VCI report on the business situation of the chemical industry in the 3rd quarter 2014

Stabilisation of chemical business in Germany

04. November 2014 | Pressemitteilung

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Production and sales of the German chemical industry rose in the third quarter by 0.5 percent each against the previous quarter, while prices kept nearly unchanged. This was attributable to foreign business which developed positively in almost all regions. By contrast, another minor decline was recorded in domestic business. For the year 2014 the VCI maintains its forecast of 1.5 percent growth in chemical production and of 1 percent rise in sales.

VCI's President Dr Marijn Dekkers: After setbacks in the 2nd quarter, the chemical business stabilised in the 3rd. © VCI
VCI's President Dr Marijn Dekkers: After setbacks in the 2nd quarter, the chemical business stabilised in the 3rd. © VCI

Business of the chemical-pharmaceutical industry picked up somewhat in the 3rd quarter 2014, according to the latest quarterly report by the German chemical industry association Verband der Chemischen Industrie (VCI).

After a weak 2nd quarter, production and sales rose slightly from July to September in Germany’s third largest industry. This was attributable to foreign business which developed positively in almost all regions. By contrast, another minor decline was recorded in domestic business, due to a further drop in industrial production in Germany. But this situation is not permanent. The main reason underlying the falling figures in the reporting period was the large number of plant holidays in the summertime. Industrial production in Germany will return to slight growth in the medium term.

VCI President Dr Marijn Dekkers on the business developments in the chemical industry: “After setbacks in the 2nd quarter, the chemical business stabilised in the period under review. But growth rates are and remain moderate. For the coming months, we are expecting only a slight rise in the demand for chemicals in Germany. Our hopes are based mainly on the foreign business.

Forecast

For the year 2014 the VCI maintains its forecast of 1.5 percent growth in chemical production. With lower prices for chemical products, chemical industry sales are anticipated to rise by 1 percent to 192.5 billion euros.

Production

In the 3rd quarter 2014 as a whole, chemical production in Germany went up by 0.5 percent. Production was unchanged against the previous year. From July to September, capacity utilisation in the industry fell slightly to 83.9 percent.

Producer prices

The prices for chemical products were stable in the 3rd quarter 2014. From July to September, chemicals prices were only 0.1 percent higher than in the previous quarter - but they were still 0.6 percent lower than one year ago.

Sales

As compared with the previous quarter, sales in the chemical-pharmaceutical industry rose by 0.5 percent to 44.9 billion euros. The level of the previous year was also exceeded by 0.5 percent. In the period under review, growth impulses came exclusively from foreign business.

Employment

At present, the chemical-pharmaceutical industry has 442,000 staff in Germany. From July to September 2014, employment remained unchanged against the previous quarter. The number of staff increased by 1 percent against the previous year.

Please note:
VCI's full quarterly report (PDF, 6 pages, only in German, sorry) stands ready for you in the download section at the top of this page. Additionally you will find a 1-paged executive summary in English as well as the two main charts of the report as jpg files in high resolution.

The VCI represents the politico-economic interests of over 1,650 German chemical companies and German subsidiaries of foreign businesses. For this purpose, the VCI is in contact with politicians, public authorities, other industries, science and media. The VCI stands for over 90 percent of the chemical industry in Germany. In 2013 the German chemical industry realised sales of more than 190 billion euros and employed around 438,000 staff.

Contact: VCI Press Dept., Phone: +49 69 2556-1496, E-Mail: presse@vci.de

More information: VCI news about the chemical industry is also available via Twitter: http://twitter.com/chemieverband


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Chemikaliensicherheit, Digitalisierung, Mittelstand, Konjunktur/Wirtschaft