Platts_Petroche...'s  Instablog

Send Message
Platts is a leading global provider of energy, petrochemicals and metals information, and a premier source of benchmark price assessments for those commodity markets. Since 1909, Platts has provided information and insights that help customers make sound trading and business decisions and enable... More
My blog:
Petrochemical Reaction
  • European Petrochemical Industry Embraces Specialty Capabilities 0 comments
    Oct 13, 2011 1:53 PM

    The European petrochemical industry has been actively embracing specialty, value-added products as it seeks to capitalize on a series of megatrends that are shaping the economy. But investors are often skeptical - or simply don't have the patience.

    Meeting the needs of socioeconomic developments such as increasing urbanization, ageing populations, fuel efficiency, sustainability and recycling pose a challenge to society as a whole, of course, but also to the chemical industry in particular. Yet for the specialty chemical sector these megatrends represent an opportunity to carve out new and profitable niches with innovative solutions.

    As such the European petrochemical industry has been investing intensively into developing its specialty capabilities while phasing out some of its less profitable and less promising bulk commodity operations.

    It's a trend that has gathered momentum in the tougher post-2008 economic environment as the industry has sought to rationalize, consolidate and eliminate inefficient capacity and in many cases exit bulk commodity manufacturing.

    There is a certain pragmatism in embracing specialty applications for the mature European industry with its well-established asset and logistical base. It's a strategy designed to help it safeguard some of its competitiveness in the global market. Trying to compete in the production of bulk commodities against regions that have an inherently cheaper feedstock and labor bases is becoming progressively more difficult for Europe.

    To read the full article, visit Platts Petrochemical Reaction blog. Platts is a leading global provider of energy, petrochemicals and metals information.

Back To Platts_Petrochemicals' Instablog HomePage »

Instablogs are blogs which are instantly set up and networked within the Seeking Alpha community. Instablog posts are not selected, edited or screened by Seeking Alpha editors, in contrast to contributors' articles.

Comments (0)
Track new comments
Be the first to comment
Full index of posts »
Latest Followers
Instablogs are Seeking Alpha's free blogging platform customized for finance, with instant set up and exposure to millions of readers interested in the financial markets. Publish your own instablog in minutes.