"We need to reimagine the chemical industry in Mexico to support an existing US$40 billion market with enormous growth potential to benefit from the geographical position of the country."

Martín Toscano

CEO, EVONIK

April 14, 2023

How can the Mexican chemical industry meet growing demand?

Demand remains strong in Mexico because the chemical industry is a key player in every manufacturing sector in the country. However, the lack of raw material supply from petrochemicals, the high energy prices, the much needed investments in infrastructure and the lack of the right legal framework are causing significant uncertainty and additional challenges to the industry.

Will the chemical industry move towards more sustainable energy sources?

Mexico has a unique position and opportunity for renewable energy, with the availability of wind and solar, among others. Natural resources and technology are available, and international and local players are ready to invest in these fields. Mexico can only sustain its position as a regional and global export platform if the energy systems are sufficient, sustainable and competitive.

How will digitalization transform the chemical industry?

Internal digitalization is not just about production and manufacturing but also areas such as financial services, business management and RD&I with stakeholders in the market. We are seeing the potential for automation and digital processes across the business. The other side of digitalization is the company's services to its customers, including e-learning platforms and applied technology solutions for specialty chemicals. Digitalization is critical for innovation and enabling a more collaborative approach with our customers.

Exploring AI for Evonik represents new opportunities to innovate processes, products, services and business models by the use of digital sales channels that are becoming increasingly important in the chemical industry, thus, group-wide strategic approaches for e-commerce solutions are being tested, further developed and scaled. Understanding the customer journey and improved interaction through digital marketing creates the foundation for customer-focused solutions.

And increasing efficiency in production and technology help us on seamless connectivity, immersive technologies, advanced analytics and autonomous processes to drive production and technology forward, making processes safer, more efficient and faster.

Are biosurfactants an area of growth for Evonik?

Within our division Nutrition & Care, Evonik Care Solutions is a sustainable specialties partner to companies that develop and market products for beauty, personal care, cleaning and other similar applications. Following substantial investment to build a new biosurfactant plant in Europe, Evonik has launched the sustainable rhamnolipid Rewoferm® RL 100, which meets demand from the cleaning solutions market, is produced from locally sourced, renewable feedstocks and is fully biodegradable while providing excellent cleaning performance. With our well-established biosurfactant portfolio, we firmly cement our position as sustainable specialties partner, while also further strengthening our broad technology platform for NextGen products and services.

What is Evonik's strategy in Mexico for 2023?

The Mexican chemical industry requires several vehicles to overcome existing challenges and to inspire the industry growth such as regulatory affairs, modernization and renewal of the existing petrochemical base in the country, co creation and further collaboration between private and public sectors, more RD&I, aim for incentives and investments as well as infrastructure and further development of the local talent pipeline. And on top, as we do today, we accept responsibility for our business, our employees, the environment and the society. For us, responsible action and economic success belong inseparably together supporting our Evonik Next Generation Solutions (NGSs), an increasing number of selected products and solutions with a clearly positive sustainability profile. Consequently, we will continue supporting the increasing R&D&I and Applied Technology journey in Mexico as customers expect us to bring value in innovation and technology. In addition, Evonik in Mexico will continue supporting the global strategy of our 15 business lines active in-country, operating close to their markets and customers and with a distinctive degree of entrepreneurial drive, while we are leading beyond chemistry.

INTERVIEWS MORE INTERVIEWS

"There are many opportunities for the chemical industry to support the development of better communication and efficiency across borders, fostering common regional interest."
"The growth of the automotive, aerospace, and electronics markets has ultimately helped our business, allowing us to provide added value in more areas."
" We aim to collaborate more with various industries in Mongolia, including mining, and customize our flights to meet their needs."
"We have also observed increased dialogue and a more market-friendly cabinet in Peru."

RECENT PUBLICATIONS

Mongolia Mining 2024 - Digital Interactive

Investors once came to Mongolia for its geology yet stumbled upon its legislative framework. How competitive Mongolia has become today, we will leave our readers to judge, hoping that this report provides them with the resources to make an informed assessment.

MORE PREVIOUSLY PUBLISHED

MACIG

"Namibia offers a compelling value proposition for investors looking to capitalize on the country's vast potential in the mining and energy sectors."

SUBSCRIBE TO OUR NEWSLETTER