MOSCOW (MRC) -- Favorable oil-to-gas price ratios driven by the production of natural gas from shale continue to drive a renewed US competitiveness that is boosting exports and driving greater domestic investment, economic growth and job creation within the business of chemistry, as per Hydrocarbonprocessing with reference to the Year End 2013 Chemical Industry Situation and Outlook, published recently by the American Chemistry Council (ACC) trade group.
Likewise, supported by activity within the domestic chemicals sector, the ACC says the US economy is likely to see continued, though moderated growth in 2014, according to ACC's monthly Chemical Activity Barometer (CAB).
"American chemistry is back in the game," said Dr. Kevin Swift, ACC's chief economist. "After a decade of lost competitiveness, American chemistry is reemerging as a growth industry. We're seeing growing end-use markets; strengthening employment; surging exports; and an influx of tremendous capital investment. Put simply, the US is now the most attractive place in the world to invest in chemical manufacturing."
Over the next five years, US production is expected to grow by almost 25%, pushing industry shipments to USD1 trillion by 2018. Over the next five years we are likely to see more than USD60 billion in domestic investment.
As MRC wrote previously, the ongoing shale revolution will guide the US ethylene industry surge in the near future, growing by more than a third by 2017. The estimated increased investments in the industry will see US ethylene capacity jump to 35.048 million tpy by 2017 - an increase of just under 35% (from 2000).
MRC