Chemicals in Canada 2007

Chemicals in Canada
Industry Profile
Reference Code: 0070-2021

Publication date: October 2007
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Canada - Chemicals
© Datamonitor (Published October 2007) Page 2
EXECUTIVE SUMMARY
EXECUTIVE SUMMARY
Market Value
The Canadian chemicals market grew by 0.9% in 2006 to reach a value of $52.2
billion.
Market Value Forecast
In 2011, the market is forecast to have a value of $55.5 billion, an increase of 6.3%
since 2006.
Market Segmentation I
Sales of base chemicals account for 32.9% of the market's value.
Market Segmentation II
Canada accounts for 7% of the Americas market's value.
Canada - Chemicals
CONTENTS
TABLE OF CONTENTS
EXECUTIVE SUMMARY 3
CHAPTER 1 Market Overview 7
1.1 Market Definition 7
1.2 Research Highlights 7
1.3 Market Analysis 8
CHAPTER 2 Market Value 9
CHAPTER 3 Market Segmentation I 10
CHAPTER 4 Market Segmentation II 11
CHAPTER 5 Competitive Landscape 12
CHAPTER 6 Leading Companies 15
6.1 Dow Chemical Company, The 15
6.2 E. I. duPont de Nemours & Company 18
6.3 NOVA Chemicals Corporation 21
CHAPTER 7 Market Forecasts 24
7.1 Market Value Forecast 24
CHAPTER 8 Macroeconomic Indicators 25
Canada - Chemicals
CONTENTS
CHAPTER 9 Appendix 27
9.1 Methodology 27
9.2 Industry Associations 28
9.3 Related Datamonitor Research 28
Canada - Chemicals
CONTENTS
LIST OF TABLES
Table 1: Canada Chemicals Market Value: $ billion, 2002-2006.......................................9
Table 2: Canada Chemicals Market Segmentation I: % Share, by Value, 2006 .............10
Table 3: Canada Chemicals Market Segmentation II: % Share, by Value, 2006.............11
Table 4: Key Facts: Dow Chemical Company, The ........................................................15
Table 5: Key Financials: Dow Chemical Company, The .................................................17
Table 6: Key Facts: E. I. duPont de Nemours & Company .............................................18
Table 7: Key Financials: E. I. duPont de Nemours & Company ......................................20
Table 8: Key Facts: NOVA Chemicals Corporation ........................................................21
Table 9: Key Financials: NOVA Chemicals Corporation .................................................23
Table 10: Canada Chemicals Market Value Forecast: $ billion, 2006-2011......................24
Table 11: Canada Size of Population (million) , 2002-2006 ..............................................25
Table 12: Canada GDP (1995=100), 2002-2006 ..............................................................25
Table 13: Canada Inflation, 2002-2006.............................................................................25
Table 14: Canada Exchange Rate, 2002..........................................................................26
Canada - Chemicals
MARKET OVERVIEW
CHAPTER 1 MARKET OVERVIEW
1.1 Market Definition
The chemicals market consists of base, consumer, pharmaceutical, specialty and fine
chemicals. Market values are taken at producer selling price (PSP). Any currency
conversions used in the creation of this report have been calculated using constant
2006 annual average exchange rates.
For the purpose of this report the Americas comprises Brazil, Canada, Mexico and
the US.
1.2 Research Highlights
The Canadian chemical market generated total revenues of $52.2 billion in 2006, this
representing a compound annual growth rate (CAGR) of 1.2% for the period spanning
2002-2006.
The base chemicals segment was the market's most lucrative in 2006, generating
total revenues of $17.2 billion, equivalent to 32.9% of the market's overall value.
The performance of the market is forecast to follow a similar pattern, with an

