How is the global phenol-acetone oversupply affecting cumene producers?

How is the global phenol-acetone oversupply affecting cumene producers?
The global phenol-acetone market is entering a structural oversupply phase. In Europe, acetone plants are running at just 60-70% utilization yet prices keep falling, indicating that even reduced output cannot clear the surplus. European phenol demand has already dropped nearly 30% since 2019 and is expected to keep declining about 1% annually through 2030. Meanwhile, Middle Eastern supply is accelerating into Europe, with Saudi volumes up 25% in 2025 and more aggressive pricing expected in 2026. Asia presents a contrasting picture: demand is still growing, but capacity additions are overwhelming it. China is slated to add roughly 680kt of phenol capacity in 2026 alone, including PetroChina Jilin's 250kt unit. India's new 350kt phenol plant will not absorb the regional surplus, leaving Asian producers squeezed toward breakeven.