Chemical Output Climbs on U.S. Manufacturing Strength
U.S. production increased 0.6% over the month but remained down 0.7% from a year ago. according to new data from the American Chemistry Council (ACC).
“The U.S. chemical industry gained momentum as manufacturing activity strengthened,” said David Lan, ACC’s Director of Economics and Statistics. “The ISM Purchasing Managers Index shows broad manufacturing expanded for a third consecutive month in March, with the report also highlighting growth in the chemical sector—driven by rising production, new orders, and export demand.”
“The chemical industry is a key economic bellwether, as American manufacturing depends on chemical inputs to support production across key sectors - from electronics and energy to housing and autos,” Lan explained.
“Outside the U.S., global chemical production slipped 0.6% in March, reversing a modest gain in February,” Lan said. “The closure of the Strait of Hormuz constrained feedstock supplies to producers globally—especially in Asia—while disruptions tied to the Middle East conflict drove a sharp drop in output. While production rose in North America, Europe, and South America, those gains were more than offset by declines across Africa and the Middle East, the former Soviet Union, and the Asia-Pacific region.”