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FINANCIAL NEWS
GCC petrochemicals production to grow 50 percent by 2020
25 Nov 2014
(MENAFN) According to the Gulf Petrochemicals & Chemicals Association (GPCA), GCC’s production of petrochemicals is expected to increase by 50%, with more than 190 million tons produced by 2020, QNA reported.
The association said that this growth in petrochemicals production is the result of good planning of GCC countries, with the Petrochemicals sector now becoming the second biggest industrial sector in the region, with annual production worth USD100 billion.
The GCC countries have invested around USD380 million in the sector in 2012, registering an increase by 30 percent compared with the previous year, while the global levels of investment in the petrochemicals increase by an average of 10 percent annually.
However, GPCA pointed out that the sector is now facing some challenges that affect the industry for years to come, particularly the drop in the price of oil, especially since oil prices has reached a four-year-low, with fear that the prices of petrochemicals would follow, and the production of Shale Gas in the United States, which could also affect the petrochemicals industry.
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