In-depth analysis of the 2024 performance report and cost reduction measures of global chemical giants.

As of March 1, many giants in the global chemical industry have released their 2024 performance reports. These giants, including 20 companies such as BASF, Dow, Covestro, Arkema, and DuPont, occupy a pivotal position in the global chemical market. Its performance changes not only reflect the operating conditions of their respective companies, but also directly reflect the overall trend of the entire chemical industry. Overall, most chemical giants are facing varying degrees of performance challenges in 2024 due to multiple factors such as increased uncertainty in the global economic environment, fluctuations in market demand, and fluctuations in raw material prices.

BASF achieved full-year sales of 65.3 billion euros (about 496.49 billion yuan) in 2024. Although this figure is a decrease from 68.9 billion euros in 2023, BASF has successfully implemented a series of cost-saving plans. Net income increased to 1.3 billion euros, far exceeding 0.225 billion euros in 2023. As of the end of 2024, BASF has accumulated a one-time cost of about 0.9 billion million euros in cost saving programs. These measures not only help the company to meet current performance challenges, but also lay a solid foundation for future strategic adjustments.

Dow faced the challenge of declining net sales in 2024, with full-year net sales of $43 billion, a decrease of $1.6 billion year-over-year. In response to this situation, Dow has taken decisive measures, plans to lay off 1500 employees worldwide, and set a cost reduction target of $1 billion. These measures not only help Dow reduce costs and improve operational efficiency in the short term, but also provide strong support for the company's long-term development.

Covestro achieved sales of 14.2 billion million euros in 2024. Despite a decrease of 1.4 percent compared to the same period last year, the company achieved year-on-year sales and EBITDA growth in the fourth quarter. In particular, Covestro's free operating cash flow rose sharply to € 89 million in 2024, a significant improvement from € 0.232 billion in the same period last year. This performance change is mainly due to Covestro's flexibility and resilience in dealing with market fluctuations, as well as the company's excellent performance in optimizing cash flow management.

Arkema achieved sales of € 9.5 billion million in 2024, which is stable compared to 2023. Arkema's sales rose 2.4 percent, driven by growth in its specialty materials business in Asia. In addition, Arkema has actively invested in a number of major growth projects, including the acquisition of the PIAM business by the polyimide division and the acquisition of the Ashland and Dow businesses by the adhesives division, to further expand the company's business scope and market competitiveness.

DuPont achieved full-year net sales of US $12.4 billion (approximately RMB 90.63 billion) in 2024, an increase of 3% year-on-year. Operating EBITDA also achieved a year-on-year growth of 7%. However, DuPont has changed in terms of strategic adjustment. The company announced that it no longer intends to spin off its water business, but continues to promote the spin-off plan of the electronic business. This change not only reflects DuPont's flexibility in strategic adjustments, but also reflects the company's firm confidence in the future development of the electronic business.

Celanese faced the challenge of continued weak global demand in 2024, with full-year net sales of $10.3 billion million, down 6% year-over-year. In response to this situation, Celanese decided to stop production and close the Mylar specialty film manufacturing business in Luxembourg in order to exit the high-cost facility and reduce operating costs. This move not only helps Celanese to cope with the challenges brought by the weak market in the short term, but also provides strong support for the company's long-term development.

LANXESS expects to achieve fourth-quarter EBITDA of approximately € 0.159 billion in 2024, exceeding market expectations. EBITDA before non-recurring profit and loss for the full year is expected to reach about 0.614 billion million euros, about 20% higher than the previous year. This better-than-expected performance was mainly due to stronger-than-expected sales in December, especially the pre-purchase effect of customers. This early sales effect occurs primarily in the U.S. market, targeting specialty additives and products in the consumer protection sector.

Huntsman Group achieved full-year revenue of about $6 billion in 2024, but a net loss of $0.189 billion. In response to the challenges posed by volatile performance, Huntsman has taken measures such as layoffs to reduce costs and improve operational efficiency. Despite many challenges, Huntsman still achieved net profit growth in some quarters, reflecting the company's flexibility and resilience in responding to market changes.

SeSOCO achieved net sales of € 6.6 billion in 2024, an organic decline of 3% year-on-year. In order to accelerate value creation and enhance market competitiveness, SSOCO plans to take divestiture measures for the fragrance and functional chemicals business and explore the possibility of dual listing in the United States. These measures not only help World Soko to optimize its business structure and reduce costs in the short term, but also provide more possibilities for the company's long-term development.

Saudi Basic Industries Corporation (SABIC) achieved a net profit of 1.5 billion riyals (about 2.905 billion yuan) in 2024 and a net loss of 2.8 billion riyals in 2023. This performance improvement was mainly due to SABIC's steady progress in investment projects, including the Zhongsaigure Ethylene Project in China. The implementation of these projects will not only help SABIC expand its business scope and enhance its market competitiveness, but also lay a solid foundation for the company's long-term development.

