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Spanish petrochemicals market increasing at a CAGR of 2.9%

Press Release   •   Aug 28, 2012 09:48 BST

The Spanish petrochemicals market reached a capacity of 10.184 million metric tonnes per annum (MMTPA) in 2011, increasing at a compound annual growth rate (CAGR) of 2.9% from 7.462 MMTPA in 2000. The capacity is expected to remain at this level through to 2016.

The outlook for the Spanish petrochemicals market has worsened considerably as the economic situation has deteriorated. Spending growth will remain negligible as the housing market continues to disintegrate, leading to a further contraction in PVC use.

Additionally, packaging and consumer durables will be hit due to high unemployment, thereby depressing demand for all grades of polyethylene and polypropylene.

There are, however, some bright spots. The downturn in the Spanish petrochemicals industry has prompted a wave of merger and acquisition activity as some firms seek to limit their exposure, while others use the recession as an opportunity to consolidate and grow their market share.

In Spain, the majority of active petrochemical complexes are situated in Comunidad Autonoma de Cataluna. In 2011, it accounted for 68.4% of the total number of petrochemical complexes in the country.

It is followed by Comunidad Autonoma de Castilla-La Mancha, Comunidad Autonoma de Andalucia and Cadiz which accounted for 10.5%, 5.3% and 5.3% respectively of total number of complexes in the country. Other states accounted for remaining 10.5% of total number of petrochemical complexes in the country.

For more information on the Spanish petrochemicals market, see the latest research: Spanish Petrochemicals Market Report

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