Ground-breaking developments in the chemical industry

03-Jun-2013 - Netherlands

"The world is changing rapidly and Europe's response to the changes is not good enough. Europe must be careful not to become irrelevant as a location for the manufacturing industry." That warning was uttered by VNCI Chairman Werner Fuhrmann during the VNCI annual meeting in The Hague. According to Fuhrmann, the chemical industry is dealing with four developments that are turning the global relations upside down. Aside from shale gas, these include the rise of China, the choice of countries in the Middle East to "go downstream" and the globalisation of innovation.

The VNCI points out that, as the driving force of the manufacturing industry, the chemical industry in the Netherlands should be able to cope with these challenges. Thanks to its convenient location, strong clusters and the cooperation between government, industry and science, the Netherlands has a strong position within the European chemical industry.

Europe needs the industry to remain economically prosperous and stable. In a healthy industrial landscape, the chemical industry, with its innovative power, is an unmissable industry. The VNCI supports the ambition of "Brussels" to strengthen the role of the manufacturing industry in Europe. In order to do this, Europe would have to choose for industrial activity that matches its strengths. The focus must be on innovation, but the power of innovation is increasingly moving to Asia. This requires an increased effort in the area of innovation. Because of the links between R&D and production, this will only succeed if the production facilities in the Netherlands remain. In addition, the power of competition can be strengthened through an improvement in productivity, resource efficiency and predictable policy.

Figures for the Dutch chemical industry in the first quarter of 2013 show a fall in turnover of almost seven percent and a ten percent fall in production compared to the first quarter of 2012. The fall in production follows four quarters in which the production increased each time compared to the same period in 2011. The investment expectations for 2013 are sixteen percent lower than in 2012. The VNCI has seen major production companies having to restructure and some companies going bankrupt. The situation in all of Europe is concerning.

https://www.chemeurope.com/en/news/143343/ground-breaking-developments-in-the-chemical-industry.html