Fecc: Quo Vadis, Chemical Industry In Europe?

Dorothee Arns, director-general at Fecc, evaluates the ups and downs of the European chemical industry Working in the chemical industry has always been challenging. Boring times hardly ever happen, due to the overall cyclicity of the business and constantly changing market conditions with the associated imperative to adapt. This is especially true for Europe, with its structural competitive disadvantages in energy prices, raw materials, labour costs and taxes, plus the consolidation of markets. Additionally, chemicals has always been impacted by geopolitics. However, what we have been seeing in the past 12 months, in particular since early April 2025, marks a new dimension, adding more pressures on businesses than ever before. And it becomes more and more evident that these developments are way more than just short-term effects. A lot of them will most likely last for years to come, inevitably raising the question in the midst of all this turbulence: Quo vadis, chemical industry in Europe? The Impact Of Tariffs To start with the source of the latest external shock: the US tariff policy since early April 2025. Domestically, the US president sees it as fulfilling the promises he...