The Korea Times
Geopolitical tensions in the Middle East are revealing more than a simple energy crisis — they are exposing a deeper vulnerability in the global petrochemical industry. The sparks from crude oil have now spread to naphtha. Korea and other Asian nations have long depended on the Middle East for a significant share of their naphtha imports, operating under the assumption that supply would remain stable. Yet instability around the Strait of Hormuz and the Gulf region is no longer just driving up oil prices; it has evolved into a structural risk threatening the very foundations of petrochemical feedstock supply. The consequences are already rippling across the industry. Soaring product prices, supply disruptions, growing risks of contract defaults and declining utilization rates at naphtha cracking centers (NCCs) are converging to deepen uncertainty. This is no longer a temporary shock. It is a structural problem — one that will almost certainly repeat itself. Against this backdrop, a fundamental question arises: Is continued dependence on fossil-based naphtha still a viable strategy? Th
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