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re: Ethane Exports to China (Major Buyer) Coming Under Scrutiny
Posted on 6/5/25 at 9:45 am to Ash Williams
Posted on 6/5/25 at 9:45 am to Ash Williams
quote:
I guess they got them a lot of shrimp boils over there, them.
Surely you are referring to propane.
But just as an FYI (and sorry if you already know), ethane is uses as a feedstock for plastics. It's why we don't use ethane as a fuel source for cooking or heating like methane (i.e., natural gas), propane and butane. Chemical plants buy up the ethane from producers and pipeline companies like Energy Transfer transport it to refineries to make plastics. Ethane > ethylene then ethylene is a building block for producing polyethylene, ethylene oxide, vinyl chloride, and other chemicals used in plastics, solvents, and antifreeze.
This is why China needs ethane. Cutting their ethane supply makes their cheap plastics more expensive.
0
Posted on 6/5/25 at 9:48 am to ragincajun03
I cant wait to read all the posts in this thread from people who dont understand how big of a deal this is. Its a bigger deal than rare earth magnets China is trying to keep from us.
Much bigger.
Much bigger.
Posted on 6/5/25 at 9:56 am to LSUnation78
quote:
I cant wait to read all the posts in this thread from people who dont understand how big of a deal this is. Its a bigger deal than rare earth magnets China is trying to keep from us.
Much bigger.
I don't know how big it is but it seems big because China makes a lot of cheap plastics and ethane is the feed stock. If the cost of ethane increases for China, domestic refineries can be a lot more competitive.
Also, as an FYI, Energy Transfer and Enterprise Products typically do not own the product they transport. They are mostly transportation companies. Not product companies.
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