EU27 chemical business is struggling
The current situation in the chemical industry is worrying. Chemical companies are facing a very difficult global economic context. Energy costs in Europe remain among the highest in the world, and demand is still disappointing.
The sector continues to face fierce competition, particularly from China. Foreign trade, which has always been a driving force of the European economy, is not significantly improving.
The energy prices remain a core concern of the sector. In addition, the recipes that worked in the past seem to have reached their limits: Europe is suffering from being an open market and from its unmatched level of regulation, to the point that Europe has now entered a critical phase. The European chemical sector is a reflection of those patterns, struggling to export more to the international market and facing a significant wave of imports.
Uncertainty continues to penalise investment, and forecasts for 2025-2026 are poor. The number of closures in the chemical sector is leading to deindustrialisation, to the benefit of countries offering a cost advantage.