The availability of naphtha in the UAE will be boosted by refinery expansion at Ruwais, helping to retain the Emirati industry's competitive edge and enabling it to produce a wider range of products, according to BMI's latest. The 400,000 barrels per day (b/d) Ruwais refinery is undergoing an expansion scheduled to be fully operational in 2014.
The global packaging market, which is a major consumer of polymers, will play an important role in the UAE's petrochemicals growth outlook. The Arabian Gulf states account for 5% of the world's manufacturing capacity for these products with the UAE aiming the raise its share with further diversification downstream. Growth in this segment is forecast at least 5% over the medium term, led by the developing world. However, in spite of efforts to move further down the hydrocarbons chain to make higher-value products from raw petrochemicals, the UAE has a long way to go.
The hangover effects of China's economic stimulus are yet to be felt, and cooling credit growth is likely to reveal these effects over the coming quarters. Growth in demand for synthetic rubber and engineering plastics in the automotive industry is set to cool slightly, impacting on the UAE's petrochemicals exports. As Chinese wages have continued rising over the years, China's attractiveness as a manufacturing and export hub, on the back of cheap labour, is diminishing. Our long-term auto production forecasts take that into account and we see them growing in line with our auto sales forecasts, mostly to satisfy domestic demand. Nevertheless, by 2018, automotive production should be around 45% higher than in 2012, providing a strong base for consumption of synthetic rubber and engineering plastics. Retail sales growth will come in at above 7%, which again is below historical standards but should help absorb some of the growth in polymers with increased consumption of consumer goods.
The Indian automotive sector should provide a boost to engineering plastics over...
The United Arab Emirates Petrochemicals Report has been researched at source, and features Business Monitor International (BMI)'s market assessment and independent forecasts for key petrochemicals sub-sectors. The report also analyses the impact of regulatory changes, recent developments and the background macroeconomic outlook and features competitive landscapes comparing companies by products and services, sales, market share, investments, projects, partners and expansion strategies.
BMI's United Arab Emirates Petrochemicals Report provides industry professionals and strategists, sector analysts, trade associations and regulatory bodies with independent forecasts and competitive intelligence on the Emirati petrochemicals industry.
- Benchmark BMI's independent petrochemicals industry forecasts to test other views - a key input for successful budgetary and planning in the Emirati petrochemicals market.
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- Assess the activities, strategy and market position of your competitors, partners and clients via our Company Profiles (inc. KPIs and latest activity).
BMI Industry View
Summary of BMI's key industry forecasts, views and trend analysis, covering petrochemicals markets, regulatory changes, major investments, projects and company developments.
Structure, size and value of the industry sector; overview of the industry landscape and key players; assessment of the business operating environment and the latest regulatory developments.
Business Environment Rankings
BMI's Petrochemicals Business Environment Rankings provide a country-comparative Risk-Reward Rankings index aimed at investors (both corporate and financial) in the regional petrochemicals market.
The rankings methodology makes sophisticated use of over 40 industry, economic and demographic data points and is part of BMI's integrated Country Risk-Industry Rankings products.
Industry Trends & Developments
Evaluation of company and sector-wide developments, including key projects (as well as expansion plans), latest company financial details and proposed international ventures.
BMI Industry Forecasts
Historic data series (2009-2012) and forecasts to end-2018 for all key industry and economic indicators supported by explicit assumptions, plus analysis of key risks to the main forecasts. Indicators include:
Energy: Oil production (`000 b/d), oil consumption (`000 b/d), net oil exports (`000 b/d), gas production (bcm), gas consumption (bcm), net gas exports (bcm), oil refinery capacity (`000 b/d).
Petrochemicals: Ethylene capacity (`000 tpa), ethylene production (`000 tpa), ethylene consumption (`000 tpa), polyethylene capacity (`000 tpa), polypropylene capacity (`000 tpa), polyvinyl chloride capacity (`000 tpa), polyolefins consumption (`000 tpa).
Oil Products Prices: Price forecasts for all major oil-based products (US$/bbl) at major global energy trading hubs.
Economic: Nominal GDP (US$bn), real GDP growth (%), GDP per capita (US$), population (mn), unemployment (%), exchange rate (against US$).
Examines the competitive positioning and short- to medium-term business strategies of key industry players. Strategy is examined within the context of BMI's industry forecasts, our macroeconomic views and our understanding of the wider competitive landscape. The latest financial and operating statistics and key company developments are also incorporated within the company profiles, enabling a full evaluation of recent company performance and future growth prospects.