The outlook for most of the US chemical market is strong despite ongoing supply chain problems, according to Kevin Swift, a former chief economist at the American Chemistry Council (ACC). Speaking in a virtual meeting hosted by Societe de Chimie Industrielle, Swift said the US chemical sector would experience growth in the coming years despite severe weather-related disruptions, such as Hurricane Ida in late August and the Gulf Coast deep freeze in February.
According to Swift, the US GDP has returned to its pre-pandemic peak in the second quarter, providing a “fairly good” environment for the chemical industry to expand. He expects US industrial output to increase by 5.5% in 2021 and by 4.5% in 2022. He added that chemical demand would grow in all end markets, especially in durable goods manufacturing as well as construction, oil & gas, computers & electronics, and plastic products. On the other hand, demand from the automotive, aerospace, and appliances sectors is expected to slow down due to supply chain constraints.