anticipated CAGR of 1.2% for the five-year period 2006-2011 expected to drive the
market to a value of $55.5 billion by the end of 2011.
Canada - Chemicals
MARKET OVERVIEW
1.3 Market Analysis
After a decline in 2003, the Canadian chemical market has recovered to post positive
rates of growth.
The Canadian chemical market generated total revenues of $52.2 billion in 2006, this
representing a compound annual growth rate (CAGR) of 1.2% for the period spanning
2002-2006. In comparison, the US and Mexican markets grew with CAGRs of 6%
and 7.9% over the same period, to reach respective values of $586.6 billion and
$25.1 billion in 2006.
The base chemicals segment was the market's most lucrative in 2006, generating
total revenues of $17.2 billion, equivalent to 32.9% of the market's overall value. The
specialty & fine chemicals segment contributed revenues of $14 billion in 2006,
equating to 26.9% of the market's aggregate revenues.
The performance of the market is forecast to follow a similar pattern, with an

anticipated CAGR of 1.2% for the five-year period 2006-2011 expected to drive the
market to a value of $55.5 billion by the end of 2011. Comparatively, the United State
and Mexican markets will grow with CAGRs of 4.2% and 7.2% respectively over the
same period, to reach respective values of $721.3 billion and $35.5 billion in 2011.
Canada - Chemicals
MARKET VALUE
CHAPTER 2 MARKET VALUE
The Canadian chemicals market grew by 0.9% in 2006 to reach a value of $52.2
billion.
The compound annual growth rate of the market in the period 2002-2006 was 1.2%.
Table 1: Canada Chemicals Market Value: $ billion, 2002-2006
Year $ billion C$ billion % Growth
2002 49.8 60.3

2003 49.4 59.8 -0.80%
2004 51.0 61.8 3.30%
2005 51.7 62.7 1.50%
2006 52.2 63.3 0.90%
CAGR, 2002-2006: 1.2%
Source: Datamonitor DATAMONITOR
Figure 1: Canada Chemicals Market Value: $ billion, 2002-2006
$ billion % Growth
60 3.5%
3.0%
50
2.5%
40 2.0%
% Growth
$ billion
1.5%
30
1.0%
20 0.5%
0.0%
10
-0.5%
0 -1.0%
2002 2003 2004 2005 2006
Canada - Chemicals
MARKET SEGMENTATION I
CHAPTER 3 MARKET SEGMENTATION I
Sales of base chemicals account for 32.9% of the market's value.
In comparison, sales of specialty and fine chemicals accounts for a further 26.9% of
the market's value.
Table 2: Canada Chemicals Market Segmentation I: % Share, by Value,

2006
Category % Share
Base chemicals 32.90%

Specialty & fine chemicals 26.90%
Pharmaceuticals 23.70%
Agricultural chemicals 16.50%
Total 100.0%
Figure 2: Canada Chemicals Market Segmentation I: % Share, by Value,

2006
Agricultural
chemicals
16.5%
Base chemicals
32.9%
Pharmaceuticals
23.7%
Specialty & fine

chemicals
26.9%
Canada - Chemicals
MARKET SEGMENTATION II
CHAPTER 4 MARKET SEGMENTATION II
Canada accounts for 7% of the Americas market's value.
In comparison, the United States generates 78.4% of the regional market's value.
Table 3: Canada Chemicals Market Segmentation II: % Share, by Value,

2006
Geography % Share
United States 78.40%

Brazil 11.30%
Canada 7.00%
Mexico 3.40%
Total 100.0%
Figure 3: Canada Chemicals Market Segmentation II: % Share, by Value,

2006
Canada Mexico
7% 3.4%
Brazil
11.3%
United States
78.4%
Canada - Chemicals
FIVE FORCES ANALYSIS
CHAPTER 5 COMPETITIVE LANDSCAPE
The base chemicals segment of the chemicals market will be considered. It is

characterized by the presence of medium-to-large companies, which find buyers in
many other business areas. Vertical integration is common, with companies in the
extractive industries adding value to their raw materials by converting them to base
chemicals.
The pursuit of scale economies is also central to most players, and this translates into
high entry barriers (the capital needed to construct vast production plants) and also
high exit barriers (the need to divest substantial, specialized assets). As a result,
rivalry is strong, and the likelihood of many new entrants is no more than moderate.
The market will be analyzed taking manufacturers of base chemicals as players, as

