The chemical production industry one of largest in the United States, a $797 billion enterprise
WASHINGTON – The US Chemical Production Regional Index (US CPRI) expanded by 0.2 per cent in Sept., following a 0.3 per cent decline in Aug. and flat growth in July, according to the American Chemistry Council press release.
In Sept., chemical production rose across all regions, with the largest gains in the Ohio Valley, Gulf Coast and Midwest regions.
Also measured on a 3MMA basis, chemical production was mixed. There were gains in the production output trend of adhesives, fertilizers, pesticides, coatings, organic chemicals, synthetic rubber, plastic resins, pharmaceuticals and other specialty chemicals.
These gains were offset by declines in the output trend in inorganic chemicals, consumer products, industrial gases, dyes and pigments, and manufactured fibers.
Nearly all manufactured goods are produced using chemistry in some form or another. Thus, manufacturing activity is an important indicator for chemical production.
On a three-month-moving average basis, manufacturing activity was flat in Sept., following marginal gains in July and Aug.
Production expanded in several chemistry-intensive manufacturing industries, including food and beverages; motor vehicles; construction supplies; computers and electronics; semiconductors; petroleum refining; plastic products; rubber products; textile products; and apparel.
Compared to Sept. 2015, US production was ahead by 0.6 per cent on a year-over-year basis, an improving comparison compared to last month.
Chemical production remained ahead of year ago levels in all regions with the largest gains in the Ohio Valley and Southeast regions.
The US CPRI was developed to track chemical production activity in seven regions of the United States.