The report below gives a good overview of the Spring 2025 M&A activity in the Chemicals and Plastics Industry Sector. The global chemical and plastics industry in 2025 is undergoing a transformational shift driven by changing consumer needs, sustainability initiatives, and geopolitical trade policies. As per the recent Deloitte report 2025, the global chemical production is anticipated to expand at a moderate rate of 3.5%, reflecting growth amidst the prevailing world economic uncertainty. Market leaders are constantly focusing on sustainability and making strategic investments in biodegradable feedstocks, net-zero carbon projects, and advanced recycling technologies such as hydrothermal treatments that transform plastic waste into high-quality raw materials, aligning with circular economy goals. At the same time, changing trade policies, tariffs, and supply chain disruptions are forcing a regional shift of manufacturing. Although China continues to be the dominant manufacturing hub, the implementation of the China+1 strategy is gaining momentum within Southeast Asian nations and the U.S. is leading the way through policy initiatives and new capacity expansions. The specialty chemicals segment includes electronic chemicals, construction additives, and high-performance polymers are seeing rising demand, boosted by growth in electronics, pharma, aerospace, and 3D printing industries. In particular, the global market for engineering plastic is projected to grow at a CAGR of 9% with technological advancements such as data analytics, Industry 4.0 solutions, gaining real-time supply chain insights, and improved customer responsiveness. The digital transformation is also driving innovation in product development and customized solutions, further enhancing the industry's agility in a fast-changing environment.
Posted by Paul Nailor.
Read the Entire Spring 2025 Chemicals and Plastics Report Here