these commodities form the most lucrative segment of the market. The products in
question include ethylene, propylene, and other monomer feedstocks for plastic
manufacturing; plastic resins; chlor-alkali products (mainly chlorine and sodium
hydroxide formed in a single process); water treatment chemicals; simple inorganics,
etc. Buyers include manufacturers of plastic products, water utilities, consumer
chemical manufacturers, and others. These all tend to be medium- to large
businesses.
As base chemicals include a wide variety of substances, the number of potential

buyers is quite high, especially for the large base chemical players that typically
operate in several sub-markets. This diversity can weaken buyer power. Base
chemicals are completely undifferentiated commodities, specified only by chemical
composition and purity; and branding is of negligible importance. This strengthens
buyers, as they can obtain the same materials from several market players.
Base chemicals are generally highly significant to the business of the buyers, and as
a result, are often supplied through long-term contracts with periodic renewal and/or
price renegotiation. Switching costs include those incurred by waiting for the end of a
contractual period while losing out during that time on a better deal offered by another
player. Overall, buyer power is moderate.
The feedstocks used in the plastics industry (ethylene, propylene, etc) are
petrochemicals, derived from oil or natural gas. Ammonia manufacturing also requires
natural gas as a raw material. Supplier power is increased by the fact that the main oil
and gas companies are large, and there are only a small number of them. Similarly, if
feedstock manufacturers buy these inputs in the open market, they will have little
control over the price, and may need hedging strategies in order to minimize the
impact of price volatility. For other base chemicals, minerals and sea water are
among the most important inputs.
Canada - Chemicals
For example, sodium chloride can be formed by evaporating sea water or obtained
from halite mines; it is then used in the production of sodium carbonate, sodium
hydroxide, chlorine, etc. Sulfur, a key starting material for base chemicals such as
sulfuric acid, is obtained by mining. Vertical integration forwards by suppliers is a
common strategy: for example, oil and gas companies are often producers of
petrochemicals as well as suppliers to base chemical manufacturers. This increases
supplier power relative to base chemical producers that do not own their own
upstream resources. Supplier power is moderate overall.
Base chemicals do have some uses in their own right - for example, even consumers
may purchase small amounts of sodium hydroxide or ammonia as household
cleaners - but more commonly they are used close to the beginning of the value chain
as raw materials for the manufacture of more valuable products. As a result, they are
manufactured in bulk, and scale economies are highly important if the margins
available from them are to be worthwhile. It is possible to enter the market by
exporting base chemicals produced elsewhere, or by setting up a manufacturing base
in the country.
Entering the market in the latter mode requires large amounts of capital to set up
high-volume production plants. The capital intensity, and the importance of scale
economies, restricts market entry to medium-sized and large companies. Factors
favoring market entry include the fact that base chemicals are undifferentiated
commodities: a new player can make products indistinguishable from those of the
incumbents, which means that - assuming that they are not tied into contracts with
existing suppliers - buyers are as likely to opt for the newcomer.
While many of the processes used to manufacture basic chemicals were originally
developed in the early twentieth century or before, and are in the public domain,
incumbents nevertheless often own significant IP assets and non-patented in-house
expertise, which allow them to enhance their production methodology. New players
may find it difficult to replicate this knowledge. Particularly for a large-scale market
entry, access to suppliers can be problematic. Because of the volume of raw
materials used, it is preferable to locate near to their sources - for example, if
petrochemical raw materials are needed, production sites are ideally located near to
pipelines, etc. On balance, there is a moderate likelihood of new entrants.
Base chemicals are fundamental to a wide variety of downstream businesses, and

there are no substitutes for these products considered collectively. Furthermore,
buyers generally need products of a particular chemical composition. In situations
where a buyer can choose between different but related base chemicals, it is likely
that the same market players manufacture them all. Overall, the threat of substitutes
is weak.
Canada - Chemicals
A fairly large number of medium-to-large companies - including some very powerful

multinationals - are active in the base chemicals segment of the chemicals market. As
manufacturers of commodities, it is often difficult for players to offer strong incentives
for their customers not to switch to rival companies. The business is characterized by
high fixed costs. Furthermore, the need to invest heavily in plant when entering the
market translates into high exit costs. These factors all boost rivalry.
The chemicals market has grown only modestly in recent years, which tends to
intensify rivalry, because it is hard for a player to increase its own revenue without
impinging on its competitors' performance. Overall, rivalry is strong.
Canada - Chemicals
LEADING COMPANIES
CHAPTER 6 LEADING COMPANIES
6.1 Dow Chemical Company, The
Table 4: Key Facts: Dow Chemical Company, The
Address: 2030 Dow Center, Midland, MI 48674, USA

