Extraction Margin Normalization

As the premium for fuel over chemicals narrows, refiners are expected to shift back toward industrial extraction. This will gradually replenish benzene inventories for the styrene and phenol sectors in the US and Europe.

Inventory Shortfall Persists

While prices are falling, current inventory at major chemical hubs remains at its lowest seasonal level in four years. This structural tightness ensures that benzene prices will find a floor significantly above 2025 levels.