30 May 2013 09:53 [Source: ICIS news]
BERLIN (ICIS)--Global demand for plastics is set to increase despite slow growth in Europe, Romain Cazenave, market value manager at Dow Europe, said late on Wednesday at the second ICIS World Polyolefins Conference in Berlin.
European demand for linear low density polyethylene (LLDPE) is expected to grow by 1.9% between 2013 and 2017. The gap between demand growth and flat production in Europe will be filled by imports of ethylene, Cazenave said.
High density polyethylene (HDPE) demand in Europe will keep growing at 2% during the same period, he added, while demand for low density polyethylene (LDPE) in the region is expected to stay flat between 2013-2017, with capacity adjusting to meet market conditions.
“The good news is that plastic is a highly addictive drug,” Cazenave said. “Plastic is light [compared to glass].”
Global consumption of PE at 80m tonnes/year is growing, with the world needing an additional 3.5m tonnes every year, he added.
However, there is not enough capacity being built to match the increasing demand, he said.
“Most of the world will increase their PE consumption,” Cazenave said. “Don’t focus on the European supply and demand balance in the current view, limited new capacity additions will turn the market short.”
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