Sector & service specialists

The EU’s chemical policy is focused on promoting safe and sustainable chemicals, enhancing regulatory frameworks, addressing substances of concern like PFAS, and fostering industry collaboration to achieve environmental sustainability and human health protection in the European chemical sector.

The largest chemical companies are significant Brussels players in their own right with seven of them (Bayer, ExxonMobil, BASF, Dow, Shell, BP and Chemours) in the top 30 of all corporate spenders according to the EU transparency register. But it is impossible to talk about the chemical sector in Brussels without mentioning BestinBrussels award winning Cefic, the European Chemical Industry Council. Cefic employs over 160 staff and represents large, medium and small chemical companies across Europe, which directly provide 1.2 million jobs and account for almost 15% of world chemical production.

The European Union’s increasingly stringent environmental regulations are saddling global chemical companies with more than $20 billion in annual costs with up to 10% of a chemical firm’s capital spending in Europe now spent on regulatory compliance alone, according to Cefic. BASF has 250 employees solely dedicated to managing paperwork for the EU’s REACH chemicals regulation, the German chemical giant told Reuters in a statement.  Firms like Dow and LyondellBasell have been reassessing their European footprint, including shutting down some facilities, as they tackle weak demand, high input costs and rising regulatory pressure.

Despite some relief since 2023, energy prices remain above pre-crisis levels, affecting the competitiveness of European chemical producers compared to their American and Asian counterparts. This has led to concerns about potential relocation of production facilities to regions with lower energy costs.