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ACC says economic recovery has stalled

19/12/2011


The recovery from the worst recession since the great depression has stalled, say economic experts at the American Chemistry Council, in a year-end review. In Europe, a recession is emerging and growth is slowing in East Asia, notes ACC chief economist Thomas Kevin Swift.
“The United States has not been immune from these forces,” and recovery in the U.S. has slowed as a result, the ACC notes. Industrial sector output continues to expand and consumers are tentatively reengaging but there is much lost ground to recover.
ACC also comments that the “risks to recovery remain high,” and globally, the emerging markets have shown the strongest growth. “This will continue,” ACC feels, and along with favorable energy dynamics will aid US chemical exports in the years to come, said the group.
According to ACC, once some near-term softness is past, the outlook for chemicals is for “modest growth over the next several years,” which depends on strengthening domestic demand and an improvement in exports abroad.
A final prediction is that a strong recovery in profits and “the shale-gas revolution” will lead to further investment in innovation and plant and equipment.

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