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Oil Prices Surge Past $100, Boosting Formosa Plastics and Grand Pacific Petrochemical

Process Industries · Chemicals: Major Diversified · economic_daily · 2026-09-11

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Global oil prices have surged above $100 per barrel, driving up prices for general-purpose resins like PVC and ABS, benefiting suppliers such as Formosa Plastics and Grand Pacific Petrochemical as the industry enters its peak season.

What Happened

Oil Price Rally: Geopolitical tensions between the U.S. and Iran have disrupted supply chains, pushing international crude oil prices above $100 per barrel and triggering a broad increase in petrochemical resin costs.

Resin Market Performance: Prices for ABS, PS, PP, and PVC have risen by $10 to $60 per metric ton, reflecting strong downstream demand, although polyethylene (PE) products have shown mixed results with slight price corrections.

Corporate Outlook: Major suppliers including Formosa Plastics, Grand Pacific Petrochemical, and Delta Petrochemical are expected to see operational benefits from the rising price environment, according to industry analysts.

Seasonal and Policy Tailwinds: The industry is entering the traditional 'Golden September and Silver October' peak season, while expectations of Chinese government stimulus measures to boost domestic demand provide further optimism for sustained price growth.

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