Many companies get caught up with short-term uncertainties, but those who successfully position their business for the future can become leaders in their industry. During downcycles, smart businesses often innovate and find ways to become more relevant, effective, and productive. This can position them to take advantage during the upcycles.
With stakeholder pressure mounting, markets shifting, policy incentives stacking up, and technology advancing, chemical companies should position themselves for the high-tech, low-carbon future. The industry leaders will likely be the ones who make strategic decisions and secure clear pathways to strong and sustainable returns now, despite the current challenging market environment.
Continued policy activity impacting the chemical industry is expected (e.g., permitting reform, PFAS regulations, the UN treaty to end plastic pollution). These policies could accelerate momentum toward sustainability and all the factors that support it (e.g., materials innovation, technology) or potentially present headwinds (e.g., unfavorable regulations for advanced recycling), depending on how they materialize.
From:Deloitte
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