Raw Material Cost Volatility: Fluctuations in the prices of key feedstocks like natural gas, crude oil, and derivative chemicals can significantly impact Eastman's production costs and profit margins, which may not always be offset by increased selling prices.

Environmental Regulatory Burden: Strict and evolving environmental, health, and safety regulations, including those related to emissions, waste management, and chemical production, impose substantial compliance costs and potential liabilities on Eastman.

Economic Cyclicality Risk: Demand for many of Eastman's products is tied to industrial and consumer spending cycles, making the company susceptible to declines in economic activity, which can reduce sales volumes and pricing power.