U.S. Specialty Chemical Markets Start 3rd Quarter On Modest Note

News provided by

Aug 20, 2018, 10:05 ET

WASHINGTON, Aug. 20, 2018 /PRNewswire/ -- The American Chemistry Council (ACC) reported that U.S. specialty chemicals market volumes started the third quarter on a modest note, increasing 0.2 percent in July after a 0.4 percent gain in June, and a 0.3 percent gain in May. All changes in the data are reported on a three-month moving average (3MMA) basis. Volumes had declined in January, when weather played a role in the slow start to the year. More recently, performance chemistry appears to reflect the strength in manufacturing. Of the twenty-eight specialty chemical segments monitored, twelve expanded in July, down from sixteen in June. Twelve markets experienced decline and four featured no change. During July, large market volume gains (1.0 percent and over) occurred in electronic chemicals and oilfield chemicals.

The overall specialty chemicals volume index was up 4.8 percent on a year-over-year (Y/Y) 3MMA basis. The index stood at 113.3 percent of its average 2012 levels in July. This is equivalent to 7.72 billion pounds (3.50 million metric tons). On a Y/Y basis, there were gains among twenty-two market and functional specialty chemical segments. Compared to last year, volumes were down in six segments.

Specialty chemicals are materials manufactured on the basis of the unique performance or function and provide a wide variety of effects on which many other sectors and end-use products rely. They can be individual molecules or mixtures of molecules, known as formulations. The physical and chemical characteristics of the single molecule or mixtures along with the composition of the mixtures influence the performance end product. Individual market sectors that rely on such products include automobile, aerospace, agriculture, cosmetics and food, among others.

Specialty chemicals differ from commodity chemicals. They may only have one or two uses, while commodities may have multiple or different applications for each chemical. Commodity chemicals make up most of the production volume in the global marketplace, while specialty chemicals make up most of the diversity in commerce at any given time, and are relatively high value with greater market growth rates.

This data is the only timely source of market trends for twenty-eight market and functional specialty chemical segments. Chemistry directly touches over ninety-six percent of all manufactured goods, and trends in these specialty chemical segments provide a detailed view of trends in manufacturing. The data also sheds light on how various consumer end-use markets are performing compared to others in the marketplace.

U.S. Specialty Chemical Market Volume, Percentage Change
(Seasonally adjusted, 3-month moving average – Except YTD)

	Prior	Current	Year/		Year-to-
	Month	Month	Year		Date
	June 18/ May18	July 18/ June 18	July 18/ July 17		YTD 18/ YTD 17
U.S. Total	0.4	0.2		4.8	4.6
Adhesives & Sealants	0.3	0.4		3.3	3.2
Antioxidants	-0.5	-0.1		0.7	0.8
Biocides	0.5	0.1		3.8	4.1
Catalysts	-0.2	-0.1		1.9	1.5
Coatings	0.2	0.1		4.5	3.9
Construction Chemicals	0.1	-0.1		2.5	1.7
Corrosion Inhibitors	0.8	0.5		7.8	7.7
Cosmetic Chemicals	0.8	0.3		7.2	8.0
Dyes	0.1	-0.4		-1.2	-2.8
Electronic Chemicals	1.3	1.4		12.0	10.7
Flame Retardants	-0.5	0.0		-0.5	0.4
Flavors & Fragrances	0.6	0.0		6.2	6.9
Food Additives	0.3	-0.2		3.8	4.3
Foundry Chemicals	0.0	-0.7		2.5	3.1
I&I Cleaners	0.4	0.6		3.0	2.3
Lubricant Additives	-0.9	0.3		-0.4	-1.5
Mining Chemicals	0.1	-1.0		2.0	0.6
Oilfield Chemicals	1.9	1.3		14.3	14.4
Paint Additives	0.0	0.2		2.4	2.4
Paper Additives	0.0	-0.9		-1.9	-2.4
Pigments	-0.4	-0.1		-3.5	-3.2
Plastic Additives	-0.1	0.5		4.3	4.7
Plasticizers	0.0	0.6		4.8	5.3
Plastic Compounding	-0.5	-0.9		1.2	1.6
Printing Ink	0.6	0.0		-1.3	-3.1
Rubber Processing	-0.5	-0.5		0.9	-0.2
Textile Specialties	0.7	-0.1		1.7	0.3
Water Management Chemicals	0.4	0.0		2.2	0.7

Note that there are revisions to several segments as well as revisions to the underlying end-use data.

http://www.americanchemistry.com/newsroom
The American Chemistry Council (ACC) represents the leading companies engaged in the business of chemistry. ACC members apply the science of chemistry to make innovative products and services that make people's lives better, healthier and safer. ACC is committed to improved environmental, health and safety performance through Responsible Care®; common sense advocacy designed to address major public policy issues; and health and environmental research and product testing. The business of chemistry is a $768 billion enterprise and a key element of the nation's economy. It is among the largest exporters in the nation, accounting for fourteen percent of all U.S. goods exports. Chemistry companies are among the largest investors in research and development. Safety and security have always been primary concerns of ACC members, and they have intensified their efforts, working closely with government agencies to improve security and to defend against any threat to the nation's critical infrastructure.

SOURCE American Chemistry Council