The LNG stupidity shock

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From the AFR:

The lack of alternative feedstocks for chemical production and their exposure to international competition means that sector will bear the heaviest toll from the rising prices, caused by the surge in growth in LNG exports.

But the metals and steel manufacturing sectors and wood, pulp and paper manufacturers are also set to wear pain over the next few years as the market adjusts to the transformation being wrought on the gas market by the LNG surge.

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About the author
David Llewellyn-Smith is Chief Strategist at the MB Fund and MB Super. David is the founding publisher and editor of MacroBusiness and was the founding publisher and global economy editor of The Diplomat, the Asia Pacific’s leading geo-politics and economics portal. He is also a former gold trader and economic commentator at The Sydney Morning Herald, The Age, the ABC and Business Spectator. He is the co-author of The Great Crash of 2008 with Ross Garnaut and was the editor of the second Garnaut Climate Change Review.