13 June 2012 21:50 [Source: ICIS news]
HOUSTON (ICIS)--The US will become an even larger exporter of plastics and other chemical products if all of the recently announced cracker projects get built, the chief executive of Chevron Phillips Chemical (CP Chem) said on Wednesday.
"Fifteen to 20% of the ethylene derivatives produced in this country are exported," CP Chem CEO Peter Cella said. "So there's already a pretty significant export market for products produced in the US."
He said US demand will eventually grow to need three or four worldscale ethane crackers. CP Chem has its own ethane cracker in the works with a capacity of 1.5m tonnes/year.
"If more than that … gets built, we would expect the US becomes a more significant export platform," he said.
The primary export markets for US products will continue to be Asia and South America, Cella added.
"There are significant demand points around the world that don't have [enough] supply," he said. "They rely on exports. China is certainly the biggest of them, but not the only country with that situation."
Cella said he expects the long-term demand growth rates to be at or above that for global GDP.
"We're bullish on the entire value chain on down," Cella said. "So as long as the world economy continues to grow, the demand for our products will continue to grow."
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