Braskem is the largest plastics producer in the Americas based on the annual production capacity of its plants in Brazil, the United States and Mexico as of December 31, 2022, according to Chemical Market Analytics from OPIS, a Dow Jones Company.
The company is also the world leader in green polyethylene (green PE) according to CMA.
In addition, Braskem is the only integrated petrochemical producer of basic chemicals and polymers in Brazil, and the largest producer by annual production capacity of polyethylene (PE) in Mexico and polypropylene (PP) in the United States and Germany, according to CMA, serving clients in more than 70 countries.
Braskem’s customers use its plastics and chemicals to manufacture a wide range of products that people use in their daily lives to meet their essential needs in food packaging, home furnishings, industrial and automotive components, paints and coatings.
Braskem believes that the transition of plastics and chemical production from fossil feedstocks to sustainable renewable sources represents one of the key opportunities for growth and sustainability in the global chemical industry.
The Company’s results of operations for the six months ended June 30, 2023 have been affected, and its results of operations will continue to be affected, by a variety of factors, including, among others:
- The expansion or contraction of global production capacity for the products it sells and the growth rate of the global economy.
- Expressed in U.S. dollars, the international market price of naphtha, one of its principal raw materials, which has a significant impact on the cost of production of its products and which experienced volatility during the six months ended June 30, 2023, fluctuating in a range between 777 and 1,012, or 30.2%, per ton during that period, compared to a fluctuation in a range between 555 and 719, or 30.7%, per ton during the six months ended June 30, 2022.
- The market price of propylene in the United States, one of our principal raw materials, also denominated in U.S. dollars, which has a significant impact on the cost of production of our products and which experienced volatility during the six months ended June 30, 2023, fluctuating in a range between 772 and 1,279, per ton during that period.