New market study, "Belgium Petrochemicals Report 2011", has been published

Feb. 1, 2011 - PRLog -- The Belgian petrochemicals industry should be stimulated by the effect of higher average trend growth for the Belgian economy through the medium term, according to BMI's latest Belgium Petrochemicals Report.

While Belgium is by no means the worst positioned economy in Europe, weaker external demand on the back of fiscal austerity throughout the continent over the coming years, and spending cuts at home, will limit the industry's growth potential. Private consumption and fixed investment - which have been the two main drivers of growth in the past decade - will both be hurt by this, with consumer spending and investment in new capacity to be weighed down through the medium term.

Yet, over the longer run Belgium's relatively competitive external sector should allow it to take advantage of rising demand in emerging markets, boosting long-term growth. Moreover, the petrochemicals industry has rebounded faster than many other industrial sectors with notable efficiency improvements in the pipeline. Lanxess is investing EUR20mn in expanding capacity at its Zwijndrecht butyl rubber plant. Capacity is due to rise from 135,000tpa to 149,000tpa. The expansion will take place during a scheduled turnaround in Q311 with completion expected in Q212. The plant was running at full capacity by the end of 2010. Meanwhile, Ineos Oxide is to build and operate a 1mn tpa deepsea ethylene terminal in the port of Antwerp. Due to start operations in 2012, the terminal will be connected to Ineos' ethylene consuming units in the Antwerp-Rotterdam area and to Cologne and the Ruhr industrial area in Germany via Western Europe's ARG ethylene pipeline network.

However, more will need to be done to improve product differentiation and add value to products if the industry is to compete at a time when production of commodity chemicals are being ramped up in Asia and the Middle East. As Belgium's export sector is dominated by relatively low technology goods, Belgium will face increasing levels of competition in this area from emerging market exporters as they seek to move up the value chain. This will put downward pressure on Belgian petrochemical industries.

In 2010, Belgium had ethylene capacity of 2.54mn tpa with intermediate and aromatics capacities of 870,000tpa benzene, 890,000tpa ethylbenzene, 1.94mn tpa ethylene dichloride, 810,000tpa vinyl chloride monomer and 600,000tpa xylenes. In terms of polymers, Belgium has capacities of 1.45mn tpa high density polyethylene, 930,000tpa low density polyethylene, 1.91mn tpa polypropylene, 475,000tpa polyvinyl chloride and 645,000tpa polystyrene.

Belgium scores 71.2 points in BMI's West Europe Business Environment Ratings for the petrochemical industry. This puts it in third place out of six markets in the ratings, up one place since 2010 due to the decline in the UK's score. It's score has fallen 0.5 points due to a decline in long-term external and structural risk factors. It now lies just 0.2 points ahead of the Netherlands and 2.0 points behind France. While Belgium has a significant and integrated petrochemical industry, it performs less well in terms of risk and structural factors. Improved financial infrastructure and a better long-term financial risk rating would improve Belgium's score.

For more information or to purchase this report, go to:
-  http://www.fastmr.com/prod/111534_belgium_petrochemicals_...


Report Table of Contents:

Executive Summary
SWOT Analysis
- Belgium Political SWOT
- Belgium Economic SWOT
Global Market Overview
- Petrochemicals Market Overview
- Table: World Ethylene Production By Country, 2009 And 2014 ('000 tonnes capacity)
- Financial Results
- Table: Financial Results Of Major Petrochemicals Companies, 2009
- Global Oil Products Price Outlook
- Table: Oil Product Price Assumptions (US$/bbl)
- Table: Oil Product Price Forecasts (US$/bbl)
European Petrochemicals Overview
- Table: Financial Results Of European Petrochemicals Producers, Q110 (EURmn)
Market Overview
- Table: Belgium Olefins Facilities 2010
- Table: Belgium Aromatics And Intermediates Facilities 2010
- Table: Belgium Polyolefins Facilities 2010
Industry Trends And Developments
- Mergers And Acquisitions
Business Environment
- Table: Western Europe Petrochemicals Business Environment Ratings
- Limits Of Potential Returns
- Risks To Realisation Of Returns
Industry Forecast Scenario
- Table: Belgium Sector Data and Forecasts, 2007-2015
- Macroeconomic Forecast
- Belgium - Economic Activity
Competitive Landscape
- Competition: Regulatory Scenario
- Encouragement To Foreign Investment
- No Free Zones And Ports
Company Profiles
- Total Petrochemicals
- Chevron Texaco
- Solvay SA
BMI Methodology
- How We Generate Our Industry Forecasts
- Chemicals And Petrochemicals Industry
- Cross Checks
- Business Environment Ratings
- Table: Petrochemicals Business Environment Indicators And Rationale
- Table: Weighting Of Indicators

About Business Monitor International

Business Monitor International (BMI) offers a comprehensive range of products and services designed to help senior executives, analysts and researchers assess and better manage operating risks, and exploit business opportunities, across 175 markets.  BMI offers three main areas of expertise: Country Risk BMI's country risk and macroeconomic forecast portfolio includes weekly financial market reports, monthly regional Monitors, and in-depth quarterly Business Forecast Reports.  Industry Analysis BMI covers a total of 17 industry verticals through a portfolio of services, including in-depth quarterly Country Forecast Reports.  View more research from Business Monitor International at http://www.fastmr.com/catalog/publishers.aspx?pubid=1010

About Fast Market Research

Fast Market Research is an online aggregator and distributor of market research and business information. We represent the world's top research publishers and analysts and provide quick and easy access to the best competitive intelligence available.

For more information about these or related research reports, please visit our website at http://www.fastmr.com or call us at 1.800.844.8156.

# # #

Fast Market Research is an online aggregator and distributor of market research and business information. We represent the world's top research publishers and analysts and provide quick and easy access to the best competitive intelligence available.