Seven predictions look forward to 2007 American Chemicals
2018-05-27 02:00:32
The United States "Chemical Weekly" published an article on January 10, making seven major predictions for the US chemical industry this year.
Prophecy I. Private capital M&A transactions will record a record, and it is expected that the value of mergers and acquisitions that private capital in the US chemical industry will participate in this year will exceed US$10 billion.
Prophecy II: The manufacturer's business tends to be diversified to ensure that its profitability is less affected by the chemical industry cycle. BASF acquired the construction chemicals business of Engehard, Johnson Polymer and Degussa in 2006. Dow Chemical has announced the acquisition of Wolff Walsrode from Bayer. Rohm and Haas has also expressed its intention to enhance its position in electronics or other emerging markets through mergers and acquisitions.
Prediction 3. The reorganization activity of the petrochemical industry in the United States will continue. North American petrochemical producers are eager to carry out business integration before the mass production of new petrochemical capacity in the Middle East from 2008 to 2009. Huntsman's petrochemical operations in the United States are expected to be sold early this year.
Prophecy 4. The implementation of EU Reach regulations will have a major impact on the U.S. chemical industry.
Prophecy 5. Changes in U.S. policy. Global warming legislation and the updated Superfund tax bill are likely to be put on the agenda this year.
Prophecy 6. The prospects for international trade are worrisome. The newly formed US Congress is bound to take a harder line toward China and international trade agreements. If the Chinese side does not re-evaluate the exchange rate of the yuan against the US dollar, the proposal of the US Senator to impose a 27.5% tariff on Chinese goods in 2006 will probably be revisited this year.
Prophecy VII, Chemical Contamination Products Alternatives are worthy of attention. In 2007, the US chemical industry should pay close attention to stimulate suppliers to find 20 kinds of alternative products of pollutants of concern.
Prophecy I. Private capital M&A transactions will record a record, and it is expected that the value of mergers and acquisitions that private capital in the US chemical industry will participate in this year will exceed US$10 billion.
Prophecy II: The manufacturer's business tends to be diversified to ensure that its profitability is less affected by the chemical industry cycle. BASF acquired the construction chemicals business of Engehard, Johnson Polymer and Degussa in 2006. Dow Chemical has announced the acquisition of Wolff Walsrode from Bayer. Rohm and Haas has also expressed its intention to enhance its position in electronics or other emerging markets through mergers and acquisitions.
Prediction 3. The reorganization activity of the petrochemical industry in the United States will continue. North American petrochemical producers are eager to carry out business integration before the mass production of new petrochemical capacity in the Middle East from 2008 to 2009. Huntsman's petrochemical operations in the United States are expected to be sold early this year.
Prophecy 4. The implementation of EU Reach regulations will have a major impact on the U.S. chemical industry.
Prophecy 5. Changes in U.S. policy. Global warming legislation and the updated Superfund tax bill are likely to be put on the agenda this year.
Prophecy 6. The prospects for international trade are worrisome. The newly formed US Congress is bound to take a harder line toward China and international trade agreements. If the Chinese side does not re-evaluate the exchange rate of the yuan against the US dollar, the proposal of the US Senator to impose a 27.5% tariff on Chinese goods in 2006 will probably be revisited this year.
Prophecy VII, Chemical Contamination Products Alternatives are worthy of attention. In 2007, the US chemical industry should pay close attention to stimulate suppliers to find 20 kinds of alternative products of pollutants of concern.
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