Consolidation Can Reallocate Europe's Chemical Capital, but It Cannot Repair the Region's Energy Costs

BASF has confirmed exploratory talks about acquiring Evonik, which reportedly rejected an indicated price of about €10.3 billion. A combination would add specialty scale and overhead savings, but it would leave the gas, power and carbon costs that are driving European closures untouched.

Consolidation Can Reallocate Europe's Chemical Capital, but It Cannot Repair the Region's Energy Costs