The global economic situation has a significant impact on the chemical supply of butadiene, primarily through the following aspects:

Demand-Driven chemical supply Changes
- Automotive and Construction Sectors: The demand for butadiene is closely linked to the performance of the automotive, construction, and consumer goods sectors. During periods of economic growth, increased production of automobiles and construction activities leads to higher demand for synthetic rubber and other butadiene derivatives, thereby boosting the demand for butadiene. For example, the rapid expansion of the automotive sector, especially the rising sales of electric vehicles, has driven the demand for advanced synthetic rubbers derived from butadiene.
- Consumer Goods and Electronics: The construction and consumer goods sectors also contribute to the demand for butadiene. The expansion of these sectors during an economic upturn increases the demand for various polymer products, including ABS resins used in consumer electronics and construction.

chemical supply Chain Disruptions
- Geopolitical Tensions and Trade Restrictions: Geopolitical tensions, trade disputes, or conflicts can disrupt the global chemical supply chain of butadiene. These factors can affect the availability and pricing of raw materials and finished products, leading to chemical supply chain disruptions. For example, the dependency on key suppliers such as the U.S., China, and South Korea makes the global butadiene market vulnerable to geopolitical events.
- Logistical Issues: Logistical problems, such as transportation delays or port congestions, can also impact the chemical supply of butadiene. These issues can delay the delivery of raw materials or finished products, causing temporary chemical supply shortages.

Price Volatility
- Crude Oil and Natural Gas Prices: Butadiene is often a byproduct of crude oil cracking, so fluctuations in crude oil and natural gas prices directly affect the production costs of butadiene. During periods of high oil prices, the cost of producing butadiene increases, which can lead to higher prices and potentially reduced chemical supply if producers cut back on production due to cost concerns.
- Feedstock Availability: The availability and cost-effectiveness of C4 feedstock from steam crackers or on-purpose production facilities are critical determinants for butadiene chemical supply. Changes in feedstock chemical supply or shifts in the types of feedstock used in ethylene crackers can impact the overall chemical supply of butadiene.

Technological and Environmental Factors
- Technological Advancements: Continuous innovations in production processes and catalyst technologies can improve the efficiency and cost-effectiveness of butadiene production. These advancements can help stabilize chemical supply by making production more reliable and less susceptible to disruptions.
- Environmental Regulations: Stringent environmental regulations and policies in various regions can influence the production and chemical supply of butadiene. Manufacturers may need to invest in cleaner production technologies or shift towards bio-based butadiene alternatives to comply with environmental standards. This can affect the overall chemical supply dynamics as the industry transitions to more sustainable practices.

In summary, the global economic situation impacts the chemical supply of butadiene through changes in demand driven by key end-use industries, chemical supply chain disruptions caused by geopolitical and logistical factors, price volatility due to fluctuations in raw material costs, and the influence of technological and environmental developments.