Petrochemical Business Dragging Down Shell (SHEL.US) CEO Vows to Turn Around "Persistent Winter"

We have learned that Shell (SHEL.US) Chief Executive Officer has pledged to turn around the struggling petrochemical business under his leadership. He says that the industry is currently experiencing a prolonged low-profit period, which has been ongoing for a very long time. We are pushing forward with an important transformation plan to mitigate this situation.

Wael Sawan stated in an interview: "What we're seeing now in the petrochemical industry is a very low profit margin, which is going to continue for a long time. We're moving forward with a critical transformation plan to alleviate this condition."

In recent times, Shell's petrochemical department has been dragging down the company's overall performance. From an industrial perspective, European producers are facing high cost pressures, while China has significantly increased its production capacity, leading to a persistent softening of the global petrochemical market and prompting major producers to launch asset sales and closures.

Shell has already sold one of its petrochemical factories in Singapore during the previous quarter.

Sawan emphasized that the company is working hard to focus on areas where it can exert control, including optimizing and upgrading business combinations.