The U.S. Chemical Production Regional Index (CPRI) eased by 0.1% in June following gains of 0.5% in May and 1.0% in April, according to the American Chemistry Council (ACC).
On a three-month moving average (3MMA) basis, chemical output within segments was mixed in June, ACC said. There were gains in the production of synthetic rubber, industrial gases, coatings, manufactured fibers, synthetic dyes and pigments, adhesives, other organic chemicals, crop protection chemicals, other specialty chemicals, and fertilizers. But these gains were offset by lower production of plastic resins, organic chemicals, and consumer products.
As nearly all manufactured goods are produced using chemistry in some form, manufacturing activity is an important indicator for chemical demand. Manufacturing output eased by 0.1% in June. The 3MMA trend in manufacturing production was mixed, with gains in the output of motor vehicles, aerospace, iron and steel, oil and gas extraction, and rubber products.
Compared with June 2021, U.S. chemical production was ahead by 2.5%, a slower rate of growth than last month. Chemical production was higher than a year ago in all regions except the Gulf Coast, which was 0.5% lower.
The U.S. CPRI was developed to track chemical production activity in seven regions of the United States. The index is based on information from the Federal Reserve, and as such, includes monthly revisions as published by the Federal Reserve. To smooth month-to-month fluctuations, the June reading reflects production activity during April, May, and June.