Hungary Petrochemicals Report Q4 2016

Publisher Name :
Date: 14-Sep-2016
No. of pages: 71

BMI Industry View

Hungarian petrochemicals production is coming under pressure as a result of moderating demand in

domestic and external markets. Growth indices pointed to a downturn even before the UK's Brexit vote,

which is set to hit the country's export markets - particularly the automotive industry, which represents a

sizeable proportion of petrochemicals demand. We caution that the growth in basic chemicals and polymers

reported by the country's leading petrochemicals producer MOL in H116 could be reversed in H216 in

response to softening demand.

The Hungarian petrochemicals industry has registered a downturn that appeared to strengthen as the year

progressed. In H116, the average growth rate for chemical products was -3.0% year-on-year (y-o-y), while

the rubber and plastic product segment contracted 9.3%. This compared to the overall 4.0% decline reported

in the industrial sector as a while. Although production of rubber and plastic products shrank, the MOL

Group reported that ethylene grew 5.2% y-o-y to 384,000 tonnes while propylene rose 4.2% to 198,000

tonnes in H116, most of which originated in Hungary. Butadiene output was 63,000 tonnes, close to full

operational capacity at the new 130,000tpa unit in Hungary. In polymers, low density polyethylene grew by

6.3% to 102,000 tonnes; high density polyethylene rose 7.4% to 189,000 tonnes; and polypropylene rose by

1.1% to 271,000 tonnes.

However, MOL's polymer sales were flat at 535,000 tonnes, giving little upside to its overall petrochemicals

sales performance. Its petrochemicals sales growth of 5% to 670,000 tonnes was instead supported by

lower-value products, with 5% growth in external olefins sales (ethylene and propylene) to 105,000 tonnes

and the 27,000 tonnes of external butadiene sales.

? Hungary will not be able to sustain polymer output growth at current levels at a time of sluggish sales

performance and a contracting rubber and plastic products market, nor will it be able to compensate for

flat polymer sales with rising sales of olefins feedstock. We believe that H216 could see a cut in

petrochemicals output and a reversal of the growth seen in 2015.

? In BMI's Europe Petrochemicals Risk/Reward Index, Hungary's score has fallen 0.5 points to 58.4 on the

back of a worsening outlook for market risk. Worsening performance in the construction and automotive

end markets amid a European slowdown reduces the scope for growth. The trend was confirmed by a fall

in the output of rubber and plastic products in H116. There is a possibility of cuts to capacity utilisation

in H216. In this context, there is no reason to expect Hungarian petrochemicals producers to enlarge

refining and polymer capacities appreciably during the forecast period.

Hungary Petrochemicals Report Q4 2016

Table of Contents

BMI Industry View 7
Political 9
Economic 10
Operational Risk 11
Industry Forecast 13
Table: Hungary's Petrochemical Industry, Historical Data & Forecast, 2012-2020 17
Macroeconomic Forecasts 18
Economic Analysis 18
Industry Risk/Reward Index 22
Hungary Petrochemicals Risk/Reward Index 22
Europe Petrochemicals Risk/Reward Index 22
Table: European Petrochemicals Risk/Reward Index (scores out of 100) 29
Market Overview 30
Industry Trends And Developments 33
Upstream 33
Downstream 34
Company Profile 37
BorsodChem 37
Magyar Olaj-és Gázipari (MOL) 40
Regional Overview 43
Europe Overview 43
Global Industry Overview 54
Demographic Forecast 61
Table: Population Headline Indicators (Hungary 1990-2025) 62
Table: Key Population Ratios (Hungary 1990-2025) 62
Table: Urban/Rural Population & Life Expectancy (Hungary 1990-2025) 63
Table: Population By Age Group (Hungary 1990-2025) 63
Table: Population By Age Group % (Hungary 1990-2025) 64
Glossary 66
Table: Glossary Of Petrochemicals Terms 66
Methodology 67
Industry Forecast Methodology 67
Risk/Reward Index Methodology 69
Table: Petrochemicals Risk/Reward Index Indicators 70
Table: Weighting Of Indicators 71

