Braskem Sa's Competitiveness

The company is the largest producer of plastics in the Americas, holding leading positions in polyethylene (PE) production in Mexico and polypropylene (PP) production in the United States, according to CMA. Competitors in Brazil face challenges due to the need to import products from distant regions such as the Middle East, along with import tariffs that reduce their competitiveness. The global petrochemical market is affected by supply shocks including the competitiveness of natural gas and ethane in the United States and the Middle East, China's efforts toward self-sufficiency resulting in oversupply, and refinery reconfigurations in Europe that have decreased naphtha supply. These factors have contributed to a surplus of products particularly in China, the United States, and the Middle East. The company benefits from a diversified raw material base and a global marketing platform, with geographic and logistics diversity providing supply redundancy and flexibility. Additionally, the company employs various technological processes at its polyolefins plants to address customer needs and sustain its competitive position.