Net petchem margins have strengthened in July 2026 for ethane, propane and butane. Ethane remains the highest-margin feedstock, averaging about 14¢/lb so far for July, up 7% from 13¢/lb in June and on par with a year ago. Propane is averaging about 7¢/lb, up 154% from 3¢/lb in June and more than three times the 2¢/lb average a year ago. Butane is averaging about 2¢/lb, up from 1¢/lb in June but in line with the year-ago level. Natural gasoline is averaging -18¢/lb, compared with -14¢/lb in June and -7¢/lb a year ago, widening the margin gap between natural gasoline and the other NGL-based feedstocks.
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- Analyst Insight
Petchem Margins Strengthen in April as NGL Advantage Persists
Petchem margins are off to a strong start in April, with ethane, propane, and butane all moving higher month-over-month. Ethane continues to lead, while the gap between NGL-based feedstocks and natural gasoline remains firmly in place.
- Analyst Insight
NGL Steam Cracker Margins — Ethane and LPG Highest vs. Naphtha since 2014
U.S. petrochemical steam cracker margins have been transformed almost overnight by the Iran war.
- Analyst Insight
Q3 2026 Earnings Calls: Dow Says Closures Will Lead to Petchem Recovery
On Dow’s Q3 earnings call, management tied a petrochemical market recovery more to capacity closures than to demand growth.
