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

DuPont investing $100 million for more ethylene copolymer capacity

September 16, 2014 1:51 pm ET

Increased packaging demand is leading materials giant DuPont Co. to spend more than $100 million to increase capacity for ethylene copolymers at its...    More

Image

Latvian plastics recycler Nordic Plast boosts capacity

September 16, 2014 10:15 am ET

Latvian plastics waste recycler Nordic Plast Ltd. has invested more than 2.5 million euros ($3.2 million) to expand capacity and modernize production ...    More

Image

Sabic, Chinese Academy of Sciences sign five-year development agreement

September 15, 2014 11:54 am ET

Ties between one of the world's biggest oil producers and one of its biggest consumers grew tighter Sept. 12 with the announcement of a five-year...    More

Image

BASF analyzes products based on sustainability potential

September 15, 2014 11:48 am ET

Chemicals giant BASF SE has created a new process for managing its product portfolio based on sustainability criteria.    More

Image

China's Zhongtai Chemical calls off large-scale PVC project

September 12, 2014 2:16 pm ET

Accepting the gloomy reality of the PVC market, Xinjiang Zhongtai Chemical Co. Ltd. has officially canceled a 800,000-ton PVC resin project and instea...    More

Market Reports

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

Pipe, Profile & Tubing Extrusion in North America 2014

U.S. demand for extruded plastics is expected to grow by 3 percent in 2014, with PVC remaining the largest segment.

Plastic pipe will post the strongest gains through 2018, continuing to take market share from competing materials in a range of markets.

Our latest market report provides in-depth analysis of current trends and their financial impact on the pipe, profile and tubing extrusion industry in North America.

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