Episode 1179: Think Tank: Like blocks pulled out of a Jenga tower, chemicals closures could collapse value chains
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 be shut down by 2030- 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