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

China launches investments in Belarus

July 21, 2014 10:10 am ET

China is preparing to invest in a major bottle grade PET production project planned by the Belarus PET and polyester fibers producer...    More

Image

Polynt, CCP create composite resins giant

July 18, 2014 10:13 am ET

France's Total SA has agreed to sell CCP Composites to Polynt Group SpA, based in Italy, for an undisclosed price.    More

Image

PET prices climb 2 cents

July 17, 2014 2:22 pm ET

After holding their ground in May, North American PET prices rebounded to show an average increase of 2 cents per pound in June.    More

Image

PolyOne closing 2 plants in Brazil

July 16, 2014 12:40 pm ET

Materials maker PolyOne Corp. is closing two of its four Brazilian plants in order to streamline operations and improve its financial performance in...    More

Image

Chevron Phillips, Equistar declare force majeure limits on polyethylene

July 15, 2014 4:46 pm ET

UPDATED — Polyethylene makers Chevron Phillips Chemical Co. and Equistar have declared force majeure production limits on that material after in...    More

Market Reports

Injection Molders Market Report & Ranking 2014

This special package contains our 132-page 2014 Market Report on the Injection Molding segment and our exclusive 2014 RANKINGS database of 500+ Injection Molders for a discounted package price.

Learn more

Plastics Recycling Market Review & Outlook 2014

This special report from Plastics News examines the North American plastics recycling industry and provides insight into indicators that impact market viability, including Resin pricing trends for virgin and recycled market material and historical Resin production trends for post- consumer and industrial waste.

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

Upcoming Plastics News Events

September 10, 2014 - September 12, 2014Plastics Caps & Closures 2014

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

More Events