07.01.16
The Specialty Chemicals Market Volume Index, a tool created by the American Chemistry Council (ACC), entered the second quarter of 2016 on a quiet note, slipping 0.3% on a three-month moving average basis in April.
The trend has been choppy and April’s decline was preceded by revised flat activity in March and a 0.1% drop in February, said the association. Weakness in oilfield chemicals and mining chemicals, among other segments, weighed on overall volumes.
Of 28 specialty chemical segments monitored, 11 expanded in April, three were flat, and fourteen declined. No segments experienced large gains (1.0% and over) in underlying market volumes.
The overall specialty chemicals volume index was off 1.8% year-over-year also on a three-month basis. Year-earlier comparisons were generally in the 4.0-6.8% range during 2012-2014 but since February 2015 they have fallen below that range as the downturn in the oil and gas sectors affected headline volumes. The strong US dollar also impacted several export-oriented customer industries. Weakness spread to other segments as well and year-earlier comparisons have been negative since second quarter 2015.
Still, on a Y/Y basis, gains are fairly widespread among most market and functional specialty chemical segments. With few exceptions, however, year-earlier comparisons have been moderating, according to ACC.
The trend has been choppy and April’s decline was preceded by revised flat activity in March and a 0.1% drop in February, said the association. Weakness in oilfield chemicals and mining chemicals, among other segments, weighed on overall volumes.
Of 28 specialty chemical segments monitored, 11 expanded in April, three were flat, and fourteen declined. No segments experienced large gains (1.0% and over) in underlying market volumes.
The overall specialty chemicals volume index was off 1.8% year-over-year also on a three-month basis. Year-earlier comparisons were generally in the 4.0-6.8% range during 2012-2014 but since February 2015 they have fallen below that range as the downturn in the oil and gas sectors affected headline volumes. The strong US dollar also impacted several export-oriented customer industries. Weakness spread to other segments as well and year-earlier comparisons have been negative since second quarter 2015.
Still, on a Y/Y basis, gains are fairly widespread among most market and functional specialty chemical segments. With few exceptions, however, year-earlier comparisons have been moderating, according to ACC.