Annex 1
GLOBAL CHEMICALS SECTOR
In Global terms Chemicals have four main geographic
markets: US, Europe, Asia, and the remainder of the world.
Global Market Share (2003).
| Market Location |
Share (%) |
| Europe | 35 |
| Asia | 29 |
| US | 26 |
| Rest of World | 10 |
| |
The Global Market for Chemicals in 2003 is $1.23 trillion,
and is anticipated to grow to $1.53 trillions by 2008, a total
market growth of 23.9%.
Chart 1.1: Geographic breakdown of world chemicals
sales
The Chemicals Industry can be divided into primarily three
constituent parts, these being Petrochemicals & Bulks, Fine
Chemicals and Pharmaceuticals. The Global Chemicals Market size
and projected growth is shown on the table below:
| Sector | Share (%)
| Size(03) ($) | Projected Size (08) ($)
| CAGR (99-3) | Projected CAGR (03-08)
| Projected Total market growth (03-08)
|
| | |
| | | |
| Total Chemicals | 100 | 1.23 tr
| 1.53 tr | 2.4% | 4.4%
| 23.9% |
| Petro & Bulks | 69.7 |
58.5 bn | 1.028 tr | .9%
| 3.0% | 21.3% |
| Speciality (incl Pharma)* | 30.3
| 73.5 bn | 498.4 bn | 2.3%
| 5.9% | 33.4% |
| | |
| | | |
*Pharmaceuticals are deemed to be a separate market sector in
their own right. The Global figures do not reflect this; however,
they are reflected as such in the EU and UK information below.
EUROPEAN DIMENSION
The EU has approximately 35% world share. In 2003 the EU
Chemicals Market was worth approx $534 billion, of which UK had
a share in the region of 9.1% ($55 billion). The chemical industry's
contribution to the EU gross domestic product amounts to 2.4%
Chart 1.3: Geographic breakdown of the EU chemical
industry sales
At 9.1% of the EU industry, UK is deemed to be a large player.
The UK Chemicals industry is projected to grow in the same period
at 7.1%.
The EU chemical industry comprises about over 25,000 enterprises
(data covering firms with no employees are excluded), 98% of which
have less than 500 employees and may be considered as small and
medium- sized enterprises. These account for 45% of added value
and 46% of employment. Only 2% of the EU enterprises employ more
than 499 employees but generate 55% of the total added value.
Chart 1.13: The EU chemical industry: number of enterprises*
& sales by employment size-class
In the EU petrochemicals and bulk account for 37.8% of sales,
fine chemicals 38.1% and pharmaceuticals 24.1%.
Chart 1.4: Sectoral breakdown of the EU chemical industry
sales
In 2003, the EU was the world's leading exporter and importer
of chemicals accounting for half of global trade. The key trading
regions are the EU, Asia, and North America.
Chart 1.2: Regional shares in world trade in chemicals
The analysis shows that EU chemicals is the lead manufacturing
sector for "value added per employee", followed by the
transport equipment and the paper & printing product sectors.
The EU chemical industry accounts for around 12% of EU manufacturing
industry's gross value added.
Chart 1.10: The place of EU chemicals in manufacturing
industry
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