The EU chemical industry is dying. Seaports will earn more from importing products from China from 2026.

Seaports and shipping lines are reporting increasing turnover and profits. The European Commission is announcing new programs to rebuild European industry. Meanwhile, the European Union is becoming increasingly dependent on chemical supplies from Asian countries. More and more chemical plants are closing production lines. In Europe, the number of chemical plant closures has increased six-fold since 2022, according to the latest Cefic report from the end of January 2026.

EU exports of chemicals and related products to non-EU countries rose to €560 billion in 2024, EUROSTAT reported in 2025. This represented a 7% increase compared to 2023, when chemical products worth €523 billion were exported. Imports fell by 1% to €322 billion, compared to €326 billion the previous year. Among EU countries, the top 5 exporters to non-EU countries are Germany, with chemical exports worth €134 billion.

The next largest exporters were Ireland (€82 billion), Belgium (€62 billion), France (€54 billion), and the Netherlands (€50 billion). However, the statistics for Belgium and the Netherlands are driven by seaport turnover, as the main export destinations outside the EU were seaborne transport, with the recipients being the United States (€170 billion), the United Kingdom (€47 billion), China (€36 billion), and Japan (€18 billion).

However, the position of EU countries’ chemical industries is clearly declining, and the share of the European chemical industry in global trade is also decreasing. The January report “European chemical closures and investments radar 2022-2025” contains shocking information.

Six Times More Chemical Plant Closures

The number of chemical plant closures in Europe has increased six-fold from 2022 to 2025, according to the opening words of a report by Cefic – European Chemical Industry Council. Production capacity of 37 million tons, or approximately 9% of European production capacity, has disappeared from the market. The supply of chemicals at seaports for exports is also decreasing, while imports are increasing.

As a result, there will be 20,000 fewer jobs in the European chemical industry in 2026 than in 2022. The report clearly states that there has also been a sharp slowdown in new investment. In some cases, planned construction of new plants or production lines has been removed from investment programs. There are also concerns about the competitiveness and future profitability of the European chemical sector. These are the main findings of the report, prepared by the consulting firm Roland Berger on behalf of Cefic. The report covers changes in the European chemical industry from January 1, 2022, to December 8, 2025.

“It’s no longer a matter of whether it’s five minutes before or five minutes after midnight. The sector is under severe pressure and is collapsing,” said Marco Mensink, CEO of Cefic, candidly. The pace of closures has doubled over the year. Investment in new installations has halved or even stopped altogether in some countries.

Imports of chemical components and products to European Union countries are increasing rapidly. The pace of shutting down chemical plants has also accelerated. Marco Mensink urges: “We need decisive action this year, the consequences of which will be felt by factories.”

The US and China on EU Chemical Routes

EU exports and imports have continued to grow since the beginning of 2025 compared to 2024. China is the leading source of chemical imports to the EU (with shipments worth approximately €34 billion annually). The US chemical industry (approximately €31 billion) and the UK (approximately €19.5 billion annually) are the next largest suppliers. Europe’s increasing reliance on chemical imports from China is evident in seaports and maritime routes.

Cefic warns that “Europe’s dependence on Chinese chemical exports to the EU market has increased more than 4.7-fold over the past twenty years, from less than 1% in 2004 to 5.6% in 2024.” The United States is the largest market for the EU chemical industry, with shipments worth €23.1 billion in the first half of 2025. During the same period, the United Kingdom imported chemical products worth €12.7 billion, and China imported €8.8 billion.

The European chemical industry continues to direct a significant amount of its products to the US market. President Donald Trump’s tariff increases on European products could significantly reduce production profitability. This will impact not only chemical plants but also terminals and Atlantic shipping lines. EU chemical exports to the US accounted for 18% of total exports by value in 2024. Even before the US introduced tariffs on EU goods, European chemical plants saw a significant decline in US demand. In 2004, 22% of EU chemical production was shipped to the US via the Atlantic.

110,000 Jobs Lost at Chemical Plants

The report highlights the human and economic impact of the ongoing wave of closures. In addition to the nearly 110,000 job losses, including 20,000 direct ones, it is estimated that around 89,000 jobs in the chemical industry are at risk across Europe. This also applies to logistics, including maritime transport and ports. This clearly reflects the chemical industry’s crucial role in maintaining regional activity. The closure of production at chemical plants will disrupt local and European production chains.

Roland Berger emphasizes that “at the same time, there has been a drastic decline in new investment. Annual investment in capacity fell from 2.7 million tons in 2022 to just 0.3 million tons at the beginning of 2025.” This resulted in a total decline in production capacity of approximately 7 million tons during the period under review.

The decline in European chemical industry activity between 2022 and 2025 “reflects a shift from extensive investment in multiple innovation pathways—such as electrification, hydrogen production, and circular plastics—to just a single pilot initiative,” according to the authors of the report “European chemical closures and investments radar 2022-2025.”

Analysts at Roland Berger state that “with plant closures far outpacing new investments, the European chemical industry is shrinking. This trend points to deepening uncertainty in the sector and raises serious questions about Europe’s ability to maintain a competitive and resilient industrial base.”

Germany and the Netherlands Reduce Chemical Production

The “European Chemical Closures and Investment Radar 2022–2025” reports that “the highest percentage of plant closures is occurring in leading chemical industry countries.” In Germany, production capacity decreased by 8.8 million tons (25%), in the Netherlands by 7.2 million tons (20%), and in the UK by 4.5 million tons (12%).

In France, chemical plants reduced activity by 3.9 million tons (10%), while Italy will produce 2.5 million tons less annually (7%) due to production line shutdowns. In Belgium, chemical production capacity decreased by 2.3 million tons (6%), in Spain by 1.6 million tons (4%), and in the rest of Europe by 6 million tons (16%).

Ports and shipping lines must prepare for reduced chemical exports from Europe, according to an analysis of planned investments. Demand will likely need to be replaced by maritime supplies from China, the US, and India.

The main investments will be in the petrochemical sector. Thanks to these investments, production at petrochemical plants increased by 3.8 Mt (59%) between 2022 and 2025, based on confirmed investments, according to a Cefic report.

This only partially offsets the closures, which contributed to a 17.8 Mt reduction in production capacity. The largest confirmed investments in production capacity were recorded in Belgian port clusters, which will allow for an increase in production by 2.4 million tons (36%). In Germany, this increase will reach 0.8 million tons (12%), and in France, 0.4 million tons (6%).

Even more shocking is the news that “confirmed CAPEX decreased five-fold from €7.6 billion in 2022 to €1.5 billion in 2025.” Germany spent €1.4 billion on investments, investors in France €1.7 billion, and in the Netherlands €1.5 billion. This is not good news for the entire logistics chain, including seaports, maritime transport, and its surroundings.