11 November 2012 12:20 [Source: ICIS news]
RIO DE JANEIRO (ICIS)--A slowdown in the Brazilian economy is impacting the local petrochemical industry, a market source said on Sunday, adding that Brazil continues to rely on imports while the country is expected grow only 1.5% this year.
That compares with growth of 7.5% in 2010, according to the International Monetary Fund (IMF).
The Brazilian economy grew by a meagre 0.5% in the first half of the year despite efforts by the Brazilian government to jump start the economy, according to local news reports.
The slowdown cost
The outlook for
Meanwhile, the local petrochemical industry, which is based on naphtha, is struggling to compete with foreign imports, the source said.
The US is poised to benefit when growth resumes in countries such as Brazil, another source said, predicting that the cost advantage in the US will allow it to meet an eventual increase in demand for petrochemicals in the region.
The APLA conference ends on Tuesday.
Additional reporting by Al Greenwood
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