India Set to Dominate Petrochemical Industry with $37 Billion Investment

India is preparing to become a key player in the global petrochemical industry with a significant $37 billion investment to enhance self-sufficiency. This move will augment regional oversupply pressures, particularly affecting Asian exporters. By 2030, India will potentially contribute to one-third of global capacity additions.

India is on track to become a formidable force in the global petrochemicals industry, fueled by a planned capital expenditure of $37 billion, according to a new report by S&P Global Ratings.

The report titled 'First China, Now India: Self-Sufficiency Goals Will Add To Petrochemicals Supply', cautions that India's aggressive capacity expansion strategy, following China's footsteps, may intensify oversupply issues in Asia's petrochemical market.

By 2030, India is expected to account for one-third of the global additions in petrochemical capacity. This move towards self-sufficiency could negatively impact regional exporters, particularly those relying on the Asian market, as over 50% of India's chemical imports currently come from Asia.

(With inputs from agencies.)