Telephone: 1 989 636 1000
Fax: 1 989 636 1830
Website: www.dow.com
Financial Year-End: December
Ticker: DOW
Stock Exchange: New York
Source: Company Website DATAMONITOR
The Dow Chemical Company (Dow) is a global science and technology based
company that provides chemical, plastic and agricultural products and services to
various consumer markets. Dow serves customers in over 175 countries and a range
of markets, including food, transportation, health and medicine, personal and home
care, and building and construction, among others. The company has 156
manufacturing sites in 37 countries and supplies over 3,200 products.
Dow operates through six divisions: performance plastics, performance chemicals,

agricultural sciences, plastics, chemicals, and hydrocarbons and energy. It is also
engaged in the property and casualty insurance and reinsurance business primarily
through its Liana subsidiaries.
The performance plastics division operates a number of businesses including:

building and construction, automotive, engineering plastics, polyurethanes and
thermoset systems, technology licensing and catalyst, and wire and cable. It also
includes the Inclosia Solutions business focused on the production of enclosures for
consumer electronics, as well as certain products acquired from DuPont Dow
Elastomers, including Engage polyolefin elastomers, Nordel hydrocarbon rubber and
Tyrin chlorinated polyethylene resins.
It also includes a line of specialty plastic resins and films for food and specialty
packaging applications, window envelope films, medical films and metal lamination
films, such as Saran films, Saranex films, Procite polystyrene films and Trenchcoat
polyolefin films.
Canada - Chemicals
LEADING COMPANIES
The performance chemical division of Dow includes: acrylics and oxide derivatives
(glycol ethers and amines), latex, specialty chemicals, and specialty polymers. The
division also includes peroxymeric chemicals, solution vinyl resins and other specialty
chemicals.
The company's agricultural sciences division develops, manufactures and markets

products for crop production, weed, insect and plant disease management, and
industrial and commercial pest management.
The plastics division includes three businesses: polyethylene, polypropylene and

polystyrene. It also includes polybutadiene rubber, styrene-butadiene rubber, several
specialty resins, such as Versify plastomers and elastomers and Dow Xla elastic fiber
for the textile industry.
The chemicals division operates core chemicals and ethylene oxide/ethylene glycol
businesses. This division is a key supplier of ethylene glycol to MEGlobal, a joint
venture between Dow Chemical and Petrochemical Industries Company of Kuwait.
Dow's hydrocarbons and energy division includes the procurement of fuels and crude
oil-based raw materials, as well as the supply of products and power for use in Dow's
global operations.
Canada - Chemicals
LEADING COMPANIES
Key Metrics
Table 5: Key Financials: Dow Chemical Company, The
Metric 2002 2003 2004 2005 2006
Revenues 27,609.0 32,632.0 40,161.0 46,307.0 49,124.0

Net Income -338.0 1,730.0 2,797.0 4,515.0 3,724.0
Profit Margin -1.2% 5.3% 7.0% 9.8% 7.6%
Total Assets 39,562.0 41,891.0 45,885.0 45,934.0 45,581.0
Total Liabilities 31,936.0 32,716.0 33,615.0 30,610.0 28,516.0
Employees 50,000 46,400 43,200 42,400 42,600
Source: Company Filings DATAMONITOR
Figure 4: Revenues & Profitability: Dow Chemical Company, The
Revenues Net Income Profit Margin
60,000 12.0%
50,000 10.0%
Profit Margin (%)

40,000 8.0%
US$ Millions
30,000 6.0%
20,000 4.0%
10,000 2.0%
0 0.0%
2002 2003 2004 2005 2006
-10,000 -2.0%
Year
Canada - Chemicals
LEADING COMPANIES
6.2 E. I. duPont de Nemours & Company
Table 6: Key Facts: E. I. duPont de Nemours & Company
Address: 1007 Market Street, Wilmington, Delaware 19898, USA

