Germany’s chemical industry is facing another major challenge as exceptionally low water levels on the Rhine disrupt the transport of key petrochemical feedstocks. The Rhine is one of Europe’s most important industrial waterways, supplying raw materials to chemical plants across western Germany. With barges unable to sail fully loaded, logistics costs are rising while deliveries of naphtha and LPG are being delayed.
The impact is already being felt across the sector. LyondellBasell has declared force majeure on butadiene supplies from its Wesseling plant after feedstock shortages reduced production. Meanwhile, Shell’s steam cracker in Wesseling has reportedly been offline since early July, adding further uncertainty to the regional petrochemical market.
Other industrial giants are also taking precautionary measures. BASF, Shell, and Thyssenkrupp have adapted their logistics by deploying low-draft barges and increasing the use of rail, trucks and pipelines where possible. Thyssenkrupp has even reduced steel production after low water levels prevented its barges from operating normally.
The situation highlights the growing vulnerability of Europe’s industrial supply chains to extreme weather events. If dry conditions persist, Germany’s chemical sector could face higher production costs, tighter feedstock supplies and additional pressure on an industry that has already endured several difficult years.
Personal Remarks
The investigation is ongoing, but Brussels remains confident that Donald Trump caused the economic damage, Vladimir Putin caused the climate crisis, and Xi Jinping caused… well, something.