The $5T Chemicals & Materials industry is vital to the $110T global economy, providing critical materials across sectors. However, it faces evolving policy and regulatory risks, energy transition, digital disruptions, and deglobalization alongside shifting demand to east, slowdowns in traditional markets, commoditization, and intensifying competition, leading to growth and supply chain uncertainties.

Yet, within these challenges lie immense opportunities. To stay ahead, companies must protect, grow, and transition - simultaneously. Success in this evolving landscape requires proactive risk management, seizing new growth avenues, and transitioning toward future-ready business models. Managing cost volatility, geopolitical shifts, and supply chain disruptions is critical for stability, while leveraging new demand drivers and sustainability trends can unlock lasting competitive advantages.

To stay ahead, Chemicals & Materials companies must protect, grow, and transition simultaneously

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Protect

Navigate policy shifts, geopolitical tensions, and supply chain disruptions. Proactively manage cost volatility and market saturation to ensure stability.

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Grow

Capitalize on new demand drivers, shifting customer needs, and sustainability trends. Differentiate through innovation and future-ready business models.

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Transition

Align with sustainability goals by adopting low-carbon materials, digital solutions, and circular supply chains while balancing cost, regulation, and market expectations.

Overview
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Sector Outlook

From regulatory risk and feedstock volatility to shifting demand and circularity pressures, the $5T chemicals and materials sector sits at the heart of global change. Companies must manage near-term risks while seizing new growth opportunities and accelerating their sustainability transition. That means doing three things at once: Protect. Grow. Transition.

Focus areas

We focus on four key sub-sectors within Chemicals & Materials:

Building blocks & intermediates

Olefins, aromatics, chlor-alkali, and intermediates

Specialty chemicals

Actives, additives, hybrid groups, excipients and adjuvants.

Advanced materials

Catalyst, CASE, HPP, and composites

Sustainable products

Low carbon, green and circular products

Typical Business Questions We Address

Protect

  • How to counter competitive threats from new specialty formulations or low-cost alternatives?
  • How to phase out or substitute restricted chemicals e.g. Substance of Very High Concern (SVHC) while maintaining product performance?
  • How to secure critical feedstocks amid deglobalization and supply chain volatility?

Grow

  • What are the key growth levers for sorbents in Direct Air Capture, and how do material innovations impact scalability and unit economics?
  • What disruptive strategies can maximize growth in sensors, flexible electronics, and next-gen substrates for wearables?
  • What is the addressable chemicals market in data centers for heat transfer, energy storage, and electronics?

Transition

  • How can CO2-derived chemical building blocks unlock new revenue streams in circular materials?
  • How does scale (100kT vs. 200kT) affect economic and operational viability of plastic waste pyrolysis in Southern Europe?
  • How to optimize the mix across bio-based, circular, and CO2-utilized pathways for near- and long-term Growth?

Sector Priorities We Solve For

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Anticipate and Mitigate Risk

Defend your market position, manage ESG and regulatory pressures, and extend product lifecycles—without disrupting operations or losing ground with customers.

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Create a Lasting Competitive Edge

Capture value in new energy systems, data centers, and CCUS. Lead in advanced electronics with innovations in wearables, robotics, and high-performance materials.

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Shift Strategically and Profitably

Balance bio-based and circular strategies using demand, regulation, and economics. Lower emissions through renewables and electrification while optimizing resources via digital and circular practices.

A breakthrough systems-based 6-Lens Methodology to identify the tipping points that matter

We help clients address shifting market dynamics and policy pressures, evaluate alternative materials, reduce emissions, and develop circular and advanced recycling models. Companies are challenged to maintain margin, reduce risk, and meet evolving ESG expectations. FSX helps by connecting foresight with feasibility to define viable paths forward.

Applying the FSX Six-Lens Methodology

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Policy & Regulation

Decode and translate global-to-local policy shifts into actionable market strategies.

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Technology & Innovation

Harness the power of emerging and existing technologies to unlock transformative opportunities.

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Techno-Economics

Anticipate market shifts with financial modeling of technology adoption, costs, and s-curve uptake scenarios.

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Supply Chain

Identify bottlenecks, assess constraints, and enhance value chain deployment feasibility.

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Digitalization

Leverage digital transformation to create breakthrough business models and efficiencies.

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Partnerships & Ecosystems

Forge high-impact, sustainable partnerships by navigating the right collaborations.

 

What Sets Us Apart

PEOPLE

Team of engineers and technologists, business strategists, techno-economic modelers, and industry veterans

RESEARCH
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Carbon Management

Engineered CCUS

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Energy Transition

Heat electrification

recycling
BioScaleX

2nd gen.+ biomass feedstocks

TOOLS
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Opportunity cube

Multi-dimensional market analysis

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S-curve adoption scenario

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Manufacturing profitability model

NETWORK
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Financial community

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ENx, our in-house expert network

From complexity to clarity—empowering smarter decisions with data-driven insights.

FSX Chemicals & Materials Practice helps companies protect their existing businesses, accelerate growth, and lead the transition to a sustainable future. Our data-driven, actionable insights across the value chain—covering both conventional and sustainable products, helps in identifying critical tipping points.

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FSX Solutions

Regulatory & Policy Navigation

Minimize risk and maximise opportunity by understanding regulations, incentives, and policies that shape your investment and market strategy.

Techno-Economic & Market Analysis

Assess feasibility, costs, and scalability with bottom-up cost modeling and market intelligence to guide investment timing and strategy.

Partner & Investment Due Diligence

Find the best-fit technology partners and investment targets with an objective, data-driven assessment of risk and growth potential.

Technology & Innovation Scouting

Identify high-impact innovations through continuous evaluation of emerging technologies and companies in Horizon 1, 2, and 3.

Strategic R&D, & Technology Road Mapping

Prioritize the right innovations by mapping R&D investments with market readiness and long-term technology trajectories.

Competitive & Peer Benchmarking

Sharpen your decision-making by evaluating your strategic positioning, innovation portfolio, and performance against those of your industry peers.

Helping Clients Across the C&M Sector

Explore how we've helped chemicals & materials leaders Protect, achieve Growth, and Transition, turning complex challenges into tangible results.

Experience Stories 

Building Blocks & Intermediates  
  • Opportunity cube-driven assessment to accelerate US growth strategy for acetyl intermediates.

  • Partner due diligence support in agrochemicals with a focus on inert substances.

  • GTM Support on less toxis intermediates beyond NMP.

Specialty Chemicals  

  • Opportunity assessment for sorbents engineered carbon capture.

  • Global market expansion strategy in high-purity electronic solvents.

  • Voice of customer assessment on fluorinated fluids in high-performance industrial applications.

Advanced Materials
 
  • Opportunity assessment for advanced materials in wearables.

  • Tipping point analysis for composite materials recycling in structural applications.

  • Innovation funnel management for CASE portfolio.

Sustainable Products
 
  • Alternate feedstock adoption support for sustainable fuels and chemicals portfolio.

  • Investment decision support for polyolefin chemical recycling as a growth avenue.

  • Innovation, market potential, and entry decision evaluation for bio-platform derived furan chemicals.

Get in Touch

From building blocks & intermediates to specialty/advanced chemicals and materials to sustainable products- FSX helps chemicals and materials companies cut through complexity and define what’s viable, scalable, and commercially rewarding.