The American Chemistry Council’s Global Chemical Production Regional Index (Global CPRI) shows that global chemicals production rose 0.6% in July, a quicker pace than June and May, as measured on a three-month moving average (3MMA) basis. During July, production increased in North America, Western Europe, Central and Eastern Europe and the Asia-Pacific region but declined in Latin America and Africa and the Middle East. The Global CPRI was up 2.6% year-over-year (Y/Y) on a 3MMA basis and stood at 111.1% of its average 2012 levels in June.
During July, capacity utilization in the global business of chemistry rose 0.4 percentage points to 80.6%. This is up from 80.4% last July and is below the long-term (1987-2016) average of 88.8%.
Results were generally positive on a product basis during July, with gains in pharmaceuticals, agricultural chemicals, consumer products, synthetic rubber, manufactured fibers, coatings and other specialty chemicals. Considering year-over-year comparisons, growth was strongest in coatings followed by organic chemicals, plastic resins and agricultural chemicals.
ACC’s Global CPRI measures the production volume of the business of chemistry for 33 key nations, sub-regions and regions, all aggregated to the world total. The index is comparable to the Federal Reserve Board (FRB) production indices and features a similar base year where 2012=100, according to ACC. This index is developed from government industrial production indices for chemicals from over 65 nations accounting for about 98 percent of the total global business of chemistry. This data is reportedly the only timely source of market trends for the global chemical industry and is comparable to the US CPRI data, a timely source of U.S. regional chemical production.
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