American Chemistry Council calls for policy changes to boost exports

By Gayle S. Putrich
Staff Reporter

Published: February 7, 2013 4:41 pm ET
Updated: February 7, 2013 4:57 pm ET

Related to this story

Topics Materials, Government & Legislation
Companies & Associations American Chemistry Council

WASHINGTON -- The American Chemistry Council (ACC) is calling for the elimination of trade barriers and new energy policies as part of its five-part strategy to increase U.S. chemical exports, including plastics and plastics products.

The plan, introduced Wednesday at a Capitol Hill briefing, urges Congress and the White House to

  • advance comprehensive open trade policies,
  • develop more efficient and standardized chemical regulatory policies,
  • refocus tax policy to reduce transaction costs for industry,
  • ensure a competitive U.S. rail system, and
  • enact comprehensive energy policy and expand shale gas development.

Accessing large new supplies of domestic shale gas has led to a renaissance in the U.S. chemical market, said ACC President Cal Dooley, resulting in a 15 percent increase in the export of U.S.-produced chemicals and plastics since 2010, but policies need to be put in place to protect and balance the U.S. natural gas market and the industries that depend on its stability.

In two short years, said John Paro, CEO of HallStar Co., there has been a dramatic change in the U.S. chemical industry, going from businesses shrinking or moving overseas to increasing domestic production and moving facilities back to the States, all thanks to lower, more stable natural gas prices.

"All of a sudden those polymers [used in] rubber and plastic compounding that were being made overseas are starting to be attractive to make back here in the United States and the formulators that use those plastics are locating back on the shores of the United States and the parts manufacturers and all of the incidental supply chain items that come with it," Paro said. "It really has a huge multiplier effect."

The report also emphasized the importance of a potential U.S. trade agreement with the European Union and called for speedily wrapping up negotiations on the TransPacific Economic Partnership, which the council says could open the door to an additional $1.2 billion in chemical exports.

The U.S. chemical market saw $189 billion in exports in 2012, according to ACC; the council's proposed regulatory changes would add up to $58 billion more in potential export growth, according to the report.


Comments

American Chemistry Council calls for policy changes to boost exports

By Gayle S. Putrich
Staff Reporter

Published: February 7, 2013 4:41 pm ET
Updated: February 7, 2013 4:57 pm ET

Post Your Comments


Back to story


More stories

Image

Bayer spinning off plastics business

September 18, 2014 8:49 am ET

Bayer AG will spin off its MaterialScience plastics group into a separate, publicly-traded company within the next 12 to 18 months.    More

Image

Investor group wants DuPont to split in two

September 18, 2014 7:37 pm ET

Investment firm Trian Fund Management LP is calling for plastics and chemicals giant DuPont Co. to split itself into two firms, one of which would...    More

Image

Minnesota receives grant to help develop new bioplastics

September 17, 2014 4:08 pm ET

The University of Minnesota has received a $20 million grant to fund the development of new types of bioplastics.    More

Image

China's Polymax Elastomer launches U.S. production in Illinois

September 17, 2014 3:35 pm ET

Chinese materials maker Polymax Elastomer Technology Co. Ltd. has opened a North American production site and headquarters in Waukegan, Ill.    More

Image

PolyOne helps nonprofit get water purification to more places in need

September 17, 2014 1:59 pm ET

Resin giant PolyOne Corp. is teaming up with WaterStep, a non-profit water purification agency, to help the group assist a greater number of disaster ...    More

Market Reports

Plastics Caps & Closures Market Report

The annual recap of top trends and future outlook for the plastics caps & closures market features interviews with industry thought leaders and Bill Wood’s economic forecast of trends in growing end markets. You will also gain insight on trends in caps design, materials, machinery, molds & tooling and reviews of mergers & acquisitions.

Learn more

Shale Gas Market - Analysis of North American Region

This report highlights the impact of shale-based natural gas on the North American plastics market and features an in-depth analysis of production trends in the United States during 2013 and a forecast for 2014 and beyond.

Learn more

Thermoformed Packaging 2014 Market Review & Outlook – North America

This in-depth report analyzes economic and market trends, legislative/regulatory activity impacting supply and demand, business opportunities and threats, materials pricing, manufacturing technology, as well as growth strategies being implemented by thermoformed packaging companies.

Learn more

Upcoming Plastics News Events

January 14, 2015 - January 14, 2015Plastics in Automotive

February 4, 2015 - February 6, 2015Plastics News Executive Forum 2015

More Events