The last couple of years have been challenging for the US chemical industry, but headwinds may begin to lessen in 2025 amid lower interest rates and economic growth. The American Chemistry Council expects output to increase by 1.9% this year, although analysts warn that tariffs under the incoming Trump administration could increase inflation and create other challenges. Wood Mackenzie also reports that an estimated 24% of ethylene facilities worldwide are at risk of closure due to oversupply, but notes that the US is relatively safeguarded from the trend.
Container shipping rates from Asia to the US are rising due to potential tariffs proposed by President-elect Donald Trump, despite a tentative agreement between US ports and dockworkers. Some retailers are front-loading imports to avoid future cost increases, contributing to the pressure on shipping rates.
The growing energy needs of AI data centers and manufacturing facilities are driving plans for up to 80 new natural gas-fired power plants in the US by 2030, which could increase power capacity by 46 gigawatts, according to Enverus. Major oil companies such as ExxonMobil and Chevron are also joining the fray with projects designed to power AI data centers directly, bypassing the traditional grid.
Texas refineries are stepping up winterization efforts as they brace for the season's first storm and potentially the coldest January in over a decade. Motiva Enterprises has enhanced insulation at its 626,000-barrel-per-day Port Arthur refinery, while ExxonMobil has bolstered staffing at its 609,000-barrel-per-day Beaumont refinery.
US wholesale inventories decreased by 0.2% in November, largely behind steep drops in long-lasting manufactured goods such as vehicles and computer equipment, according to Census Bureau data. Overall, inventories were up 0.8% from a year ago. Wholesale sales increased by 0.6% to $678 billion in November after a 0.3% decrease a month earlier. Inventory-to-sales ratios fell to 1.33 from 1.34 in the previous month.
A new study by researchers at the University of California, Davis and Stanford highlights the potential of building materials like concrete and plastic to store billions of tons of carbon dioxide, helping reduce greenhouse gas emissions alongside economic decarbonization efforts. By integrating processes such as adding biochar or using carbonated aggregates in concrete--already the world's most widely used building material--these innovations could sequester significant amounts of CO2 while promoting a circular economy.
Leaders should embrace agile optimism, which is more open-minded than fragile optimism that hinges on positive outcomes, writes Nick Tasler, an organizational psychologist. "Believing that you or your team can accurately predict all the details on the road to your desired outcome without making any missteps ensures that it's only a matter of time before your fragile optimism shatters into a thousand little pieces," Tasler writes.
The American Chemistry Council's High Phthalates Panel issued the following statement on the U.S. Environmental Protection Agency's (EPA) completion of a final manufacturer-requested risk evaluation for DIDP under the Toxic Substances Control Act (TSCA):
The ACC High Phthalates Panel recognizes the effort by EPA to generate a comprehensive risk evaluation for DIDP, that was requested in 2019 by the manufacturers of this substance under the 2016 amendments to TSCA. Read more.
The number of new jobless claims fell by 10,000 to 201,000 during the week ending January 4. Continuing claims increased by 33,000 to 1.867 million, and the insured unemployment rate for the week ending December 28 was unchanged at 1.2%. Read more.
