The corporate credit rating on PTT Global Chemical Public Co. Ltd. (PTT Global) reflects the company's solid competitive position following the merger of PTT Aromatics and Refining Public Co. Ltd. (PTTAR; not rated) and PTT Chemical Public Co. Ltd. (PTT Chem; not rated) to form PTT Global. The rating also factors in PTT Global's favorable cost structure, diverse operations, and significant business integration with parent PTT Public Co. Ltd. (PTT; BBB+/Stable/--). We have also taken into consideration expected extraordinary financial support from PTT, besides the ongoing parental support factored into the company's stand-alone credit profile. PTT Global's exposure to the inherent industry risk and price volatility, and the challenging outlook for the refining and petrochemicals industry offset the above strengths.
