Chemical and Materials Industry Global News ，Market Analysis，Technology Frontier ，Policy & Regulation，Safety & Emergencies， Industrial Investment from May 5 to May 11, 2025 CHEMWI

🔋 Energy Costs Reshape Europe’s Chemical Industry

Major chemical companies — including SABIC, Dow, LyondellBasell, Shell, and BP — are reassessing their operations in Europe. The key reasons are surging energy costs and intensifying competition from Asia and the Middle East. SABIC is considering selling its European petrochemical assets, which generate approximately USD 3 billion in annual revenue.

🌍 Strong African Market Lifts Heidelberg Materials' Profits

Heidelberg Materials, the world’s second-largest cement producer, reported a 1.3% year-on-year increase in Q1 2025 operating profit, reaching €235 million and surpassing market expectations. Robust performance in Africa offset weaker results in North America.

📈 Eastman Chemical Stock Outperforms Peers

On May 8, 2025, Eastman Chemical’s stock rose 2.9% to $77.45, ending a three-day decline and outperforming industry peers.

💰 Lanxess Exceeds Expectations and Plans Debt Repayment

German specialty chemicals maker Lanxess posted a 31.7% year-on-year increase in core profit in Q1 2025, reaching €133 million (approx. $150.5 million), beating analysts’ forecast of €131.6 million. The company confirmed its full-year earnings outlook and plans to use proceeds from the sale of its polyurethane systems business to repay €500 million in bonds. However, it expects lower profits in Q2 due to the divestment and concerns over potential U.S. tariffs.

⚙️ Technology & Innovation

♻️ Advanced Recycling Under Scrutiny

A report from the Center for Climate Integrity (CCI) highlights that, despite internal awareness of the economic and technical limitations of “advanced recycling,” the plastics industry continues to promote it as a breakthrough solution to plastic pollution. The report emphasizes that such processes are energy-intensive, costly, and often result in fuel rather than new plastics — counter to the principles of a circular economy.

🤖 AI Accelerates Catalyst Research

Researchers at the Pacific Northwest National Laboratory (PNNL) are developing an AI-driven platform to accelerate catalyst discovery and automate scientific innovation. The initiative aims to boost the efficiency and innovation capacity of chemical research.

🛡️ Safety & Regulation

🔥 Spain Chemical Plant Fire Triggers Mass Shelter-in-Place

A fire at a chemical plant near Vilanova in northeastern Spain involved 70 tons of chlorine and led to respiratory issues for four people. Authorities issued a “shelter-in-place” order for around 150,000 residents. The blaze was extinguished after seven hours.

⚖️ Policy & Regulatory Developments

🇪🇺 Proposed REACH Amendments Spark Industry Concern

The European Commission’s proposed amendments to the REACH regulation have drawn strong opposition from industry groups such as Cefic. Key changes include revoking registration numbers of non-compliant companies, limiting registration validity to 10 years, and updating requirements for Substances of Very High Concern (SVHCs). The proposal also promotes the use of General Risk Management (GRA) approaches and aims to improve digitalization, supply chain communication, simplification, and enforcement. (Sources: CIRS Group, Landbell Group)

🇺🇸 U.S. Congress Overturns Tire Emissions Regulation

The U.S. Congress has passed a resolution overturning an EPA regulation introduced during the Biden administration that targeted emissions from the rubber tire manufacturing industry. The regulation aimed to control previously unregulated hazardous air pollutants such as greenhouse gases and VOCs under the Clean Air Act. Supporters argued the rule relied on questionable data and imposed unnecessary burdens on manufacturers, while opponents warned it could weaken air quality protections and public health.

🏭 Corporate Activity & Investment

🛢️ ADNOC's Acquisition of Covestro Nears Approval

The Abu Dhabi National Oil Company (ADNOC) plans to acquire German chemical manufacturer Covestro for €14.7 billion (approx. $16.6 billion). The deal is expected to receive unconditional approval from EU antitrust regulators. It marks ADNOC’s largest transaction to date and reflects the Middle East’s broader strategy of diversifying investments and reducing reliance on oil. (Source: Reuters)

🔄 ExxonMobil Expands Local Plastic Recycling Initiative

Jefferson County has partnered with ExxonMobil and Cyclyx to launch a local plastic recycling program. The initiative is part of ExxonMobil’s $200 million investment strategy to expand advanced recycling capacity in the Baytown and Beaumont regions, with a target of processing over 1 billion pounds of plastic annually.