Skip to content

Filter Options
Text :
Search Criteria :
Territory/Country :
Product Group/Product :
News Type :
My Favorites:

ChemOrbis Europe Petrochemicals Conference: Feedstocks diversification to change landscape in global petchem industries

by ChemOrbis Editorial Team -
  • 26/11/2015 (16:23)
During his presentation at ChemOrbis Europe Petrochemical Conference held in the Hilton Amsterdam, the Netherlands on November 26, Mr. Udo Jung from the Boston Consulting Group focused on prevalent trends affecting global petrochemical industries.

Jung reported that feedstocks diversification will change the landscape in global petrochemical industries. The US shale industry will remain robust due to low cost ethane while creating a significant competitiveness disadvantage for the European chemical industry. “Some West European producers have decided to refit their cracker units to process lighter feedstocks in order to remain competitive as the margins for traditional naphtha cracking are quite thin,” said Jung.

For China meanwhile, Jung reported that coal-based materials will gain market share both in ethylene and propylene production while prices and profitability will depend on oil vs. coal differential. He added that China will continue to be main driver of global petrochemicals and chemicals demand in the upcoming years while adding China’s lack of self-sufficiency for feedstocks and its dependence on foreign naphtha give it a disadvantaged cost position.
Free Trial