Chemical industry production increased in November, by 0.4% globally, and by 0.6% in the U.S., according to the latest edition of the Weekly Chemistry and Economic Report from the American Chemistry Council (ACC; Washington, D.C.; www.americanchemistry.com).
The 0.4% gain in global chemical-industry production represents a moderated pace compared to earlier in 2010, but on a three-month moving average basis, the production level is 7.6% higher than one year ago at this time. "Most leading indicators of global industrial production signal moderated gains into early 2011," the ACC report says, "but a possible pick-up later" in the year.
In the U.S., chemical production increased in all geographic regions, ACC data suggest, with the largest gains occurring in the Gulf Coast and Ohio Valley regions. ACC also pointed out that individual product reports for production of several resins show good year-over-year comparisons, despite "some seasonal softening."
In the wider economy, most economic data released over the past two weeks were positive, ACC says, but those related to housing remain below expectations. ACC points to data suggesting continued rises in consumer spending and early reports of a strong holiday shopping season.
Looking ahead to 2011 and 2012, ACC forecasters see a positive outlook in part due to legislative actions that extended the current lower tax rates that were originally slated to expire at the end of 2010. In the jobs area, hiring is expected to move ahead in 2011 and 2012, but "it will take year for jobs to reach peak levels prior to the recession," ACC says. "As a result, income growth will lag historical norms," the organization adds.