PODCAST: Like blocks pulled out of a Jenga tower, chemicals closures could collapse value chains

Will Beacham


BARCELONA (ICIS)–The closure of chemical plants in Europe and elsewhere could remove essential raw material supplies, threatening the future of downstream industrial value chains.

  • Global oversupply, driven by China, forecast to reach over 200 million tonnes/year by 2028
  • Interconnected value chains threatened if important raw materials cease production
  • Globally 20 million tonnes of ethylene capacity may need to shut down to keep operating rates healthy
  • In Europe 5.6 million tonnes/year of polypropylene (PP) capacity may need to close
  • Integrated chemicals sites under threat if parts shut down
  • Industry associations could help plan to maintain critical raw materials supplies
  • Anti-dumping measures could protect exposed markets
  • China polyvinyl chloride (PVC) overcapacity may increase exports globally

In this Think Tank podcast, Will Beacham interviews ICIS Insight Editor Nigel Davis, ICIS Senior Consultant Asia John Richardson and Paul Hodges, chairman of New Normal Consulting.

Click here to listen to the podcast

Editor’s note: This podcast is an opinion piece. The views expressed are those of the presenter and interviewees, and do not necessarily represent those of ICIS.

ICIS is organising regular updates to help the industry understand current market trends. Register here .

Read the latest issue of ICIS Chemical Business.

Read Paul Hodges and John Richardson’s ICIS blogs.


Global News + ICIS Chemical Business (ICB)

See the full picture, with unlimited access to ICIS chemicals news across all markets and regions, plus ICB, the industry-leading magazine for the chemicals industry.

Contact us

Partnering with ICIS unlocks a vision of a future you can trust and achieve. We leverage our unrivalled network of industry experts to deliver a comprehensive market view based on independent and reliable data, insight and analytics.

Contact us to learn how we can support you as you transact today and plan for tomorrow.