Telephone: 1 302 774 1000
Fax: 1 302 773 2631
Website: www.dupont.com
Ticker: DD
Stock Exchange: New York
E.I. du Pont de Nemours and Company (DuPont) is a science and technology

company, operating across a range of disciplines, including biotechnology;
electronics; materials science; safety and security; and synthetic fibers. The company
operates in more than 70 countries, and offers products and services for the following
markets: agriculture; nutrition; electronics; communications; safety and protection;
home and construction; transportation; and apparel.
The company operates through six business segments: performance materials;

agriculture and nutrition; coatings and color technologies; safety and protection;
electronic and communication technologies; and others.
The performance materials segment offers polymer based materials' product

portfolio, including engineering polymers that are primarily used by customers to
fabricate components for mechanical and electrical systems; and resins and films
used in various packaging and industrial applications.
These applications include food packaging, sealants and adhesives, sporting goods,
and interlayer's for laminated safety glass. The major brands operated by this
segment are DuPont Zytel nylon resins, Delrin acetal resin, Hytrel polyester, Tynex
filaments, Hytrel PEE film, Bynel modifiers, and SentryGlas Plus.
The agriculture and nutrition segment offers products and services to improve crop
yields and productivity. The segment operates through the company's wholly owned
subsidiary, Pioneer, which has seed production facilities throughout the world and
primarily produces hybrid seed corn and soybean seed. It also provides crop
protection products in the grain and specialty crop sectors, forestry, and vegetation
management.
Canada - Chemicals
LEADING COMPANIES
The products include Pioneer and other brands of seeds, insecticides, fungicides,
herbicides, insect control products, and plant growth regulators. The segment's
operations include production and distribution of soy-based food ingredients, food
quality diagnostic testing equipment and services, and liquid food packaging systems.
This segment also serves the specialty food ingredients market, including soy
proteins and lecithins through its majority-owned venture with Bunge.
The coatings and color technologies segment provides a range of products, including
liquid and powder coatings for automotive original equipment manufacturers (OEM);
the automotive aftermarket (refinish); and general industrial applications. These
include coatings for plastics, bridges, windmills, pipes, and appliances.
The segment markets its refinish products under the DuPont, Standox, Spies Hecker,
and Nason brands. In addition, a broad line of DuPont Ti-Pure titanium dioxide
products in both slurry and powder form serve the coatings, plastic, and paper
industries. Additionally, the segment's specialty products include adhesive-bonding
and electrical insulation products.
The safety and protection segment serves a large number of markets, ranging from
construction, transportation, communications, industrial chemicals, oil, gas, and
manufacturing to defense, homeland security, and safety consulting. It offers products
and services in the area of personal and life protection. Brands of this segment
include DuPont Kevlar; Nomex aramid products; Tyvek non-woven sheet structures;
and Corian solid surface materials. Additionally, it also offers safety consulting
services, safety on automotive, and food safety services.
The electronic and communication technologies segment provides advanced

materials for the electronics industry; flexographic printing and color communication
systems; and fluoropolymer and fluorochemical products. The segment's offerings for
the electronics industry include display materials, integrated circuit fabrication
materials, packaging solutions, and printed wire board fabrication materials. Its
product lines include DuPont Kapton polyimide film, Pyralux flexible laminates, Riston
dry film, photo resists, Green Tape low temperature co-fired ceramics, Fodel
photoimageable composites, and Posistrip photoresist removers.
The electronic and communication technologies segment also includes a portfolio of

industrial and specialty fluorochemicals and fluoropolymers.
These are sold to the refrigeration, insulation, aerosol packaging,

telecommunications, aerospace, automotive, electronics, chemical processing, and
household goods industries. In fluoroproducts, the segment's offerings include
DuPont Suva refrigerants; Teflon and Tefzel fluoropolymer resins; Autograph and
Teflon non-stick finishes; and Teflon and Tedlar fluoropolymer films.
Canada - Chemicals
LEADING COMPANIES
The others segment includes operations of developmental and non aligned

businesses. Developmental businesses include bio-based material; biotechnology
solutions in chemistry and material sciences; and other growth initiatives. Non aligned
businesses include activates related to Benlate fungicide business, other business of
textiles, and royalty fees.
Key Metrics
Table 7: Key Financials: E. I. duPont de Nemours & Company
Metric 2002 2003 2004 2005 2006
Revenues 24,522.0 27,730.0 27,995.0 28,491.0 28,982.0

