Japan: Positioning for Recovery

Chemical demand is improving steadily, even in Japan, prodding producers to plot strategy on how to capture growth. Demand is expected to be flat in domestic markets so Japanese producers are investing heavily in emerging markets, particularly China. Demand has slowly recovered in Japan thanks mainly to a rebound in exports (chart, p. 17). Domestic demand remains weak and production, particularly in commodity chemicals, is well below capacity, however. In Japan, overall GDP growth is forecast at 2.3% in the second quarter of 2010, after 1.1% in the first...

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