The chemicals industry is a new industry when compared to others, but it is a very important one. It plays a vital part in the smooth functioning of any industry that involves manufacturing, or that uses chemicals in the creation of a final product. Despite the slump around 2002, it is a relatively high growth industry.
The Chemicals industry is Highly Fragmented. The production in this industry is divided among many different companies, no single firm has large enough share of the market to be able to influence the industry's direction or price levels.
Primary Demand Drivers
- Economic health of domestic country
- Efficient operations and distribution
- Adherence to regulations