Reshaping footprints, securing energy, and turning sustainability into growth

Insights from our latest Energy Intensive Industries Study

Energy has moved from a procurement line item to a board-level determinant of competitiveness. Our 2025 Chemicals, Energy and Materials study captures how global leaders are re-ranking footprints, securing low-carbon energy, and turning sustainability from compliance to growth.

Our key findings

Relocation is real and uneven.

Shifts are stronger in Europe (12%) than the U.S. (7%), with trade-exposed sectors moving capacity while demand-tied sectors double down locally.

Energy access now defines sites.

Most players (88%) have a renewable strategy; PPAs are the standard. 38% of chemicals businesses prefer combining contracts with selective self-generation. Cement (37%) and glass (32%) stand out with higher direct investment.

Hydrogen is entering the plan.

3 in 4 European leaders see relevance within the decade. North American views are more polarized, with some expecting adoption within 3-5 years while others push it beyond 2035.

The green paradox persists.

One third of glass, cement, and steel companies with sustainable offerings show commercial results. Only 19% of base chemicals and 12% of energy generators firms achieved any traction.

Reshaping landscapes: The future of industrial presence

Trade-exposed sectors such as base chemicals (25%) and parts of steel (10%) are structurally more mobile and use cross-border bets to secure energy advantage or wait for clearer signals.

Demand-tied sectors such as cement (4%) and glass (2%) stay close to end markets. Their competitiveness hinges on local energy optimization.

Revisit your strategy: Read more

Power plays: Energy and politics at the center

Energy costs and access sit beside tax and labor as defining factors in site competitiveness.

Over 88% industry leaders report a plan to secure renewables, centered on PPAs, with selective self-generation rising where price pressure is high.

Policy clarity matters. Large, simple incentive schemes unlock investment; compliance-only rules add paperwork without accelerating adoption.

Unlock your energy transition: Read more

The green paradox: Bridging the commercial gap

Sustainability is embedded in strategy across industries, yet commercial success is uneven. Glass, cement, and steel show the strongest traction. Base chemicals and energy generators are more often stuck in pilots.

Barriers are mixed rather than singular. Willingness to pay, ROI clarity, and regulatory risk show up in different combinations by sector.

Sectors with less traction push 2.6x harder on demand shaping. Yet, activity alone doesn’t convert without tight links to customer value and monetization.

Shape customer demand: Read more

Addressing the latest Industrial business challenges

Where relocation is happening and where local optimization wins

How leading portfolios secure affordable, reliable, low carbon energy at scale

What separates sustainability leaders from pilot purgatory, and how to bridge the green paradox

Practical decision rules for footprint, procurement, and commercialization

Access the full report

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Simon-Kucher has deep roots in the industrials sector.

From chemicals to construction, industrial goods to oil and gas, we are here to support you on your journey to sustainable, profitable growth. Rather than apply a one-size-fits-all approach, we work with you to create a solution tailored to your specific business needs and challenges.

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