List of Tables

Table: Hungary's Petrochemical Industry, Historical Data & Forecast, 2012-2020
Table: European Petrochemicals Risk/Reward Index (scores out of 100)
Table: Population Headline Indicators (Hungary 1990-2025)
Table: Key Population Ratios (Hungary 1990-2025)
Table: Urban/Rural Population & Life Expectancy (Hungary 1990-2025)
Table: Population By Age Group (Hungary 1990-2025)
Table: Population By Age Group % (Hungary 1990-2025)
Table: Glossary Of Petrochemicals Terms
Table: Petrochemicals Risk/Reward Index Indicators
Table: Weighting Of Indicators
  • Increasing New Outlets And Striking Offers To Drive Global Pizza Market
    The global pizza market is predicted to grow at a steady CAGR of about 3% by 2020. Pizza has been gaining massive acceptance globally in the last few years. Consequently, the global pizza market is anticipated to observer considerable progress in the coming years. The growing number of pizzerias is one of the major elements [...]
  • Healthy Diet Demand In Developed Economies To Boost Nutraceuticals
    As customers scuffle to keep up with the frantic lifestyles, the necessity for healthy nutrition rises owing to dearth of time to spend on laborious exercises.  Customers are shifting their attention to swift and healthy food behaviours. Increase in intake of beverages and functional food has offered makers of nutraceuticals with money-spinning prospects to benefit [...]
  • World Economic Forum Unveils Top 10 Emerging Technologies of 2016
    The World Economic Forum (WEF) and Scientific American lately unveiled the major technological innovation list of the top ten emerging technologies of 2016. This list emphasizes on the technological developments which have the supremacy to transform industries, protect the planet, and improve lives. It also presents an opening to discuss any societal, human, economic or [...]
  • Siemens Adds To the Growth of Wind Power Generation Market
    Siemens has been presenting ground-breaking strategies and pioneering solutions for energy generation for an intelligent power supply globally. With an expansive portfolio and wide-ranging proficiency in wind power generation, Siemens is likely to aid in increasing the share of wind power in the US energy mix. With New Mexico’s vicinity to significant wind energy areas, [...]
  • Global Public Safety LTE Ecosystem Overview
    In view of its flourishing ecosystem, spectrum flexibility and performance metrics, LTE has emerged as the leading candidate for public safety mobile broadband networks. Public safety organizations and establishments have already begun planning to advance their networks to LTE-based public safety solutions. LTE provisions a varied range of services, from high bandwidth data services to [...]
  • Czech Republic Petrochemicals Report Q4 2016
    Published: 19-Oct-2016        Price: US 1295 Onwards        Pages: 70
    The Czech petrochemicals industry is poised for a strong recovery from Q416, supported by improved margins, relatively robust consumption growth and higher output. The resumption of activity at the country's sole cracker unit coupled with advantageous crude supply deals with Russia will see strong growth, although the break-down at the Kralupy refinery in mid-May creates some downside risk of lower output. The reconstruction of Unipetrol's Litvínov complex was compl......
  • Italy Petrochemicals Report Q4 2016
    Published: 19-Oct-2016        Price: US 1295 Onwards        Pages: 86
    BMI Industry View The Italian petrochemicals industry is set for a period of significant change as Eni seeks to divest its majority share-holding in chemicals producer Versalis and the market environment is faced with economic challenges posed by Brexit and domestic economic problems. There has been significant investment in diversifying feedstock and adding value to production, leading to a recovery in output. BMI believes the process of structural change has yet t......
  • Russia Petrochemicals Report Q4 2016
    Published: 19-Oct-2016        Price: US 1295 Onwards        Pages: 92
    BMI Industry View The Russian petrochemicals industry is benefitting from a collapse in the rouble, which has significantly reduced imports. The beginnings of recovery in 2017 should help increase consumption, but the chief concern will be access to finance to boost capacity and realise planned projects. As such, Russia is increasingly turning to Chinese state-owned petrochemicals industries in order to leverage its considerable resources for downstream production.......
  • Spain Petrochemicals Report Q4 2016
    Published: 19-Oct-2016        Price: US 1295 Onwards        Pages: 73
    BMI Industry View In 2012, the industrial production index for chemicals declined 0.7% on average, while for rubber and plastic products it plummeted an average of 9.0%, compared with growth of 0.2% and -1.5% respectively in 2011. In the first four months of 2013, the chemicals production index fell by a further 7.3% while the rubber and plastics index fell by 5.0%. This signalled a deterioration of chemical and petrochemicals performance in H113. Although there was......
  • France Petrochemicals Report Q4 2016
    Published: 21-Sep-2016        Price: US 1295 Onwards        Pages: 77
