US trade group sees chemical growth

On the back of a US economy on “solid footing,” the American Chemistry Council (ACC), a trade group, expects the US chemical sector to post upbeat results in 2024 and 2025. After a 1.3% decline in 2023 due largely to inventory destocking, the ACC forecasts that chemical output volumes will rise by 2.2% in 2024 and 1.9% in 2025. The group expects economic growth of 2.4% this year and 1.7% in 2025 as inflation calms and recession fears ebb. “Looking ahead, the U.S. economy will drive up demand across many key chemistry end-use industries, which should tee up a healthy increase in chemical output,” Martha Moore, ACC’s chief economist, says in the report. The council expects US automotive sales to increase slightly, to 15.7 million units, in 2024 and to 16.3 million units next year. It also says that, despite higher borrowing costs, demand for new homes in the US will maintain housing starts at 1.4 million units.