Industry research
Scope
Europe
Companies
51
Table of contents
What does the chemicals services market landscape look like in Europe?
The transportation market remains rather fragmented at the European level, characterised by the presence of thousands of (local) players across the continent. However, consolidation is expected to pick up in the coming years given the increasing hurdles for family-owned businesses associated with regulatory requirements and automation efforts, as well as a general lack of succession plans. The tank storage market is mostly concentrated on a regional basis, illustrated by the presence of several champions in the Netherlands and Belgium. The relatively higher entry barriers (e.g. CAPEX & scale requirements) make entry difficult for new players, especially in a market that revolves around high and flexible volumes.
What is the level of investor activity in Europe chemicals services industry?
Sponsor-led activity has been moderate, with ~20% of identified European assets being backed by financial sponsors (June 2025). This can be attributed to the industry’s maturity, cyclicality of the underlying chemicals market and low cash generation potential. On the positive side, storage players’ high profitability potential and strong revenue visibility from long-term contracts, as well as transportation players’ sustainability potential are considered to be the most attractive factors for investors.
What are the key ESG considerations in Europe chemicals services industry?
ESG topics primarily relate to environmental and social issues. On the environmental side, players mostly focus on addressing their CO2 emissions. Accordingly, transportation incumbents introduce mandatory fuel-efficient routing and increase the share of green energy vehicles in their fleets. Storage providers attempt to reduce or balance their energy consumption by building wind parks or solar power plants. Another important topic concerns the storage and transportation of hazardous chemicals. As such, players have to continuously invest in preventative measures to account for potential accidents such as leaks (e.g. groundwater pollution).
The European chemical industry generated ~€655bn in revenue in 2023, representing ~13% of the world’s total output of ~€5.2tn, which is expected to grow to ~€6.2tn by 2030 (+2.5% CAGR 2023-2030; EEA, March 2023; Cefic, June 2025)
The global chemical tank storage market was valued at ~$5.4bn in 2023 and is expected to grow to ~$6.2bn by 2030, registering a CAGR of ~2.0% (Lucintel, July 2024)
Outsourcing trends driven by increasingly stringent EU regulations. The manufacturers of chemicals rely more on independent third-party providers for storage and transportation processes, as they are better equipped to comply with changing regulations (interview by Gain.pro)
Re-routing of oil & gas and petrochemical supply chains due to geopolitical instability with Russia leads to higher storage demand. This demand has notably pushed up tank occupancy rates for industry incumbents (e.g. Vopak reached occupancy rates of ~93% in 2024; Reuters, April 2023; Vopak, February 2025)
The limited use of digital technologies and AI across the chemicals transportation industry provides room for higher operational efficiency through the automation of warehouse processes (e.g. inventory management) or cost reduction practices (e.g. drone-based inspections) (Plain Concepts, March 2024; HERE, February 2024)
Shortage of truck drivers and rising costs of energy, fuel, tyres and fleet maintenance will adversely affect the bottom lines of transport operators (interview by Gain.pro; IRU, April 2024)
Strong reliance on high-emission trucks endangers the core business of transportation-focused players, requiring a costly fleet overhaul. Heavy-duty vehicles account for ~25% of total EU CO₂ emissions (~85% coming from trucks), which must be reduced by ~90% by 2050 (EEA, April 2023; EUR-Lex, May 2024)
Limited organic growth opportunities in a saturated European landscape, with chemicals production and consumption gradually shifting towards the APAC region. Accordingly, an industry executive (interview by Gain.pro) expects that EU-centred incumbents will face either low or negative organic growth in the coming years, which can only be offset by expensive M&A or establishing local presence in high-growth markets
With the full report, you’ll gain access to:
Detailed assessments of the market outlook
Insights from c-suite industry executives
A clear overview of all active investors in the industry
An in-depth look into 51 private companies, incl. financials, ownership details and more.
A view on all 249 deals in the industry
ESG assessments with highlighted ESG outperformers
