2014-02-07 21:43:02 - China Petrochemicals Report Q1 2014 - a new market research report on companiesandmarkets.com
Slower growth in the domestic market will complicate problems of oversupply in some petrochemical segments and a large inventory overhang in the manufacturing sector, according to the latest China Petrochemicals Report. At the same time, costs are mounting and competition is increasing, thereby squeezing margins of petrochemicals producers.
While the outlook for China´s traditional economic growth drivers such as heavy industry and real estate construction remains cloudy, the outlook facing the more consumer-focused industries is relatively strong over the medium term. However, we caution that the inevitable bursting of the ongoing credit bubble could also serve to undermine the profitability of the consumer-focussed industries. We remain downbeat for 2014 with GDP growth forecast at 6.7%. The petrochemicals market will match the
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