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Nearly 16 million metric tons of plastic resins will be utilized by the electronics industry by 2017. Changing chemical feedstocks, regional chemical capacity adjustments and global shifts in demand for different types of downstream petrochemicals make the choice of a polycarbonate casing, a seemingly isolated materials decision, a very big and integrated decision for a smartphone manufacturer.
Production costs of plastics are highly dependent upon the price of energy and energy-derived chemical feedstocks, as the combination can represent 75% of the cost of the end chemical product.Learn More
Smartphone industry decision makers need deep insight into the chemical industry and the chemicals value chain to optimize the assembly process. Using research on feedstocks enables manufacturers to better select the right materials to maximize profitability and reduce supply chain risk for each finished product.
With the exception of market leaders like Samsung and Apple, smartphone manufacturers are forced to compete primarily on price versus features. With largely similar features across most devices, it comes down to their ability to design phones with cost-effective materials, like polycarbonate casings.Watch Video
From global sales to product and capacity forecasting dynamics; from manufacturing strategies to future trends – Dale helps participants in the electronics value chain succeed.Meet the expert
Suppliers of plastics, like polycarbonates, must align investments in capacity growth with global demand growth to achieve supply/demand balance, which has a direct impact on profitability.
With the dramatic increase in US-based petrochemical feedstocks, driven in part by the unconventional oil & gas revolution in North America, some smartphone manufacturers are moving fabrication and final assembly onshore.
The next five years will see accelerated growth in the global supply of the three key base chemicals.
Find out how the answers to this question and more by reading the expert opinion of Dan Yergin on The Great Deflation of oil prices.
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