Plastics Industry Welcomes Talk Of Infrastructure Funding

March 14, 2017
A new report from the American Chemistry Council says that plastics growth could be hurt by capacity problems in the U.S. transportation system.

Capacity problems in the U.S. transportation system threaten to upend growth in the plastics industry, according to an article from Plastics News. A new report from the American Chemistry Council (ACC) cites the plastics sector as one that may be most affected by transit bottlenecks as polyolefin capacity is projected to grow by 68% through 2021, with much of that investment coming from the already congested Gulf Coast.

According to the article, the ACC cites significant concern among plastics manufacturers over the Gulf Coast region’s ability to handle large increases in plastics shipments, especially for export. The Trump administration’s talk of the need for a major infrastructure funding bill is welcome news, according to Cal Dooley, president and CEO of ACC, who reportedly said nearly half of the investment in manufacturing last year came in the chemical industry. Dooley notes that there will be major impediments to continued growth without the appropriate infrastructure in place. The industry reportedly faces significant additional operating costs to handle transportation bottlenecks and a doubling of the delays in rail shipments.

Read the entire article here

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