13 July 2011 11:22 [Source: ICIS news]
“There will be a gradual shift in the chemical market from North America, western Europe and Japan to China, India and other emerging regions [in Asia],” said Daniel de Blocq van Scheltinga, managing partner at Hong Kong-based financial and strategic advisory firm, Polarwide.
However, constrained resources in
Insufficient supply of oil in the face of soaring energy demand, high inflation, rising wage costs and lower production costs in other emerging markets in Asia, such as
“Reforms are needed to maintain the edge of lower cost,” de Blocq Van Scheltinga said.
“Already, labour costs [in
Tight monetary policies undertaken by the Chinese government to curb high inflation may also hurt the country’s economic growth and introduce a credit crunch for companies, de Blocq van Scheltinga said.
Insufficient returns from the country’s heavy investments in infrastructure may also result in bad debts in the Chinese banking system, he added.
The 5th Asian Aromatics & Derivatives Conference runs from 13-14 July.
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