Sector News

Chemical industry group nervous about Brexit talks

April 19, 2017
Chemical Value Chain

The European chemical industry is reportedly worried about forthcoming talks between the U.K. and the remaining members of the European Union as discussions regarding “Brexit” prepare to get underway next month.

European Chemical Industry Council director general Marco Mensink told Bloomberg this week that he sees “a disconnect in communication between both sides” and that talks risk “veering off course.”

The chemical trade between the U.K. and the rest of the EU is reportedly worth $42 billion annually, and the economic consequences could be significant if the U.K. departs in 2019 without an agreement in place to temporarily address regulatory complications.

Brexit could impose new taxes, tariffs and other costs on companies, as well as disrupt shipping patterns and employee movement. Chemicals could be particularly susceptible since their supply chains often cross the English Channel multiple times.

In addition, a report in February indicated that U.K. government negotiators viewed banking as the top issue in Brexit talks — and considered chemicals a “medium” priority.

“Settling the Brexit questions affecting chemicals will be like unscrambling an omelet back into eggs,” Mensink told Bloomberg during the interview in Brussels. “We urge policy makers to find solutions.”

He also said that the industry group is warning members to prepare for difficulties as talks ramp up. British Prime Minister Theresa May on Tuesday called for elections in June in an attempt to solidify her political support — and bolster the U.K.’s Brexit bargaining position.

By Andy Szal

Source: Chem.info

comments closed

Related News

October 1, 2023

INEOS announces the acquisition of the Eastman Texas City Site for ~$500 million

Chemical Value Chain

The deal includes the 600kt Acetic Acid plant and all associated third party activities on the site. Eastman and INEOS have also entered into a Memorandum of Understanding to explore options for a long-term supply agreement for vinyl acetate monomer.

October 1, 2023

Executive Vice President Lucrèce Foufopoulos-De Ridder to leave Borealis

Chemical Value Chain

The Supervisory Board of Borealis has accepted the decision of Lucrèce Foufopoulos-De Ridder, EVP Polyolefins, Circular Economy Solutions and Innovation & Technology to step down from her executive position at Borealis, and the Board of Borouge Pte effective 31 December 2023 to pursue other career opportunities.

October 1, 2023

Sidel unveils new StarLiteR rPET solution

Chemical Value Chain

Sidel has launched a new 100% rPET bottle base, StarLiteR, aiming to help carbonated soft drink (CSD) packaging producers embrace material circularity. StarLiteR allows CDS producers to switch to rPET bottle production easily and efficiently, while significantly reducing the impact on product quality or packaging integrity.

How can we help you?

We're easy to reach