May 01 | 2019
US$87 Billion Cumulative Investment
Investment in the Texan petrochemical sector is driving growth in the U.S. downstream sector, accounting for about half of new projects since 2010, according to data from the American Chemistry Council.
The figures show that 148 of 334 announced projects are in Texas, representing US$87 billion out of a cumulative investment of US$205 billion in the U.S. sector to date, and signifying a strong locus for breakbulk demand in the country.
“The U.S. remains the most attractive place in the world to invest in chemical manufacturing. We look forward to continuing to transform energy into a stronger economy and new jobs,” said Cal Dooley, ACC president and CEO.
Texas is home to more than 50 energy-related companies on the Fortune 1000 list and its refineries have an estimated capacity of more than 5.7 million barrels of crude oil per day, accounting for 31 percent of total U.S. refining capacity, according to the Energy Information Adminsitaration (EIA).
USMCA Support
To further support growth in the sector, the ACC also called for ratification of the U.S.-Mexico-Canada Agreement, or USMCA, to enable U.S. chemicals manufacturers to create a North American model for chemical regulation.
“ACC strongly supports the the USMCA’s final Sectoral Annex for Chemical Substances, which embraces the principles the North American chemical industry jointly recommended to enhance regulatory cooperation,” a spokesperson for the ACC said.
The new regulation aims to modernize rules-of-origin, prevent any new tariffs, enhance cooperation – all bolstering the case for increased breakbulk activitiy within the tri-country region.
Based in Washington, D.C., the ACC is an independent trade association committed to fostering progress in global relations for the domestic industry.
MTB Duty Suspensions
To this end, the organization recently called for a reduction in tariffs for the industry under the government’s Miscellaneous Tariff Bill, or MTB.
Given recent trade tensions with China, the ACC has been vocal over the need to expedite conditions for greater international petrochemicals shipments.
“Tariffs impact US$2.2 billion in imports of chemicals and plastics … ACC’s analysis [indicates] tariffs severely undercut the benefits of the MTB, not just for chemicals and plastics, but all products in the MTB that U.S. companies import from China,” a spokesperson for ACC said.
The figures show that 148 of 334 announced projects are in Texas, representing US$87 billion out of a cumulative investment of US$205 billion in the U.S. sector to date, and signifying a strong locus for breakbulk demand in the country.
“The U.S. remains the most attractive place in the world to invest in chemical manufacturing. We look forward to continuing to transform energy into a stronger economy and new jobs,” said Cal Dooley, ACC president and CEO.
Texas is home to more than 50 energy-related companies on the Fortune 1000 list and its refineries have an estimated capacity of more than 5.7 million barrels of crude oil per day, accounting for 31 percent of total U.S. refining capacity, according to the Energy Information Adminsitaration (EIA).
USMCA Support
To further support growth in the sector, the ACC also called for ratification of the U.S.-Mexico-Canada Agreement, or USMCA, to enable U.S. chemicals manufacturers to create a North American model for chemical regulation.
“ACC strongly supports the the USMCA’s final Sectoral Annex for Chemical Substances, which embraces the principles the North American chemical industry jointly recommended to enhance regulatory cooperation,” a spokesperson for the ACC said.
The new regulation aims to modernize rules-of-origin, prevent any new tariffs, enhance cooperation – all bolstering the case for increased breakbulk activitiy within the tri-country region.
Based in Washington, D.C., the ACC is an independent trade association committed to fostering progress in global relations for the domestic industry.
MTB Duty Suspensions
To this end, the organization recently called for a reduction in tariffs for the industry under the government’s Miscellaneous Tariff Bill, or MTB.
Given recent trade tensions with China, the ACC has been vocal over the need to expedite conditions for greater international petrochemicals shipments.
“Tariffs impact US$2.2 billion in imports of chemicals and plastics … ACC’s analysis [indicates] tariffs severely undercut the benefits of the MTB, not just for chemicals and plastics, but all products in the MTB that U.S. companies import from China,” a spokesperson for ACC said.
