13 April 2012 16:40 [Source: ICIS news]
LONDON (ICIS)--The near-term business outlook for ?xml:namespace>
German chemical employers trade group BAVC said its latest industry survey showed that producers do not expect much improvement in their business this year compared with 2011.
Only 21% of the 679 firms polled by BAVC said they expect a year-on-year improvement. Meanwhile, 20% expected a decline, with the remaining 59% seeing no change.
One third of the companies said they expected their 2012 net return on sales to be 3% or less, with many firms fearing they will record a loss this year, BAVC added.
A key factor hurting prospects for
The weak overall EU economy is hitting major customer markets of
In addition, high raw material costs – driven by high oil prices – are weighing on chemical industry margins. More than half of the firms polled by BAVC said they would find it difficult to pass rising raw material costs on to their customers.
Furthermore, 45% of the chemical producers polled said that
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