At the 2022 ADI Forum (formerly FlexPO+), Jose Mendez, Global Business Director, SK Geo Centric explained that they are investing in China primarily due to the existing growth and a lack of supply of specialty polymers or plastics in the region. Mendez also noted increasing sophistication and digitalization in China, which is expected to drive further demand for these types of polymers. Contrary to past perceptions of low prices in China, he believed that prices for their specific products were now better, possibly due to the supply shortage.
This lack of supply was identified as a factor contributing to higher prices across all global regions. While acknowledging that prices in China used to be unfavorable, Mendez indicated that they had been improving. The investment decision was therefore based on a combination of market growth, supply dynamics, and evolving price conditions in China.
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