According to the American Chemistry Council (ACC), the U.S. Chemical Production Regional Index (U.S. CPRI) expanded by 1.0 percent in April 2018, following a 0.2 percent decline in March 2018, and a 1.0 percent decline in February 2018, as measured on a three-month moving average (3MMA) basis. During April 2018, chemical output moved higher in all regions. The Southeast, Gulf Coast, and Ohio Valley regions posted the highest growth during the month.
Chemical production was mixed over the same three-month period. There were gains in the production three-month moving average output trend of plastic resins, adhesives, industrial gases, basic inorganic chemicals, organic chemicals, synthetic dyes and pigments, coatings, fertilizers, pesticides, chlor-alkali, other specialty chemicals, and consumer products. These gains were offset by declines in the output trend in synthetic rubber.
Nearly all manufactured goods are produced using chemistry in some form or another. Manufacturing activity is an important indicator for chemical production. On a 3MMA basis, manufacturing activity edged higher by 0.6 percent in April, following a 0.3 percent gain in March.
Output also expanded in several chemistry-intensive manufacturing industries, including food and beverages; motor vehicles; aerospace; construction supplies; fabricated metal products; machinery; computers and electronics; semiconductors; petroleum refining; iron and steel; foundries; tires; paper; structural panels; apparel; and furniture.
Compared to April 2017, U.S. chemical production was ahead 2.9 percent on a year-over-year basis, an easing trend. Chemical production continues to pull ahead of year ago levels in all regions.
Source and image courtesy of American Chemistry Council