Net Income -1,103.0 973.0 1,780.0 2,056.0 3,148.0
Profit Margin -4.5% 3.5% 6.4% 7.2% 10.9%
Total Assets 34,621.0 37,039.0 35,632.0 33,291.0 31,777.0
Employees 116,000 111,000 106,000 101,000 84,000
Figure 5: Revenues & Profitability: E. I. duPont de Nemours & Company
35,000 12.0%
30,000 10.0%
8.0%
Profit Margin (%)
25,000
US$ Millions
6.0%
20,000
4.0%
15,000
2.0%
10,000
0.0%
5,000 -2.0%
0 -4.0%
-5,000 2002 2003 2004 2005 2006 -6.0%
Year
Canada - Chemicals
LEADING COMPANIES
6.3 NOVA Chemicals Corporation
Table 8: Key Facts: NOVA Chemicals Corporation
Address: 1000 Seventh Avenue S W, Calgary, Alberta T2P 5C6,

CAN
Telephone: 1 403 750 3600
Fax: 1 403 269 7410
Website: www.novachem.com
Ticker: NCX
Stock Exchange: Toronto Stock, New York Stock Exchange
NOVA Chemicals Corporation (NOVA) is engaged in the production and marketing of

plastics and chemicals. The company primarily operates in Canada, the US and
Europe.
The company operates through three business units: olefins/polyolefins, Performance

Styrenics and Styrenix.
The olefins/polyolefins business unit manufactures and sells ethylene, co-products,

and polyethylene resins and consists of three reportable segments: joffre olefins,
corunna olefins and polyethylene. The joffre olefins segment produces and sells
ethylene and includes three ethylene crackers in Joffre, Alberta.
The corunna olefins segment produces and sells ethylene, as well as co-products
that result from the manufacture of ethylene and processing of crude oil and other
feedstocks. The polyethylene segment produces and sells standard polyethylene
products including linear low density polyethylene (LLDPE), low density polyethylene
(LDPE), and high density polyethylene (HDPE). The company also manufactures and
sells higher value PE Performance products under the trade names SURPASS and
SCLAIR.
The performance styrenics business unit consists of the company's North American
expandable polystyrene (EPS) operations; styrenic performance products such as
ARCEL, DYLARK and ZYLAR resins; and downstream ventures including IMx
technology for cups and containers, lightweight concrete, NOVA Chile, and the joint
venture interests in Accelerated Building Technologies and in NOVIDESA.
Canada - Chemicals
LEADING COMPANIES
This business unit sells EPS resins, which are used in the production of packaging for
food and consumer products, and in insulation for the building and construction
industry. It also manufactures and sells styrenic performance products and is
engaged in downstream business ventures that aim to create and capture value
beyond the production and sale of polymers. These styrenic performance products
are used in protective packaging, automotive interiors, food packaging, consumer
goods, medical devices, and appliances.
The styrenix business unit consists of three reportable segments: styrene monomer,
North American solid polystyrene and NOVA Innovene European joint venture. The
styrene monomer segment produces and sells styrene monomer. This segment
consists of styrene monomer plants in Bayport, Texas and Sarnia, Ontario.
The North American solid polystyrene segment produces and sells SPS. This
segment consists of plants in Alabama, Massachusetts, Quebec as well as SPS
production facility in Ohio. The NOVA Innovene European joint venture is the
company's 50% interest in NOVA Innovene. This joint venture produces and sells
SPS and EPS in Europe.
Canada - Chemicals
LEADING COMPANIES
Key Metrics
Table 9: Key Financials: NOVA Chemicals Corporation
Metric 2002 2003 2004 2005 2006
Revenues 3,091.0 3,949.0 5,270.0 5,616.0 6,519.0

