Savannah Turner

KPMG Announcement || Recently launched: REACTION Magazine 26

Blog Post created by Savannah Turner on Aug 13, 2018

The KPMG Global Chemicals Institute is pleased to announce the launch of the twenty-sixth edition of REACTION Magazine, KPMG’s signature publication for the chemicals and performance technologies industry, which you can download here.

This edition takes a look at getting up to speed on the new mobility, provides an update on Brexit and investigates new deals for Japanese chemical companies.


Getting up to speed on the new mobility

The automotive industry is speeding toward a new era marked by electric-powered vehicles, autonomous vehicles and shared mobility. Even as global sales tick downward,1 individual vehicles will be used more intensively, spending less time parked and more time on the road, transporting people and goods in a growing number of ways. For automotive chemical companies in particular, the new mobility will mean a dramatic shift in product portfolios, clients, end users and business models to address an industry ecosystem that’s becoming larger, more dynamic and far more interconnected. Please click here to read more.


Brexit update

The clock is ticking for Brexit. The UK has voted to leave the European Union (EU) on 29 March 2019, and a third of UK-based companies are now actively organizing or planning to move some of their operations out of the country because of regulatory uncertainty and other factors.15 Almost half of these companies are in the chemical industry.16 Certainly the potential disruption caused by Brexit cannot be denied. At the same time, the UK exit from the EU can serve as a catalyst for needed change in the chemical industry, impelling companies to introduce new efficiencies, renegotiate contracts and question long-held assumptions about the best way to do business in today’s global economy. Please click here to read more.


New deals for Japanese chemical companies

Japanese chemical companies showed strong performance in 2017, driven by export growth focused on technologically advanced materials.21 It is also recognized that strong performance was driven by temporary high utilization of facilities caused by a global shortage of petrochemical products.

However, the nation’s chemical industry faces serious challenges ahead, from low-growth domestic markets to increased competition in ethylene and ethylene derivatives from North America and the Middle East. In response, a growing number of Japanese chemical companies are undertaking overseas expansions or acquisitions. Looking to the future, the Japanese players might consider European chemical companies as a model for transitioning to a more consolidated industry focused on specialty products. Please click here to read more.

To learn more about KPMG’s Global Chemicals Institute, please visit and to subscribe for future editions of REACTION Magazine, please click here.

*Sources can be found on