German chemicals lobby warns against undue optimism after unexpected lift in Q1
"This is a small peak in a structural crisis we are facing," VCI Managing Director Wolfgang Grosse Entrup said at the Handelsblatt Annual Chemical Industry Conference in Berlin. Europe's embattled chemicals industry has received an unexpected lift from the Iran war in the first quarter, as supply disruptions raise costs for Asian rivals and customers prioritise reliability over price.
Germany's chemicals lobby VCI warned against undue optimism on Tuesday after a rise in order books across the sector at the start of the year, saying it reflected panic among customers rather than sustained recovery. "This is a small peak in a structural crisis we are facing," VCI Managing Director Wolfgang Grosse Entrup said at the Handelsblatt Annual Chemical Industry Conference in Berlin.
Europe's embattled chemicals industry has received an unexpected lift from the Iran war in the first quarter, as supply disruptions raise costs for Asian rivals and customers prioritise reliability over price. Entrup said the energy crisis had become the industry's Achilles heel and called on politicians to accelerate the pace of reforms to improve German competitiveness.
For years, European producers have struggled with high energy costs, weak demand and intense price competition from Asian peers.
(This story has not been edited by Devdiscourse staff and is auto-generated from a syndicated feed.)
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