Net Income -112.0 -14.0 253.0 -101.0 -703.0
Profit Margin -3.6% -0.4% 4.8% -1.8% -10.8%
Total Assets 4,154.0 4,413.0 5,047.0 5,217.0 4,155.0
Employees 4,300 4,300 4,100 3,600 3,300
Figure 6: Revenues & Profitability: NOVA Chemicals Corporation
7,000 6.0%
6,000 4.0%
5,000 2.0%
Profit Margin (%)

US$ Millions
4,000 0.0%
3,000 -2.0%
2,000 -4.0%
1,000 -6.0%
0 -8.0%
-1,000 2002 2003 2004 2005 2006 -10.0%
-2,000 -12.0%
Year
Canada - Chemicals
MARKET FORECASTS
CHAPTER 7 MARKET FORECASTS
7.1 Market Value Forecast
In 2011, the Canadian chemicals market is forecast to have a value of $55.5 billion,
an increase of 6.3% since 2006.
The compound annual growth rate of the market in the period 2006-2011 is predicted
to be 1.2%.
Table 10: Canada Chemicals Market Value Forecast: $ billion, 2006-2011
Year $ billion C$ billion % Growth
2006 52.2 63.3 0.90%

2007 52.7 63.9 1.00%
2008 53.3 64.6 1.10%
2009 54.0 65.4 1.20%
2010 54.7 66.3 1.30%
2011 55.5 67.2 1.40%
CAGR, 2006-2011: 1.2%
Figure 7: Canada Chemicals Market Value Forecast: $ billion, 2006-2011
$ billion % Growth
56 1.6%
1.4%
55
1.2%
54
% Growth
1.0%
$ billion
53 0.8%
0.6%
52
0.4%
51
0.2%
50 0.0%
2006 2007 2008 2009 2010 2011
Canada - Chemicals
MACROECONOMIC INDICATORS
CHAPTER 8 MACROECONOMIC INDICATORS
Table 11: Canada Size of Population (million) , 2002-2006
Year Population (million) % Growth
2002 31.9
2003 32.2 1.00%
2004 32.5 0.90%
2005 32.8 0.90%
2006 33.1 0.90%
Table 12: Canada GDP (1995=100), 2002-2006
Year 1995=100 % Growth
2002 128.6
2003 130.9 1.80%
2004 134.5 2.80%
2005 138.9 3.30%
2006 143.4 3.20%
Table 13: Canada Inflation, 2002-2006
Year Inflation Rate (%) % Growth
2002 3.9
2003 1.9 -50.90%
2004 1.6 -15.70%
2005 2.1 28.60%
2006 2.4 12.70%
Canada - Chemicals
MACROECONOMIC INDICATORS
Table 14: Canada Exchange Rate, 2002
Exchange Rate
Year ($/C$)
2002 0.63686
2003 0.71379
2004 0.76834
2005 0.82527
2006 0.82527
Canada - Chemicals
APPENDIX
CHAPTER 9 APPENDIX
9.1 Methodology
Datamonitor Industry Profiles draw on extensive primary and secondary research, all
aggregated, analyzed, cross-checked and presented in a consistent and accessible
style.
Review of in-house databases – Created using 250,000+ industry interviews and

consumer surveys and supported by analysis from industry experts using highly
complex modeling & forecasting tools, Datamonitor’s in-house databases provide the
foundation for all related industry profiles
Preparatory research – We also maintain extensive in-house databases of news,

analyst commentary, company profiles and macroeconomic & demographic
information, which enable our researchers to build an accurate market overview
Definitions – Market definitions are standardized to allow comparison from country to

country. The parameters of each definition are carefully reviewed at the start of the
research process to ensure they match the requirements of both the market and our
clients
Extensive secondary research activities ensure we are always fully up-to-date with
the latest industry events and trends
Datamonitor aggregates and analyzes a number of secondary information sources,

including:
• National/Governmental statistics
• International data (official international sources)
• National and International trade associations
• Broker and analyst reports
• Company Annual Reports
• Business information libraries and databases
Modeling & forecasting tools – Datamonitor has developed powerful tools that
allow quantitative and qualitative data to be combined with related macroeconomic
and demographic drivers to create market models and forecasts, which can then be
refined according to specific competitive, regulatory and demand-related factors
Continuous quality control ensures that our processes and profiles remain focused,
accurate and up-to-date
Canada - Chemicals
APPENDIX
9.2 Industry Associations
Canadian Chemical Producers Association (CCPA)

