FRANKFURT (dpa-AFX) - On Thursday, shares of major cement producers once again came under pressure due to the ongoing debate over the European emissions trading system. The issue was sparked by an article reporting that Italy is pushing for a suspension of the emissions trading system (ETS) to provide relief for energy-intensive companies. Meanwhile, investors in the chemical sector have welcomed this development.
Shares of Heidelberg Materials dropped by nearly six percent in morning trading, while Holcim lost four percent in Switzerland. Heidelberg's share price, which had reached a record high at the end of January, is now approaching its lowest level since June—a level it already hit in mid-February amid speculation about possible loosening of climate protection regulations. Once again, the outlook for falling cement prices is weighing on the sector, especially since Heidelberg Materials has so far been seen as a pioneer in investing in low-emission production, which may now prove less profitable in the short term.
In contrast, BASF shares benefited, ranking among the top performers in the moderately rising DAX with a 1.5 percent gain on Thursday. In the MDAX of mid-cap stocks, Lanxess and Wacker Chemie were also particularly in demand. Here, the news is a relief, as high emissions charges in Europe can impact competitiveness.
The debate over emissions trading continued on Thursday after the Italian Minister of Industry called for a suspension of the EU emissions trading scheme until it is reformed. The trading system, "in its current form, represents an additional burden for European companies, increasing their costs and limiting their competitiveness," said Adolfo Urso in Brussels. Italy also supports postponing the abolition of free emissions certificates until comprehensive changes are agreed upon.
Speculation about a softening of climate policy had already caused cement stocks to fall and chemical stocks to rise earlier in February. In mid-February, the discussion came back into focus at a summit of energy-intensive industries in Antwerp./tih/la/mis
