Global chemical growth slows


The latest American Chemistry Council report on global production growth makes sombre reading for anyone outside the Middle East:

• Global growth (dark green) is now only 1.4%, versus 4.1% in January
• N American growth (dark blue) declined by 2.4% in August
• European growth (light green) was down 1.5% in July
• Central/Eastern European growth (light blue) went negative in July
• Asian (brown) and Latin American growth (pink) are both falling

By contrast, Middle Eastern growth (purple) is starting to ramp up, as the new plants come on line. Its advantaged cost base on feedstocks means, as suggested recently in our Feedstocks for Profit study, that it can still operate successfully whilst other regions have to cut back.

About Paul Hodges

Paul Hodges is Chairman of International eChem, trusted commercial advisers to the global chemical industry. Paul is also an invited member of the World Economic Forum’s Global Agenda Council. The aim of this blog is to share ideas about the influences that may shape the chemical industry over the next 12 – 18 months. It will try to look behind today’s headlines, to understand what may happen next in important issues such as oil prices, economic growth and the environment. We may also have some fun, investigating a few of the more offbeat events that take place from time to time. Please do join me and share your thoughts. Between us, we will hopefully develop useful insights into the key factors that will drive the industry's future performance.

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