    BMI Industry View Brexit is likely to have significant effects on the French petrochemicals market and will draw focus towards the further restructuring of the industry, which will be crucial to competitiveness. Aside from slower market activity, challenges include the impact of rising crude prices on naphtha feedstock prices; economies of scale at cracker plants; the impact of labour unrest in the refinery sector on the production chain; and the need to secure investment......
  • Germany Petrochemicals Report Q4 2016
    Published: 21-Sep-2016        Price: US 1295 Onwards        Pages: 75
    BMI View: Germany's petrochemicals industry will be hit by the impact of Brexit due to its reliance on export-oriented industries, particularly the automotive sector, as well as its role as a major petrochemicals supplier in Europe. The sector was already seeing a downturn in sales volumes before the UK's vote to leave the EU, suggesting existing weaknesses in the economy are likely to be exacerbated by the uncertainty caused by Brexit. However, we expect that the effects......
  • Poland Petrochemicals Report Q4 2016
    Published: 14-Sep-2016        Price: US 1295 Onwards        Pages: 76
    BMI View: The Polish petrochemicals industry is facing plenty of downside risk as a result of the potential effects of a Brexit-induced slowdown in manufacturing exports. Already, petrochemicals margins are under pressure and some polymer segments, notably polyethylene, saw declines in production in H116. Nevertheless, the industry is investing in new capacity, with 100,000tpa of extra polymer-grade propylene capacity available from 2018. Polish petrochemicals produ......
  • Romania Petrochemicals Report Q4 2016
    Published: 14-Sep-2016        Price: US 1295 Onwards        Pages: 80
    BMI Industry View Romania's petrochemicals industry is witnessing a strong performance in a market that is witnessing stronger growth. Increased household disposable income and the country's strategic position in the automotive sector are supporting petrochemicals consumption. As a result, there will be plenty of upside for the Romanian petrochemicals industry. Growth could be boosted further if Oltchim resumes full production following privatisation, although BMI i......
  • Turkey Petrochemicals Report Q4 2016
    Published: 14-Sep-2016        Price: US 1295 Onwards        Pages: 78
    BMI View: Turkey's coup attempt has shaken the petrochemicals industry with arrests of senior managers of the local producer Petkim, but its Azerbaijani majority owner SOCAR is likely to continue investments. The pre-coup outlook had been brightening and Turkey remains a significant importer, although depreciation will support local production. Petkim's expanded ethylene plant, which has seen capacity increase from 520,000 tonnes per annum (tpa) to 600,000tpa, suppo......
    Value for Money
    We believe in "optimum utilization of available budget and resources". While servicing our clients' (your) market research requirements, we keep the same approach in focus to help you get the best value for your $$s.
    Ever Growing Inventory
    Ranging from the smallest feasible / required data (datasheets, data facts, SWOT analysis, company profiles, etc) to full research reports that help you make decisions, our inventory is updated almost on a daily basis with the latest industry reports from domain experts that track more than 5000 niche sectors.
    One Stop Solution
    Need a custom research report on medical devices market? Require all available business intelligence on 3D printing industry? Exploring F&B sector of a particular country/region? is your one-stop-solution to all market intelligence needs. We not only offer custom research and consulting services, we also "bundle" reports to meet your needs and help you fetch the data analysis you require for your business.
    Dedicated Client Engagement
    Not limited to only "finding" relevant reports for you, our client engagement team dedicates its efforts to understand your "business need" and accordingly maps available research data to help you move forward. Call "your" client engagement executive any time of your day and get your questions answered in order to make the correct business decision.
    Saving Time and Efforts
    Simply share your research requirement details with us and let us do all the hard work to find required intelligence for you. When you add up our "one stop solution" and "dedicated client engagement" services mentioned above, you obviously know the time and effort saving you do by working with us.
    Payment Flexibility
    Working with Fortune 500 organizations, we understand the importance of being flexible for payments. Share your payment terms with us and we will surely match up to them to ensure you get access to required business intelligence data without having to wait for the payment to be done.
    Post-Purchase Research Support
    Have questions after reading a report / datasheet bought through us? Not sure about the methodology used for data available in the research? Talk to us / Share your questions with us and if required, we will connect you with the analyst(s)/author(s) of the report(s) and ensure you get satisfactory answers for the same. Need more data / analysis / report(s) on the topic of your research/project? The team is here for you 24X7 to support you with your post-purchase requirements. Subscription Offers & Packages (Get in touch with us for more details - / +1 888 391 5441 )
    • Ad Hoc
    • Pay - as - you - go / Bucket Subscriptions
    • Fixed Cost for #of reports
    • Customize / Personalize as per your needs