Arizona's Success Relies on American Chemistry

Chemistry Creates, America Competes.

From supply chain, climate, and sustainability challenges to energy efficiency, power delivery, national security, and infrastructure needs, our nation depends on the products and innovations made by America’s chemical industry. 

Chemistry enables electric vehicle production, semiconductors, affordable housing, reliable infrastructure, and effective, modern healthcare technologies. It is the driving force behind everyday products like smartphones and computers.

According to a Morning Consult poll conducted on behalf of ACC, 73% of Arizonans, including 68% of Democrats, are concerned about the potential impact of increased restrictions on the U.S. chemical sector on local economies who depend on it for jobs and economic activity.

Arizonans are right to be concerned since chemistry provides nearly 4,800 direct jobs and over 7,500 related jobs.

Chemistry Creates America Competes Chemical Engineer Outside Facility Collecting Data

Overregulation Weakens Arizona’s Economy

2/3

Of Arizona adults are concerned that imposing additional restrictions on the chemical sector could disrupt the U.S. supply chain and limit access to critical products like semiconductors.

A surge in new restrictions and lack of coordination between the Biden Administration and its agencies is handicapping the chemical industry’s ability to create products that Arizona relies on.

New proposed restrictions could limit access to and increase the cost of essential products, harming the U.S. economy, jeopardizing American competitiveness in the global market, and delaying progress for industries and sectors with urgent and growing needs.  

This jeopardizes our competitiveness in sectors like renewable energy and semiconductor development. Over the past 30 years, the share of global semiconductor manufacturing capacity in the United States has decreased from 37% to 12%, according to the Semiconductor Industry Association. Semiconductors and other electronic components represent Arizona’s largest export category and recent increased investment in manufacturing facilities in the state will be key in bolstering domestic semiconductor production – and smart, science-based regulations are needed to support manufacturers’ ability to operate and innovate.

Chemistry Creates America Competes Hands Navigating Items on Cell Phone

Arizona Priorities at Risk

We support responsible regulation that puts science first, promotes innovation and supports supply chain resiliency. 

There are currently 13 proposed new restrictions with the potential to directly impact the chemical industry. Some aim to outright ban certain chemistries. Others may regulate chemistries to levels where manufacturing becomes unviable or impossible.

The growing disconnect between the Administration’s priorities and proposed regulations by its agencies is creating an increasingly untenable situation for chemical manufacturers. For example, the Administration considers the CHIPS Act – a $52 billion investment for domestic semiconductor manufacturing and research – as one of its signature initiatives. However, proposed restrictions from federal agencies like EPA on chemistries needed to manufacture components for semiconductors could undercut this national priority.

If enacted, these restrictions have the potential for a detrimental impact on the supply chains for vital technologies, including clean energy solutions like EVs, semiconductors, and many modern healthcare applications. Decreased access and affordability of these essential products could be further consequences of imposing flawed restrictions.

Unless the Biden Administration and Congress take a different approach to how they create and apply regulations, Arizonans could experience unintended consequences of these policy and regulatory choices at home. When asked about high inflation causing financial strife in the same survey:

76%

Of Arizona adults agree now is not the time for new federal restrictions that could increase the cost of goods like vehicles, homes, consumer electronics, and household products.

67%

of Arizona Democrats, agree now is not the time for new federal restrictions that could increase the cost of goods like vehicles, homes, consumer electronics, and household products.

Chemistry Creates America Competes U.S. Capitol Building

Get Involved

For chemical manufacturers, the situation must change. Together, we can address these flawed restrictions.  

Without appropriate oversight and the use of sound science to drive regulation, critical chemistries have the potential to suffer, along with the innovations and jobs that rely on them. 

We call on the Biden Administration, federal agencies, and Congress, to support frameworks that celebrate innovation and accelerate progress.

Tell Congress & President Biden to support policies that empower chemistry, promote American innovation and strengthen U.S. competitiveness.

Act now!

Resources

What Arizonans Believe About Regulatory Overreach on Chemical Sector - Fact Sheet

Chemistry Creates, America Competes.

American success relies on American chemistry.

Proposed restrictions on U.S. chemical manufacturers stifles American innovation, jobs, and competitiveness.

Learn how sound policies can keep American chemistry competitive.

Learn more