Thread by @Finception__

Here is a new attempt at simplification - Understanding the Rise of Specialty Chemical Industry in India in 9 animated infographics.
The story begins with China. China had grown exponentially on the back of a manufacturing revolution. But with unbridled growth came pollution

On 28th February 2015, Chai Jing, an investigative journalist releases the documentary film, "Under the Dome", chronicling the devastating effects of air pollution in China. The film goes viral and the public outcry intensifies prodding authorities to act on pollution.

The Chinese state acts. It sees widespread closures of polluting factories and large fines imposed on other non-compliant actors. The state also works on getting its industries future ready by mandating companies to adhere to strict emission standards. The war has begun

Many coal-burning plants are forced to shut down. Others are asked to temporarily halt operations. One of the worst affected industry it seems is the - Chemical industry. With the added pollution curbs both internal production and exports of chemicals take a nosedive.

This presents an opportunity for India. With China suffering a hit and the sudden shift in supply dynamics, Indian chemical companies finally see their fortunes turn. Utilisation levels improve, economies of scale kicks in and margins trend upwards.

Within chemicals, most people begin focusing on speciality chemicals mainly for their potential to generate higher revenues and margins compared to the commodity chemical producers. Also they can generate more stable streams of revenue compared to cyclical commodity businesses

This disruption hasn't gone unnoticed. Stock prices of most speciality chemicals have soared over the past few years. More brokerage houses are now sitting up&taking notice. Business news channels are interviewing promoters of these obscure companies highlighting all the promise

The hope now is that this shift is structural and the growth of the chemical industry will roughly mimic the growth of the end use segments or the GDP. Also with India importing most of it's chemicals, the suggestion is that opportunities will be abundant.