France and Italy's chemical industry most affected in Europe

A combination of weak demand within Europe, combined with the impact of the neo-coronary pneumonia epidemic and the deterioration of the business environment had a negative impact on sales revenue. In the first half of the year, chemical capacity utilization in the EU27 was about 9% lower than the 2019 equivalent figure.Cefic said that chemical production in France and Italy was most affected by the neo-coronary pneumonia crisis compared to other countries.

Chemical production in France and Italy in the first half of 2020 is down at least 12% compared to the same period last year, followed by Spain and Portugal, which are down more than 6.5% year-on-year. Over the same period, chemical production in Belgium and the Netherlands fell by about 6%, Germany by 3.6%, and Poland by 1.7%.Cefic added that the UK reported a 6.2% year-on-year decline in chemical production. The report noted that some products in the basic supply chain of the EU chemical sector also grew during the neo-coronary pneumonia outbreak, with production of soaps and detergents up 2.9% in the first six months of 2020 compared to the same period last year.

In terms of chemical production, India and Japan were the most affected, with their production declining by 14.1% and 9.2%, respectively, year-on-year. Over the same period, chemical production in the United States and the EU-27 fell by about 5 percent, while chemical production in China fell by 2.1 percent year-on-year.