The Ineos Group achieved a full-year EBITDA of 2.048 billion million euros in 2024, up 21.54 percent year-on-year. However, EBITDA fell 21.72 percent year-on-year in the fourth quarter, mainly due to weak market conditions in Asia. In contrast, the North American market performed relatively strongly, fully benefiting from the current cost advantage of INETS. This performance change reflects the differences in the performance of Ineos in different market regions, as well as the company's flexibility and strategic adjustment in response to market changes.

Trinseo achieved full-year net sales of $3.513 billion in 2024, down 4% year-over-year. To optimize the business structure and reduce costs, Trinseo implemented a number of initiatives, including exiting the loss-making business and resizing the business management and support functions. In addition, Trinseio sold German Stade's polycarbonate manufacturing assets and polycarbonate technology licenses to Deepak ChemTech Limited for $52 million. These measures not only help Trinseo cope with the challenge of declining performance in the short term, but also provide strong support for the company's long-term development.

Clariant achieved sales of 4.152 billion Swiss francs in 2024, down 3% year-on-year. However, EBITDA increased by 8% year-on-year and margins improved significantly. This performance improvement is mainly due to Clariant's outstanding performance in optimizing cost structure, improving production efficiency and strengthening market management. In addition, Clariant has strengthened and expanded its market position through a number of strategic initiatives.

Honeywell achieved full-year sales of $38.5 billion in 2024, up 5% year-over-year. In order to further optimize the business structure and enhance market competitiveness, Honeywell announced that it will be divided into three, the separation of automation business and aerospace business and advanced materials business. This spin-off plan not only helps Honeywell focus more on its core business areas, but also provides more possibilities for the company's long-term development.

Chemours achieved net sales of $5.8 billion in 2024, down 5% year-over-year. However, net profit turned around, reaching $86 million. In order to optimize the business layout and enhance market competitiveness, Chemours has decided to conduct a strategic review of the asset footprint of its European Advanced Performance Materials (APM) business. This review will help Chemours have a clearer understanding of its business situation and competitive situation in the European market, and provide strong support for the company's future strategic adjustment.

Leander Basel Industries faces multiple challenges in 2024, including weak global demand in the petrochemical market, rising raw material costs and economic uncertainty. For the full year, net income was $1.4 billion billion, down 35.6 percent year-over-year; EBITDA was also down 23.4 percent year-over-year. In order to meet these challenges, Leander Basel needs to take more active measures to optimize the cost structure, improve production efficiency and strengthen market management.

Exxon Mobil achieved full-year earnings of $33.7 billion billion in 2024, down 6.5 percent year-over-year. However, operating cash flow and free cash flow remained stable at $55 billion and $34.4 billion, respectively. This change in performance reflects ExxonMobil's solid performance in responding to market volatility and its ability to optimize cash flow management.

Eastman Chemical achieved $9.382 billion million in sales in 2024, up 1.88 percent year-over-year. Adjusted EBIT increased 18% YoY, despite a slight YoY decrease in EBIT. This performance improvement is mainly due to Eastman's outstanding performance in optimizing business structure, improving production efficiency and strengthening market management. In addition, Eastman has strengthened and expanded its market position through a number of strategic initiatives.

LG Chem achieved a consolidated operating income of KRW 48.9161 trillion in 2024, down 11.46 YoY. In the fourth quarter, there was an operating loss of 252 billion won, with revenue down 6.1 per cent year-on-year. Faced with the challenge of declining performance, LG Chem needs to take more active measures to optimize the cost structure, improve production efficiency and strengthen market management to cope with future market competition.

Evante achieved full-year sales of $3.24 billion in 2024, up 3% year-over-year. Fourth-quarter sales also increased year-over-year. Earnings per share also increased significantly, reaching US $0.52 and US $1.84 respectively (fourth quarter and full year), a significant increase from the same period last year. This performance improvement was mainly due to Evant's outstanding performance in optimizing business structure, improving production efficiency and strengthening market management.

To sum up, in 2024, international chemical giants are facing multiple challenges such as cost pressure, market competition, industry integration and strategic adjustment. In response to these challenges, many companies have taken cost-cutting measures such as shutting down high-cost businesses, laying off staff, optimizing business structures, and investing in growth projects. These measures not only help enterprises to reduce costs and improve profitability in the short term, but also lay a solid foundation for the long-term development of enterprises. At the same time, enterprises also need to pay close attention to market dynamics and changes in customer needs, and constantly adjust and optimize their own strategies and business models to cope with more challenges and opportunities that may arise in the future.