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New capacities in polypropylene will hit established manufacturers
Jun '08
With new capacities being created for the manufacture of Polypropylene across Asia and the Middle East, there is a big possibility of markets of Europe & North America losing their pre-dominance for one of the most important feed stocks of the textile industry.

With the number of polypropylene capacities being put up, the production of the product is expected to nearly double in the Middle East and anticipated to increase by more than 7.5 million tonnes between India and China.

The long established polypropylene manufacturing countries of Europe & North America will have to face immense competition once all these capacities go on-stream. There will be intense pressure on the companies from these countries to greatly improve efficiencies of their petrochemical units.

The current global capacity of polypropylene is estimated at 45 million tonnes with an approximate turnover in the region of US $45 billion. With the increase in these new capacities in the Middle East and Asia, worldwide revenues are expected to more than double.

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