The global petrochemical industry shifts its focus to the developing countries. Demand for chemical products also grows rapidly.

According to the “Chemical Weekly” report of the United States, Mohamed Al-Mady, Vice Chairman and CEO of Sabic, stated at the European Petrochemical Industry Association’s annual meeting in Vienna recently: “The global petrochemical industry is undergoing dramatic structural changes with a focus on the west. The shift to the East is due to the rapid growth in the production of petrochemical products in the Middle East and the rapid growth in the demand for chemical products in developing countries."
Al-Mady pointed out that petrochemical producers in the Middle East are using the advantages of local raw materials to rapidly expand their petrochemical production capacity to meet the rapid growth in demand for petrochemical products in developing countries, especially in Asia. Half of the world's new ethylene production capacity in the next five years will be in the Middle East, one third in Asia, and by 2010, ethylene production capacity in the Middle East will account for about 20% of global ethylene production capacity.
Al-Mady is optimistic about the prospects of the global petrochemical industry. He believes that although there will be a large number of new petrochemical production capacity in the Middle East and Asia region before 2009, due to the rapid increase in demand for petrochemical products in developing countries, these new production capacities will be absorbed by the market, especially China, India and Brazil. Large populous countries have a very large market potential.
According to reports, Sabic plans to invest US$20 billion in expanding its petrochemical production capacity in the next three years, including significant expansion of ethylene, propylene, ethylene glycol, polyethylene, polypropylene, styrene, and methanol. Currently, Sabic is discussing with partners about the feasibility of building a new petrochemical project in China.

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