Sector News

Chemical industry group nervous about Brexit talks

April 19, 2017
Energy & 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

November 9, 2024

ICIG and Vynova Group announce acquisition of European Valtris Advanced Organics business

Energy & Chemical Value Chain

International Chemical Investors Group (ICIG) today announced the acquisition of the European Advanced Organics business from Valtris Specialty Chemicals. The acquisition includes production plants in Tessenderlo (Belgium) and Maastricht (the Netherlands) as well as the benzyl chloride and derivatives portfolio manufactured at those sites.

November 9, 2024

Eni closes $1bn sale of Alaska upstream assets

Energy & Chemical Value Chain

Italian oil and gas company Eni has completed the sale of its Nikaitchuq and Oooguruk oil assets in Alaska, US, to Hilcorp in a deal valued at $1bn. This deal, which was signed in June 2024, is part of Eni’s broader plan to rebalance its portfolio by divesting non-core assets.

November 9, 2024

ADNOC launches agentic AI solution for energy sector

Energy & Chemical Value Chain

Abu Dhabi National Oil Company (ADNOC) and AIQ have unveiled ENERGYai, a custom-built agentic AI solution for the energy industry. The announcement was made at the Abu Dhabi International Petroleum Exhibition & Conference. ADNOC said the agentic solution will perceive, think, learn and take action to create value and improve sustainability across its operations.

How can we help you?

We're easy to reach