The world’s 50 largest chemical producers generated total revenues of $697 billion last year. Sales fell 21.0% as the recession hurt demand and pricing. Only four companies among the top 50 posted revenue increases: LG Chemical, Reliance Industries, Mosaic and Sasol. Operating profits for the 46 companies that disclosed them declined 6.2% to $49 billion. Declines in energy and raw material prices, as well as cost cutting, led to the more moderate decline in profits compared to sales. The five largest companies were BASF, Dow Chemical, Sinopec, Ineos Group and Exxon Mobil. Moving up in the rankings were Sinopec, which rose to number three from its number seven position last year, and Formosa Plastics Group, which rose from number 10 to number seven. Six new companies joined the top 50 list: Tosoh, Merck KGaA, Dow Corning, Celanese, Eastman Chemical and Hitachi Chemical. Of the 46 firms for which comparable information was available, only 10 reported increases in capital spending. Likewise, R&D spending rose for only four of the 31 companies for which comparable information was available.

Source: Chemical & Engineering News