The chemical industry has long been a part of America’s critical infrastructure.
Not only is the business of chemistry essential to the functioning of our society and economy, it is essential to our national security.
The chemical sector is comprised of four main areas: basic chemicals, specialty chemicals, life science and consumer products.
Chemical manufacturing is a cornerstone of the U.S. economy, supporting over 25 percent of the U.S. GDP and employing nearly one million people. In Texas, the chemical industry pays over $2 billion in state and local taxes annually and sustains nearly 500,000 jobs with an average salary of over $100,000. Chemical products manufactured in Texas account for over $45 billion in exports, and plastics and commodity chemicals are the number one non-energy export for Texas.
The chemical sector is relied on by a variety of other industrial sectors, including transportation, drinking water and water treatment plants, agriculture and food, information technology and telecommunications. But none more so than energy.
In Texas, the chemical industry pays over $2 billion in state and local taxes annually and sustains nearly 500,000 jobs with an average salary of over $100,000.
The U.S. shale economy, providing an abundant supply of natural gas, has created a manufacturing renaissance for our industry in Texas. It continues to fuel growth in our sector and in our state. Since 2010, we have had over 90 announced projects with over $75 billion in new investment in Texas, creating over 150,000 new jobs to construct, operate, and maintain these state-of-the-art manufacturing plants. Our economic success revolves around energy. With the strain on the global supply chain, the war in Ukraine and political tensions in Asia, reducing our reliance on other nations is more important than ever.
While we depend on natural gas as an energy source and as a feedstock, chemistry is emerging as a leader in moving us toward energy independence. We are working to help develop alternative sources of safer, cleaner renewable energy. A major challenge of harnessing the sun and wind is the need for energy storage. We are contributing to development of new technologies through improved batteries, materials for photovoltaics and wind turbines. Chemical products are also instrumental in conserving energy. Products such as insulation, LED lights, fuel additives, paints and sealants make our homes and cars more energy efficient.
The products and innovations of chemistry are helping us meet the challenges of our time. In addition to the essential products we already manufacture, our industry has proven itself willing and able to rise to the occasion when our nation and communities face challenges.
Many chemical manufacturing plants agilely retooled to answer the call for PPE and disinfectants in response to the COVID-19 pandemic. During winter storm Uri, member companies were able to provide supplemental power to our state’s electric grid, helping to avoid catastrophic grid failure.
Our industry harnesses chemistry to improve our quality of life through the products that make us safer, healthier and happier. It also nimbly pivots to provide solutions to the challenges that arise unexpectedly. The health and welfare of our society depend on the business of chemistry. So does our economy and national security.
For more information, visit www.texaschemistry.org or www.acit.org.