Suite 805, 350 Sparks Street,
Ottawa, Ontario.
Tel: 1 613 237 6215
Fax: 1 613 237 4061
http://www.ccpa.ca/
9.3 Related Datamonitor Research
Datamonitor Industry Profiles
Chemicals in Asia-Pacific
Chemicals in Belgium
Chemicals in Brazil
Chemicals in Spain
Chemicals in China
Chemicals in the Czech Republic
Chemicals in Denmark
Chemicals in Europe
Chemicals in France
Chemicals in Germany
Chemicals in Hungary
Canada - Chemicals

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Reference Code: 0070-2021

Datamonitor is a leading business information company specializing in industry

Through its proprietary databases and wealth of expertise, Datamonitor provides

All Rights Reserved.

Market Value Forecast

Sales of base chemicals account for 32.9% of the market's value.

Canada accounts for 7% of the Americas market's value.

CHAPTER 1 Market Overview 7

1.1 Market Definition 7

1.2 Research Highlights 7

1.3 Market Analysis 8

CHAPTER 2 Market Value 9

CHAPTER 3 Market Segmentation I 10

CHAPTER 4 Market Segmentation II 11

CHAPTER 5 Competitive Landscape 12

CHAPTER 6 Leading Companies 15

6.1 Dow Chemical Company, The 15

6.2 E. I. duPont de Nemours & Company 18

6.3 NOVA Chemicals Corporation 21

CHAPTER 7 Market Forecasts 24

7.1 Market Value Forecast 24

CHAPTER 8 Macroeconomic Indicators 25

9.2 Industry Associations 28

9.3 Related Datamonitor Research 28

Table 1: Canada Chemicals Market Value: $ billion, 2002-2006.......................................9

Table 2: Canada Chemicals Market Segmentation I: % Share, by Value, 2006 .............10

Table 3: Canada Chemicals Market Segmentation II: % Share, by Value, 2006.............11

Table 4: Key Facts: Dow Chemical Company, The ........................................................15

Table 5: Key Financials: Dow Chemical Company, The .................................................17

Table 6: Key Facts: E. I. duPont de Nemours & Company .............................................18

Table 7: Key Financials: E. I. duPont de Nemours & Company ......................................20

Table 8: Key Facts: NOVA Chemicals Corporation ........................................................21

Table 9: Key Financials: NOVA Chemicals Corporation .................................................23

Table 10: Canada Chemicals Market Value Forecast: $ billion, 2006-2011......................24

Table 11: Canada Size of Population (million) , 2002-2006 ..............................................25

Table 12: Canada GDP (1995=100), 2002-2006 ..............................................................25

Table 13: Canada Inflation, 2002-2006.............................................................................25

Table 14: Canada Exchange Rate, 2002..........................................................................26

CHAPTER 1 MARKET OVERVIEW

1.1 Market Definition

1.2 Research Highlights

The performance of the market is forecast to follow a similar pattern, with an

1.3 Market Analysis

The performance of the market is forecast to follow a similar pattern, with an

CHAPTER 2 MARKET VALUE

Table 1: Canada Chemicals Market Value: $ billion, 2002-2006

Year $ billion C$ billion % Growth

2002 49.8 60.3

CAGR, 2002-2006: 1.2%

Source: Datamonitor DATAMONITOR

Figure 1: Canada Chemicals Market Value: $ billion, 2002-2006

Source: Datamonitor DATAMONITOR

CHAPTER 3 MARKET SEGMENTATION I

Sales of base chemicals account for 32.9% of the market's value.

Table 2: Canada Chemicals Market Segmentation I: % Share, by Value,

Base chemicals 32.90%

Source: Datamonitor DATAMONITOR

Figure 2: Canada Chemicals Market Segmentation I: % Share, by Value,