for-phone-onlyfor-tablet-portrait-upfor-tablet-landscape-upfor-desktop-upfor-wide-desktop-up

Germany's chemical association sees return to growth in 2021

March 16 (Reuters) - German chemical industry association VCI on Tuesday said it expects full-year chemical production and sales to return to growth in 2021, citing expectations for economic recovery from the coronavirus crisis among industrial customers.

Production in the chemical and pharmaceutical industries, which are important contributors to Germany’s gross domestic product, is expected to grow by 3% in 2021, VCI said.

It sees revenue rising 5% to close to 200 billion euros ($239 billion), compared with 190 billion in 2020, while producer prices will grow by 2%.

“If the industrial economy continues to develop positively over the year, then the signs are good for the chemical industry. Stronger fluctuations in demand are possible, however,” VCI said in a statement.

The sector posted a 4% jump in fourth-quarter output from a year earlier, but sales were down 0.6% as prices were 1.7% lower than in the October-to-December period of 2019. ($1 = 0.8386 euros) (Reporting by Bartosz Dabrowski in Gdansk; Editing by Maria Sheahan)

for-phone-onlyfor-tablet-portrait-upfor-tablet-landscape-upfor-desktop-upfor-wide-desktop-up