Styrene monomer prices trend lower in Asia

On Tuesday, SM prices dropped in Asia, as per Polymerupdate.

An industry source in Asia informed a Polymerupdate team member, "SM prices were evaluated lower due to declining upstream benzene prices combined with pessimistic market sentiments in the Asian markets.

On Tuesday, FOB Korea SM prices were assessed at the USD 830-840/mt levels, a fall of USD (-10/mt) from Monday.

CFR China SM prices were assessed at the USD 840-850/mt levels, down USD (-10/mt) from Monday's assessed levels.

Meanwhile, upstream benzene prices on Tuesday were assessed at the USD 695-705/mt FOB Korea levels, a drop of USD (-5/mt).

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The US government will acquire a 5% stake in Lithium Americas Corp. and a separate 5% stake in the Thacker Pass lithium project in Nevada, US Energy Secretary Chris Wright said Oct. 1, as per Chemweek.

This development comes after the Energy Department's Loan Programs Office restructured a $2.26 billion loan agreement with the company, after a review raised concerns about Lithium Americas' ability to repay due to low lithium prices. The agreement was initially approved by the Biden administration in 2024.

The revised deal ensures that Thacker Pass, the only source of lithium carbonate in the US, will proceed. It includes more than $100 million in new equity, and will help fund the construction of lithium carbonate manufacturing facilities.

"Despite having some of the largest deposits, the [US] produces less than 1% of the global supply of lithium," said US Energy Secretary Chris Wright. "Today's announcement helps reduce our dependence on foreign adversaries for critical minerals by strengthening domestic supply chains and ensures better stewardship of American taxpayer dollars."

Thacker Pass is expected to produce about 40,000 metric tons of battery-grade lithium carbonate per year once fully operational. Lithium Americas currently holds a 62% stake in the project, while General Motors Co. holds 38%.

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Agchem giant Corteva Inc. has announced plans to split into separate, publicly traded seeds and crop protection companies, as per Chemweek.

The move will “unleash two distinct market leaders” with operating models and capital allocation priorities tailored to support their respective growth outlooks and strategic directions, according to Corteva.

2025 net sales attributable to the crop protection business, dubbed “New Corteva,” are forecast to total $7.8 billion. The seeds business, or “SpinCo,” is expected to post sales of $9.9 billion.

The crop protection market has been grappling with destocking and price competition from Chinese manufacturers, whose lower production costs and aggressive export strategies are pressuring margins across the industry.

“The seed and crop protection markets have evolved, and as a result, we see the opportunities ahead for both companies diverging – this is the right time to act to stay ahead of the market,” said Corteva CEO Chuck Magro. “This separation will allow both businesses to maximize long-term value creation by focusing on their own priorities. As such, we see this separation as the logical next step in their growth trajectory.”

New Corteva will benefit from a stronger strategic and operational focus, including supply chain optimization, organic investment in differentiated solutions, and “disciplined” M&A to expand market positions in attractive portfolios or geographies. As a standalone company, SpinCo’s capital allocation will prioritize targeted M&A, sustained investment in R&D, and the fulfillment of existing opportunities, including out-licensing, hybrid wheat, biofuels and gene editing.

Restructuring has been a hallmark of the agchems industry, especially during periods of economic or regulatory stress.

The last downturn in ag markets in 2015–16 spurred the top-five agchem companies to consolidate into three $10 billion-plus giants. In 2017, Dow Chemical and DuPont merged to set up a 2019 split into three independent pure-play companies, one of which was Corteva. That same year, state-owned ChemChina acquired Syngenta for $43 billion. In 2018, Bayer acquired Monsanto for $63 billion, a deal that required Bayer to offload several of its seeds and crop protection products to BASF for €7.6 billion to obtain antitrust approval. DuPont and FMC also engaged in an asset swap in 2017 through which FMC gained DuPont’s cereal broadleaf herbicides and chewing insecticides portfolios.

More recently, BASF announced that it is preparing an IPO for its agricultural solutions business. The company is targeting the second half of 2027.

