Emerson Exchange 365

A Q&A with Peter Cox, Global Chemical Industry Leader,Emerson Process Management

The Emerson Exchange Chemicals Industry Forum will be held on Wednesday, April 2, from 10:45 a.m. to 12:15 p.m.

Go here for more information on Emerson’s Chemical Solutions

What are the major issues and trends facing the chemical industry?

• 'Impact of shale gas on European petrochemical assets profitability and utilization' - a great example is Sasol’s new gas-to-liquids and ethane cracker complex in Louisiana, where Emerson will be the main automation contractor
• Chemical plants on trucks that can be combined and relocated as needed for short- to medium-term production needs. This would replace or augment the traditional fixed, large area chemical plant
• Regulatory pressure increasing worldwide
• Increased demand for quality food driving pesticides and fertilizers
• Higher standard of living/longer life expectancy driving demand for polymers
• Innovation is required to survive in high-cost markets

What are the biggest challenges/barriers facing the chemical industry?

• Risk of investment because difficult to anticipate changing regulations
• Becoming more commodity (brand names mean less and less)
• Increased pressure for flexible manufacturing to produce chemicals where and when they are needed to reduce the risks of transportation and storage
• Energy and feedstock prices are still unpredictable

What are the biggest opportunities facing the chemical industry?

• Growing population with increased living standard
• “Green trend” is driving innovation and renewing brand recognition. Brand recognition increases the value of “quality”

What can Emerson do to help its chemical customers?

• Automation is key to creating value for chemical customers and is not just a cost of doing business
• Control on value, not measurements
• Modern automation can reinstate the trend-based analysis of past control rooms

What is your take on the long-term outlook for the chemicals industry?

• The chemical market remains volatile and unstable. Changing regulations and economics drive decisions as to where to locate new plants and when to revamp existing plants
• Less dependence on fossil fuels
• Longer life spans mean new drugs that will require more fine chemicals
• An increase in the standard of living being seen almost everywhere in the world is driving demand for fertilizers, pesticides and plastics
• New production methods to minimize carbon footprint