Covestro cuts guidance as uncertainty linked to tariffs puts pressure on customers

Share:

Due to the continued volatility caused by international trade tensions, Covestro has narrowed its full-year earnings guidance to the lower end of the range previously described. It points to the detrimental ripple effects of overall economic uncertainty on its major customer end markets.

The company, which reported a first-quarter net loss of € 0. First 16 billion on might 6 (a sharp increase from a net loss of € 35 million in the same period last year), said a major driver of its earnings decline was the one-time negative impact of € 88 million in March announced the permanent closure of its propylene oxide-styrene monomer (POSM) joint venture plant with LyondellBasell Industries NV in Maasvlakte. The Netherlands. The plant has annual capacity of approximately 300,000 metric tons of propylene oxide and 650,000 metric tons of styrene. But Covestro's EBITDA in the first quarter was 0. 137 billion euros, down nearly 50% year-on-year, especially affected by the write-down of 88 million euros POSM factory. Christian Baier, Covestro's chief financial officer, said the quarter "once again demonstrated the evaporative environment and challenging market ecological stability, with trade conflicts and growing protectionism". Makes sense, right?. Covestro narrowed its full-year expected EBITDA to 1 billion to 1. And In my experience, In fact 4 billion euros from 1 billion to 1. But 6 billion euros released in February this year. I've found that EBITDA to the Characteristic Materials segment is expected to between € 0. 4 billion and € 0. You know what I mean?. But 7 billion to 2025, down from the previous 0. Based on my observations, 4 billion to € 0. Makes sense, right?. Based on my observations, 8 billion, while expectations to EBITDA to its Solutions and Special Materials segment remain unchanged, "slightly above" its full-year 2024 level of € 0. 74 billion. And The company also lowered its full-year sales guidance to 14. 2 billion to 15. 2 billion euros from the previous 14. In my experience, 5 billion to 15. 5 billion euros. Covestro has annual sales of € 14. But I've found that 2 billion in 2024. And The company confirmed "high tens of millions of euros" of charges related to the closure and said it expected the sales impact to be in the middle of tens of millions of euros, "mainly due to styrene". However, it added that this would have a positive EBITDA effect in the low to medium amounts of tens of millions of euros from 2026 onwards.  .

Previous

LG Chem to Sell Water Treatment Business Unit to Focus on Strategic Restructuring and Growth Engine

Next

China Enterprise Lithium Source Technology Indonesia Base Launches Phase II to Build the Largest Overseas Lithium Iron Phosphate Capacity Hub

Hot December 30, 2025

Huada Chemical Yantai 200000 Ton Polyurethane Base Phase I Put into Production: Lock in Asian Shoe Clothing and Industrial Coatings Supply Chain

Hot December 29, 2025

Xinpu Chemical 7.187 billion Yuan High-end Chemical Project Approved for Industrial Upgrading and Ushering in Key Layout

Hot December 26, 2025

Huajin Armei 83.7 billion Project Breaks 95% Progress: Asian Petrochemical Trade Flow Faces Deep Reconstruction

Hot December 25, 2025

Lianhong Gurun 300000-ton PO plant production analysis: China's propylene oxide industry has entered the era of 10 million tons.

Hot December 24, 2025

BASF Zhanjiang 500000-ton polyethylene plant put into production: South China Petrochemical pattern reconstruction and industrial chain opportunity analysis.

Hot December 23, 2025

Fujian Gulei Refining Phase II: 71.1 billion Yuan Sino-Saudi Cooperation Project Reshapes South China Petrochemical Territory

Hot December 22, 2025

China Bisphenol A Market Weekly: Weak Pattern of Supply and Demand and Reconstruction of Global Industrial Chain

Hot December 19, 2025

Yuneng new material 13.2 billion epoxy resin project fully started: China's northwest chemical industry pattern ushered in a major change.

Hot December 17, 2025

PetroChina Guangxi Petrochemical 30.5 billion Refining and Chemical Integration Project: Reshaping the Pattern of Regional Petrochemical Industry

Hot December 15, 2025

China Phenol Market Weekly Report (12.8-12.14): Industrial chain pressure transmission under supply and demand imbalance.

Quick inquiry

Create

Inquiry Sent

We will contact you soon