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US chemical production up in April 2014: ACC

Compared to April 2013, total chemical production in all regions was ahead by 2% on a year-on-year basis

BS B2B Bureau Washington
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Last Updated : May 26 2014 | 5:16 PM IST

The chemical production in the US has shown higher growth in April 2014 compared to previous month. According to the American Chemistry Council (ACC), following a 0.2% gain in March, the US Chemical Production Regional Index (US CPRI) was 0.6% higher in April.
 
Manufacturing production unexpectedly slipped during April, however, on a three-month moving average (3MMA), output of the nation’s overall manufacturing sector was 0.6% higher in April, following an upwardly revised 0.4% increase in March. Within the manufacturing sector, output in many key chemistry end-use markets expanded, including appliances, motor vehicles, aerospace, construction supplies, machinery, fabricated metal products, computers, semiconductors, plastic products, rubber products, plywood, printing, textile products, and furniture.
 
Also measured on a 3MMA basis, overall chemical production was again mixed. There were gains in the output of chlor-alkali and other inorganic chemicals, synthetic dyes and pigments, industrial gases, consumer products, adhesives, organic chemicals, pharmaceuticals, and coatings. These gains were partially offset by declines in the production of plastic resins, pesticides, fertilisers, and manmade fibres. Synthetic rubber production was flat for a second straight month.
 
Compared to April 2013, total chemical production in all regions was ahead by 2% on a year-on-year basis, following a revised 1.4% gain in March. Chemical production was up from a year ago in all regions. Comparing the first four months of 2014 to that in 2013, chemical production was up 1.1% nationally, with six of the seven regions posting gains.
 
The chemistry industry is one of the largest industries in the US, a $770 billion enterprise. The manufacturing sector is the largest consumer of chemical products, and 96% of manufactured goods are touched by chemistry.
 
The US CPRI was developed to track chemical production activity in seven regions of the US. It is comparable to the US industrial production index for chemicals published by the Federal Reserve. The US CPRI is based on information from the Federal Reserve. To smooth month-to-month fluctuations, the US CPRI is measured using a three-month moving average (3MMA). Thus, the reading in April reflects production activity during February, March, and April.

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First Published: May 23 2014 | 5:15 PM IST

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