Robert Outram of IAL Consultants told delegates at the UTECH Europe 2015 Plenary session that demand looks good for the foreseeable future.
“Growth will continue in all regions, but I think stratospheric growth is unreasonable to expect,” Robert Outram, consultant with IAL, told delegates at the UTECH Europe plenary session.
He continued: “We are possibly seeing double-digit growth in Asia,” but he warned even the emerging markets are affected by the Eurozone and the US recession. This means that growth figures of 18 to 20% are not going to happen, Growth will continue at a few percentage points above GDP.
He continued: “The market fundamentals are good, there is a lot of growth left when per capita consumption rates are considered. At the moment key growth areas are spray foam, viscoelastic foam, the refrigeration and cold chain, thermal insulation and slabstock as well are seeing quite good growth there too,” he said.
The global polyurethane industry produced around 21.7m tonne polyurethane in 2014. Asia, with over 11m tonne, was the largest producer, while China accounts for “virtually all” Asian production, Outram said.
China is an “enormous production site,” he said “dwarfing” Western Europe and the US. Eastern Europe is growing “quite nicely, and North America is also coming back online after a slump,” Outram added.
Flexible foam production was around 28% of the global total, 6% ahead of rigid and elastomer applications,…