Corteva said the tax-free transaction is expected to be completed in the second half of 2026, subject to certain conditions. Lazard and Morgan Stanley & Co., LLC are serving as financial advisors; Cravath, Swaine & Moore LLP is acting as legal advisor.

Upon separation, current Corteva Chair Greg Page will become Chair of New Corteva; current Corteva CEO Chuck Magro will become CEO of SpinCo. Full board and management teams of both companies will be announced at a later date.

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RPM international Inc. today reported fiscal first-quarter net income that was roughly flat year over year, at $227.6 million, on net sales up 7.4%, to $2.11 billion, as per Chemweek.

Adjusted earnings totaled $1.88 per share, matching analysts’ consensus estimate, as reported by S&P Capital IQ. Growth in sales and volumes drove results, along with acquisitions and operational improvements.

The company also adjusted its forecasts for the full fiscal year. Sales are expected to rise toward the higher end of prior guidance calling for low to mid-single-digit percentage growth, while consolidated adjusted earnings before interest and tax is expected to increase toward the lower end of prior guidance calling for high single to low double-digit percentage growth.

“While tariff-related inflation remains a challenge, we are working to mitigate these headwinds through a series of measures, including price increases late in the first quarter,” said RPM Chairman and CEO Frank Sullivan. “We will also begin realizing more efficiency benefits from our streamlined three-segment structure in the second quarter.”

Construction products segment sales increased 6.5% year over year, to $881.4 million, while segment EBIT was up 1.5%, to $163.9 million. Sales volumes for roofing products for “high-performance buildings” and infrastructure products drove the increases, RPM said.

Consumer products segment sales rose 6.6% year over year, to $693.8 million, while segment EBIT increased 1.9%, to $108.9 million. Acquisitions boosted results, partly offset by lower volumes and cost inflation.

Performance coatings segment sales rose 9.9% year over year, to $538.5 million, while segment EBIT increased 7.3%, to $82.1 million. Sales increases were broad-based, with particular strength in flooring products, protective coatings and specialty original equipment manufacturer coatings.

RPM’s fiscal first-quarter ended Aug. 31.

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Specialty chemicals and service provider Dorf Ketal (Mumbai) is reportedly in advanced negotiations to acquire Italmatch Chemicals SpA (Genoa, Italy) for $1.6 billion, according to a report by The Economic Times (ET), as per Chemweek.

The deal, which is being facilitated by Bain Capital, the current owners of Italmatch, is expected to finalize in the coming weeks, as both parties have entered exclusivity discussions, according to sources cited by ET.

Italmatch Chemicals operates across four major segments: water and oil treatment, lubricants, flame retardants and plastic additives, and performance products, including personal care items.

The ET said the company has made strides in specialty chemical additives, particularly in flame retardants, fabric softeners and lubricants, while establishing a robust presence in the US market. Italmatch boasts 20 manufacturing plants worldwide, nine of which are in the EU.

Reports suggest Italmatch’s CEO Sergio Iorio is likely to retain a portion of his stake to ensure continuity in leadership post-acquisition.

Having undergone several transitions in private equity, Italmatch was acquired by Bain Capital from Ardian SAS in 2018, with Bain subsequently selling a minority stake to Saudi Arabia's Dussur.

Italmatch reported a revenue of €686 million in 2024, marking an 8% increase in volumes compared to the previous year, while adjusted EBITDA rose 17% to €134 million.

In a related development, Dorf Ketal recently withdrew its IPO prospectus, with insiders indicating that this decision is linked to the ongoing negotiations for the acquisition of Italmatch, ET said.

Dorf Ketal, which reported a revenue of 54.7 billion Indian rupees ($617.7 million) in 2024, operates manufacturing facilities in India, Brazil and Canada and has contract manufacturing arrangements in the Netherlands. The company supports its global operations with research and development hubs in India, Brazil, Singapore and Canada, serving diverse sectors including energy, petrochemicals, refining, fuel additives, catalysts and specialty chemicals, according to ET.
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