Overcapacity squeezes global petrochemicals sector, with China at center of crisis

[Attaqa] The global petrochemicals sector is under pressure as the gap between production capacity and demand growth widens, weighing on companies' financial performance, according to Attaqa. The report said the sector's equity returns have lagged other global stocks over the past decade, while prices of basic and intermediate chemicals and polymers and company profit margins have declined, potentially prolonging a recovery in one of the main industrial sectors. China is at the center of the crisis, according to the report.