PUBLICATION

Chemical Week

AUTHORS

Ben Cherrington, Maria Filippova, Kolby Kaller, Marta Armengod

Mexico Chemicals 2022 IHS CW Release

February 23, 2022

Supply chain and logistics bottlenecks characterized 2021 and highlighted the importance of strengthening local production. In Mexico, the re-regionalization of supply chains offers a golden opportunity to take advantage of the country’s inherent advantages – its geographical location, an abundance of young talent, and competitive labor costs. However, a lack of feedstock supplied by Pemex has resulted in Mexico becoming a net importer of petrochemical products, which has constrained chemical industry growth.

In 2022, the government’s proposed constitutional reform that aims to give a greater share of electricity production to the CFE (Federal Electricity Commission) is the latest in a line of actions that demonstrate a clear policy of energy sovereignty. On the other hand, the announcement that Pemex will work with Braskem Idesa to build a US$400 million ethane import terminal, provides a blueprint for the type of public/private partnership that can help Mexico rejuvenate a sector that is becoming increasingly relevant in the energy transition. 

Perhaps the biggest theme uniting the sector is the inevitable rise of sustainability-driven products and investments. In this sense, Mexico’s private sector is swimming with the current, as a global transformation in the chemical sector takes place led by consumer trends for greener products.

RELATED INTERVIEWS MORE INTERVIEWS

Haldor Topsoe discusses the potential for energy transition in Latin America.
The Mexican Union of Agrochemicals Manufacturers and Formulators (UMFFAAC) describes the main themes impacting its members.
Cristian García of PROCCYT explains the dynamics influencing Mexico’s crop protecting sector.
FMC discusses the rise of sustainable products which have minimal residues on crops.

MACIG

West African junior Cora Gold updates GBR on progress at Sanankoro, Mali.

SUBSCRIBE TO OUR NEWSLETTER