PETROCHEMICAL INDUSTRY RAW MATERIAL SPREAD UPSTREAM TO DOWNSTREAM IN THE PANDEMIC COVID-19 PERIOD

Abstract

This study aims to see the distribution of petrochemical industry raw materials in generating operational profits during the Covid Pandemic 19 starting from raw materials, namely petroleum, if it is carried out directly between the price of petroleum, petrochemical industry raw materials and related benefits, namely the raw material for petrochemicals comes from crude oil, where the price of petrochemical raw materials is very sensitive to fluctuations in the price movement of petroleum, as the main raw material that will directly affect company profits. The variables contained in this study are Petroleum Price, Naphtha Price, Ethylene Price, Propylene Price, Polyethylene Price, Polypropylene Price, Polyvinyl Chlorid Price, and Butadiene Price, HDPE Price, LDPE Price, ABS Price, and the dependent variable, Earning Before Interest. and Taxes, population and sample observations were carried out quarterly (quarter) from Q4 2019 - Q3 2020 during (4 quarters), a total of 32 samples. Based on the calculation of the independent variable, simultaneously testing with the F test results in a significant effect on operating profit.