Purified Terephthalic Acid) products, the Company anticipates that the product spread for PTA will gradually improve in 2024 as various economic activities worldwide, including trading and tourism, return to more normal levels. Polymers & Chemicals Business Unit The Company anticipates that the average Polyethylene price in 2024 is expected to be 1,050-1,080 USD/ton, with a slight increase from 2024. The demand for plastic resins is expected to be supported by economic stimulus package and recovery measures implemented by countries worldwide. However, there are factors that may exert pressure, such as economic setbacks and global central bank policies to manage inflation rates. Additionally, there is still some uncertainty related to geopolitical factors in the European and Middle East region. In terms of suppliers, the Company anticipates that there will be additional capacities coming from countries such as China, India, and the United States. The Company expects the Polyethylene plants utilization rate to be around 104% in 2024. Performance Chemicals Business Unit The economic slowdown is expected to continue to have a prolonged impact on the demand for industrial Coating Resin products. However, it is anticipated that the growth in demand for products in this business unit will outpace the overall GDP growth. This is due to several factors that underscore the importance of quality control and surface protection in various industries that utilize coating resins, particularly in industries such as automotive. Sustainability Management (Environment, Social, Governance & Economic) GC strives to operate for the organization’s growth as well as the balance of the three dimensions, namely environment, social, governance and economic (ESG). Our success has been reflected throughout the recognitions both national and international. The company has implemented sustainability strategies and achieved the objectives as our goals. We have also attained outstanding results under sustainability strategy (Step up): Sustainability Management in the Environmental Dimension Efficiency-driven: GC is undertaking improvements in energy management by incorporating low-carbon technologies into the production processes and 125 PTT GLOBAL CHEMICAL PUBLIC COMPANY LIMITED Form 56-1 One Report 2023
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