Transcript CPR - EESC European Economic and Social Committee

Perspectives of the
European Chemical Industry
EESC / EPC Conference, 12 November 2014, Brussels
René van Sloten
Executive Director Industrial Policy
Cefic
The European chemical industry in 2013 ...
Sales 2013: € 527 billion
 Contributes to 17% of the world’s
chemical sales (2013)
 Represents 29,000 companies (96%
SMEs)
 Employs 1.2 million people (2013)
 Generates € 527 billion of revenues
(2013)
 Creates a trade surplus of €48.7
billion (2013)
Source: Eurostat and Cefic Chemdata International 2014
Has the EU chemical sector gained or lost
competitiveness over the last 10 years?
Production platform Europe: global production share and trade
balance evolution (2003-2013)
Source: Cefic Chemdata International 2014
One quarter of EU chemicals production is
sold outside the EU
EU chemicals production in value (€ 527 billion, 2013)
=
74%
EU home market (€ 388 bn)
26%
+
EU export market € 139 bn
Source: Cefic Chemdata International 2014
Chemicals made in Europe are losing
share in the domestic EU market
Source: Cefic Chemdata International 2014
Chemicals made in Europe are losing share
in the Rest-of-World market
Source: Cefic Chemdata International 2014
Advantaged energy and feedstock prices
are a clear enabler of competitiveness
This is boosting profits abroad and attracting billions
of dollars in investment
Can we remain competitive?

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
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Large integrated domestic
market with strong customer
industry clusters
High international orientation
and global networks to
external customer industries

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
Skilled and motivated
workers and scientists
Constant adaptation to
globalised markets
Strong innovation efforts will
generate new growth
clusters: Efficient Energy use,
health and new materials
which could solve upcoming
societal mega challenges


High energy and feedstock costs
High Regulatory Compliance Costs
(e.g. REACH, IED,….
Lack of a “Common Industrial
Policy” or a “Common Energy
Policy”
Non-energy raw material
availability and cost issues (eg.
biobased feedstock, rare earths,
minerals)
Mature market, ageing population,
risk aversion of societies
Sustainability challenges are business opportunities
Health &
Nutrition
9 billion people will live on
Earth by 2050!


Energy &
Resources
Source: BASF
How can we guarantee
food and water supply
for everyone?
What are possible
impacts from plant
science?
50% more primary energy
needed by 2030!

What is the ideal energy
mix for the future?

How big is the share
of renewable energy?
Construction
& Housing
Mobility &
Communication
67% of the world
population will live in
cities by 2025!

What does future
architecture look like?

Which materials
are needed to make
energy consumption
more efficient?
1.2 billion cars will drive on
Earth by 2020!

How can we reduce
greenhouse gas
emissions and fuel
consumption?

What will future cars
be made of?
European Innovation Partnerships
•
•
New technologies for more efficient extraction
Efficient use and recycling in the chemical
industry
•
New concepts and materials for energy
generation, storage and efficiency in sustainable
construction and urban mobility
New materials for smart living
•
•
Lead development of integrated water strategies
for the chemical sector to:
- reduce use of fresh water
- improve waste water management
CO2 - a renewable raw material
• Use as feedstock the only carbon resource we have in
abundance in Europe
• Do what plants do…better
Energy carriers
Fuels
Fine chemicals
CO2
Basic chemicals
Light olefins
Polymers
2020
2030
2040
Societal acceptance of new
technologies
Green biotechnology
Nanotechnology
Renewable energy
Unconventional fossil energy
How can European Industrial Policy
help?
 Main Goal: 20% Industry participation in European GDP
 Mainstreaming Industrial Competitiveness
 Resources for Innovation
o Horizon 2020 Funds for Priority Action Lines (Key Enabling
Technologies, Bio-based Products, Advanced Manufacturing)
o Facilitate Integration of Manufacturing and Services
o Structural and Investment Funds available for Regions, guided
by Smart Specialisation
 Better Reguation
o Cumulative cost assessment/ Regulatory fitness check for the
chemical industry
How can European Industrial Policy help?
 Access to Raw Materials
o Acknowledges chemical industry’s need
to access
bioethanol and and other bio-based building blocks at global
market prices
 Maximise potential of EU's internal market
o Call for further development of infrastructure for gas,
electricity and chemical building blocks
 Facilitate access to external markets:
o Stresses the need to facilitate the integration of EU firms in
global value chains
 Access to Finance
“ The best of chemistry
is yet to come “
Let’s make sure it happens
in Europe!