[{"data":1,"prerenderedAt":64},["ShallowReactive",2],{"news-commentary-european-ethylene-2027-benchmark-change":3,"author-gyula-toth":57},{"id":4,"title":5,"author":6,"body":7,"description":39,"draft":40,"extension":41,"faqs":42,"featured":40,"image":42,"imageAlt":42,"imageFit":43,"meta":44,"navigation":45,"ogImage":42,"path":46,"publishedAt":47,"seo":48,"sitemap":49,"sourceName":50,"sourceUrl":51,"stem":52,"tags":53,"__hash__":56},"news\u002Fnews\u002Fcommentary-european-ethylene-2027-benchmark-change.md","European Ethylene 2027: Concessions Before a Benchmark Change","gyula-toth",{"type":8,"value":9,"toc":35},"minimark",[10,14,17,20,23,26,29,32],[11,12,13],"p",{},"Budapest, 29 October 2026",[11,15,16],{},"All data current through 29 October 2026, Europe\u002FBudapest.",[11,18,19],{},"A supplier can propose a lower ethylene index and still leave a buyer with a higher bill. I would start any 2027 benchmark discussion with a much less fashionable number: the discount the buyer already receives.",[11,21,22],{},"Europe now has a reason to revisit that question. On 16 September, ICIS set out its plan to move the European ethylene monthly contract price (MCP) process to a three-producer, three-consumer configuration from the January 2027 settlement. It also announced a deadline and fallbacks if the broader agreement cannot be reached. Argus launched a new Northwest Europe Ethylene Index on 8 October, giving contracts another possible reference.",[11,24,25],{},"Argus’s methodology applies its 70% feedstock \u002F 30% spot weighting to monthly changes in a modelled index. The index has a December 2019 starting reference. For a supply contract, the difference between its outright level and its month-to-month movement matters.",[11,27,28],{},"The exposure quickly becomes material. On 50,000 tonnes of annual supply, EUR 10\u002Ft in effective delivered price represents EUR 500,000 of gross annual invoice difference.",[11,30,31],{},"A buyer needs to know the discount being surrendered and the full delivered-price difference. The term sheet must also explain what happens when the benchmark is late or missing.",[11,33,34],{},"A supplier seeking the change should put the proposed concession in the offer. The paid section tests one such quote and examines a historical standstill clause that can change when a replacement price takes effect.",{"title":36,"searchDepth":37,"depth":37,"links":38},"",2,[],"The price of replacing an ICIS-linked contract with Argus is set by the concession, the delivery terms and the settlement clause.",false,"md",null,"cover",{},true,"\u002Fnews\u002Fcommentary-european-ethylene-2027-benchmark-change","2026-10-29T20:28:45.000Z",{"title":5,"description":39},{"loc":46},"Substack","https:\u002F\u002Fgyulatoth559216.substack.com\u002Fp\u002Feuropean-ethylene-2027-what-must","news\u002Fcommentary-european-ethylene-2027-benchmark-change",[54,55],"News","Independent Commentary","XoUQtE0aA-ISu4RGufbP6WZM3vHdxpakq7kFXvdob2U",{"id":58,"extension":59,"meta":60,"name":61,"slug":6,"stem":62,"__hash__":63},"authors\u002Fauthors\u002Fgyula-toth.json","json",{},"Gyula Toth","authors\u002Fgyula-toth","BB7jli5VQ7qLF0c28zOxCc48ZZPGdAGTQZh2XwmFKhM",1794325836328]