Rising energy prices and a lack of government action are putting increasing pressure on the Dutch chemical sector, according to Carola Schouten. Speaking on a television programme, she said there is a lack of urgency within the cabinet.
The chemical industry is a key pillar of the port of Rotterdam and plays an important role in producing medicines, supporting the energy transition and maintaining the electricity grid.
“Our energy costs are much higher than in neighbouring countries, which is pricing us out of the market,” Schouten said. She added that cheaper products from China are increasingly entering the Dutch market. “As a result, our industry is struggling to keep up. Prices in China are falling in ways we cannot match. This could leave us fully dependent on China in the future.”
The municipality of Rotterdam has previously warned of a decline in investment and business activity in the port. Deltalinqs, which represents companies in the Rotterdam port area, said it shares concerns about the sector’s vulnerability.
According to Deltalinqs, the sector is facing unfair competition. Differences in electricity costs between neighbouring countries can be as high as 64 per cent. The organisation said Dutch policy is therefore unsustainable and needs to be adjusted.
The group also reported that more chemical products are being sold in Asia at prices below European production costs. This is attributed to what it describes as unfair competitive advantages, including state support, lower energy prices, cheaper financing and less stringent environmental standards.
@anp | NEWS BRAINPORT
