Top 50 Chemical Companies

Table 2.2 shows the global top 50 chemical companies based on the most recent C&E News data [3]. The top 50 U.S. chemical companies are shown in Table 2.3 [4].

Table 2.2 Global Top 50 Chemical Companies*

Table 2.3 Top 50 U.S. Chemical Companies*

^*Based on data from C&E News [4].

The following important observations can be made regarding the chemical industry based on the information from these two tables, similar data from prior years, as well as from the websites of the companies:

• The chemical industry is a global enterprise: The global top 50 list may be dominated by the companies headquartered in the United States, Germany, and Japan, but all the continents and a large number of countries have representatives in the list. These include developed nations such as France, Switzerland, and Netherlands and emerging economies such as China, Brazil, and India. Further, while the companies may have headquarters in a country, they are almost certain to have a significant global presence. For example, companies such as BASF and SABIC have substantial operations in the United States, and conversely, U.S. companies such as Dow and DuPont have production and research and development facilities in many countries. Geographically for the United States, the largest of the chemical companies are located near the east coast and south (states bordering the Gulf of Mexico), with a substantial presence in the Midwest region (Minnesota, Missouri, Michigan) as well. These regions also boast of the largest concentration of the oil and gas industry, and the connection between the two industries should be clear. After all, the chemical industry obtains most of its feedstock for organic chemicals from the oil and gas industry.

• The chemical industry is mature: Practically all companies in the 2015 global top 50 list also appear in the 2014 list and in the rankings for prior years (not shown in the table). Further, for the most part there are no dramatic changes in the rankings of the companies. The few new entrants that appear are generally near the bottom of the rankings. Similar observation can be made regarding the list of top 50 U.S. chemical companies.

• Chemical operations constitute a small fraction for oil companies: Most large oil companies—ExxonMobil, Sinopec, BP, Shell, and so on—are also large chemical manufacturers. However, the chemical business for these companies is dwarfed by the revenues from oil and gas operations. As seen from Table 2.2, chemical business contributes typically less than 10% of the revenue for these companies.

• The chemical companies are well diversified: The chemical companies have a wide-ranging portfolio of products. Companies such as DuPont and Dow produce chemicals that have general applicability across many industrial sectors as well as specific products for applications in particular industries ranging from automotive to animal feed, food and beverage to hospital care, and many others.