Why did S&P Global Ratings upgrade PTTGC's outlook to positive?

S&P Global Ratings upgraded PTTGC's outlook to positive from negative because it expects stronger earnings and cash flow over the next 12 months, which will help accelerate debt reduction; this expectation is driven by a forecasted near-tripling of EBITDA to around Bt60 billion ($1.84 billion) in 2026, improved debt-to-EBITDA ratio (2.4–2.8x in 2026), lower feedstock costs at its ethane-based operations, sustained high refinery utilization (>90% through 2027), stronger refining margins, stable capex (Bt15–17 billion), limited feedstock disruption risk due to domestic ethane sourcing and low Middle East crude exposure (~10%), and reinforced cash flow from increased trade credit facility (raised to Bt80 billion in May).

What strategic initiative is PTTGC pursuing to mitigate long-term structural risks in the petrochemical industry?

To address the structural threat posed by excess petrochemical capacity—especially continued additions in China—PTTGC is studying a joint venture with SCG Chemicals (SCGC), which, if confirmed, would create one of ASEAN’s largest olefins and polyolefins producers with combined production capacity ranking among the global top 10; the joint venture has been under study since May and is expected to conclude in September.

S&P Global Upgrades PTTGC Outlook on Earnings Pickup, Lower Feedstock Costs

Aug 24, 2026

S&P Global Ratings upgraded PTT Global Chemical's outlook to positive, citing expected earnings growth and lower feedstock costs. The company is also studying a joint venture with SCG Chemicals to consolidate ASEAN olefin production capacity.

icis

2026-08-24

S&P Global Upgrades PTTGC Outlook on Earnings Pickup, Lower Feedstock Costs

S&P Global Upgrades PTTGC Outlook on Earnings Pickup, Lower Feedstock Costs

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