- 90 chemical facilities in Europe are closing from 2022 to 2027.
- The closures result in a loss of nearly 25 million tonnes of capacity.
- Replacing these plants would cost between €500 million and €1 billion each.
- Europe's asset base faces a €70 billion loss.
Industry Decline
Sir Jim Ratcliffe highlights the urgent need for European politicians to address the decline in the chemical industry. He warns of the continent's increasing reliance on imported goods, particularly from China.
Impact of Chinese Imports
Ratcliffe points out that Chinese imports are flooding Europe due to overcapacity and trade shifts caused by U.S. policies. These imports are entering at low prices, impacting local production.
Economic Consequences
The European chemical industry, valued at one trillion euros, faces unsustainable conditions with energy prices four times higher than in the U.S. This situation threatens the industry's survival without immediate tariff protection and carbon tax reforms.
Facility Closures
From 2022 to 2027, 90 major chemical facilities in Europe are closing, resulting in a loss of nearly 25 million tonnes of capacity. Replacing these plants would cost between €500 million and €1 billion each, leading to a €70 billion loss in Europe's asset base.
Call to Action
Ratcliffe urges politicians to recognize the clear evidence of decline and take action to prevent Europe from becoming dependent on China for essential materials in sectors like defense, healthcare, food, and manufacturing.
