Impact of India's lockdown on China PX and PTA industry

ndia’s Prime Minister Narendra Modi on Mar 24 evening announced a 21-day nation-wide lockdown to curb the spread of the coronavirus. The government previously announced on Mar 22 lockdown of New Delhi, Mumbi and major cities from Mar 23 till Mar 31, to slow the spread of coronavirus and refrain infected people from moving. According to the data, the total number of COVID-19 cases in India have risen up to 536 as of 08:00 AM, Mar 25.

After the Mar 22 announcement of city lockdowns, India’s Directorate General of Shipping (DGS) imposed quarantine on shipping vessels from ports of infected countries including China for 14 days starting from the date of departure from the infected ports. It remains to be seen whether India will become stricter in dealing with shipping vessels after the announcement of nation-wide lockdown.

Relationship between India and China in terms of PX and PTA

PX: India takes up to about 8% of world’s total PX capacity, as world’s third largest PX producer following China and South Korea.