Guidance on sanctioned chemical products in Platts price assessment process

Platts, part of S&P Global Commodity Insights, wishes to remind participants in its price assessment processes of current published guidance regarding sanctions and embargoed material.

Laws stating that nationals from specific countries may not buy products from embargoed countries may prevent market participants from lawfully executing transactions.

A seller, therefore, may not assume that a buyer has the obligation to buy embargoed materials.

Under Platts assessment guidelines, commodities supplied from countries or entities that are subject to trading embargoes and sanctions recognized under international law should not be delivered against transactions concluded during the Platts Market on Close assessment processes.

On April 8, the EU introduced sanctions on purchases, imports and transfer of various petrochemical products, including MTBE (CN code 2909) and aromatics (CN code 2902), from Russia.

The sanctions came fully into force on July 10.

This material, as per the latest European legislation (https://eur-lex.europa.eu/legal-content/EN/TXT/?uri=celex%3A32022R0576), therefore cannot be delivered against transactions concluded during the MOC.

For trades reported in the MOC, material may not be unreasonably rejected and Platts will review any such instance.

This guidance is published online in Platts overall methodology guide at

https://www.spglobal.com/platts/plattscontent/_assets/_files/en/our-methodology/methodology-specifications/platts-assessments-methodology-guide.pdf

Please send any questions and comments to pricegroup@spglobal.com and petchems@spglobal.com.

For written comments, please provide a clear indication if comments are not intended for publication by Platts for public viewing.

Platts will consider all comments received and will make comments not marked as confidential available upon request.