The American Chemistry Council’s new report examines the economic benefits of U.S. chemical industry investments linked to robust and low-cost supplies of natural gas from shale. Renewed competitiveness in America’s chemical industry has led dozens of companies to announce that they will expand U.S. production capacity – creating jobs, growing payrolls, and enabling new tax revenue.
The study analyzes 97 chemical industry investment projects – valued at $71.7 billion – that have been publicly announced through the end of March 2013. By 2020, the projects can lead to 46,000 new chemical industry jobs, another 264,000 jobs in supplier industries and 226,000 ‘payroll induced’ jobs in communities where workers spend their wages, and can generate $20 billion in federal, state and local tax revenue. Nearly 1.2 million additional, temporary jobs can be created between 2010 and 2020, during the capital investment phase.
The report is the third in a series studying the potential economic benefits of shale gas. ACC’s first report, released in March 2011, examined the economic impact of increased petrochemicals production based on a hypothetical 25 percent increase in ethane supply. The second, released in May 2012, considered the impact of lower natural gas prices and renewed competitiveness on eight key manufacturing industries: paper, chemicals, plastic and rubber products, glass, iron and steel, aluminum, foundries and fabricated metal products.
Link: ACC Press Release