25 September 2013 04:46 [Source: ICIS news]
BANGKOK (ICIS)--Global demand for propylene oxide (PO) is set to grow at an annual rate of 4.6% in the next seven years to 11.4m tonnes in 2020, an official from German chemical firm Evonik Industries said on Wednesday.
“Demand and supply of PO will be relatively balanced by 2020, with installed capacity totalling 11.8m tonnes/year by then,” said Florian Sandkaulen, marketing manager at Evonik, at the 2nd ICIS Polyurethane Chain Conference in Bangkok.
China will lead, with PO consumption in the country set to grow by 12.8% a year until 2015, and by 6.9% a year until 2020, he said.
“By 2015, 40% of PO will be consumed in Asia,” Sandkaulen said.
Global demand for polyether polyols is expected to grow by 4.7% annually to 8.9m tonnes by 2020, he said.
PO and polyols are intermediates for the production of polyurethane (PU).
The automotive and consumer goods segments will be key drivers of PU demand, Sandkaulen said, citing that automotive sales are expected to grow at an average annual rate of 4.3% to 113m units in 2020, while growth in consumer goods is estimated at 4% to 184m units at the end of the decade.
Refrigerators will be a key demand driver on the consumer goods segment, he added.
The two-day conference ends on Wednesday.
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