Chemical Engineering March 2014 - 71

Economic Indicators
2011
2012
2013
CHemiCAl engineering plAnt Cost indeX (CepCi)
(1957-59 = 100)
dec. '13
Prelim.
CE Index
Equipment
Heat exchangers & tanks
Process machinery
Pipes, valves & fittings
Process instruments
Pumps & compressors
Electrical equipment
Structural supports & misc
Construction labor
Buildings
Engineering & supervision
567.6
687.9
621.6
656.0
875.7
412.6
925.8
513.8
746.9
318.8
532.9
322.5
Nov. '13
Final
566.6
686.6
620.6
653.2
873.9
411.4
924.3
514.1
746.3
317.8
532.8
323.4
dec. '12
Final
571.9
693.6
634.7
657.6
895.8
415.7
899.6
511.4
734.5
321.3
526.8
326.9
dOwNLOAd THE cepci TwO wEEKS SOONER AT www.che.com/pci
650
Annual
Index:
2005 = 468.2
2006 = 499.6
2007 = 525.4
2008 = 575.4
2009 = 521.9
2010 = 550.8
2011 = 585.7
2012 = 584.6
600
550
500
450
400
J F M A M J J A S O N D
2014
Current Business indiCAtors*
CPI output index (2007 = 100)
LATEST
Jan. '14 =
CPI value of output, $ billions
CPI operating rate, %
Producer prices, industrial chemicals (1982 = 100)
Industrial Production in Manufacturing (2007 = 100)
Hourly earnings index, chemical & allied products (1992 = 100)
Productivity index, chemicals & allied products (1992 = 100)
Cpi output indeX (2007 = 100)
100
110
120
70
80
90
J F M A M J J A S O N D
1000
1300
1600
1900
2200
2500
J F M A M J J A S O N D
*Current Business Indicators provided by IHS Global Insight, Inc., Lexington, Mass.
Jan. '14 =
Jan. '14 =
Jan. '14 =
Jan. '14 =
Jan. '14 =
88.8
294.0
96.4
157.7
106.7
Dec. '13 =
Dec. '13 =
PREVIOUS
89.1 Nov. '13 =
Dec. '13 = 2,177.5 Nov. '13 = 2,149.0
74.8
75.1 Nov. '13 =
Dec. '13 = 294.2 Nov. '13 =
Dec. '13 =
97.2 Nov. '13 =
Dec. '13 = 158.7 Nov. '13 =
Dec. '13 = 107.7 Nov. '13 =
Cpi output VAlue ($ Billions)
60
65
70
75
80
85
J F M A M J J A S O N D
88.6
Oct. '13 = 2,140.7
74.7
291.5
97.0
157.4
106.7
YEAR AGO
Jan.'13 =
Jan.'13 =
Jan.'13 =
Jan.'13 =
Jan.'13 =
Cpi operAting rAte (%)
88.3
Dec.'12 = 2,153.4
Jan.'13 =
75.0
305.4
95.2
155.0
105.6
HigHligHts From reCent ACC Weekly reports
Current trends
T
he first Chemical Activity Barometer (CAB) reading of 2014 showed strengthening, which points
to continued growth and an improving U.S. economy throughout 2014, according to the AmeriP
can
Chemistry Council (ACC; Washington, D.C.; www.americanchemistry.com). In January, the CAB
ticked up to 94.0, increasing 0.2 points over December on a three-month moving average (3MMA)
basis. This marks the ninth consecutive monthly gain for the CAB, which is now up 2.6% over a year
ago. This growth is at a more moderate pace since the 0.4% gain last seen in September 2013. The
CAB is an established leading economic indicator, shown to lead U.S. business cycles by an average
of eight months at cycle peaks, and four months at cycle troughs.
Other data recently reported by ACC in their Weekly Chemistry and Economic Reports include
U.S. exports of chemicals, which grew 0.4% in 2013, while chemical imports declined by 1.0%.
This gain expanded the trade surplus for the U.S. chemical industry to $3.4 billion. The value of the
exports was $189.1 billion in 2013, while the value of the imports was $185.7 billion. However,
a large deficit exists for the trade of pharmaceuticals. If pharmaceuticals are excluded, the surplus
grows to $41.3 billion. This value is slightly larger than the $41.2 billion surplus that was observed
in 2012, ACC said.
In addition, U.S. specialty chemical market volumes rose 1.0% in December. This follows a 1.1%
gain in November and a 0.6% gain in October. Of the 28 specialty chemical segments monitored
by ACC, 25 expanded in December. Those segments with large gains (defined at 1.0% or greater)
include the following: adhesives and sealants; construction chemicals; electronic chemicals; food additives;
foundry chemicals; lubricant additives; mining chemicals; paint additives; and pigments and
printing ink. Finally, the U.S. Chemical Production Regional Index rose by 0.8% in December, following
a 0.3% gain in November, according to ACC. ❑
72 ChemiCal engineering www.Che.Com marCh 2014
reliminary data for the December
2013 CE Plant Cost
Index (CEPCI; top; the most recent
available) show a small increase
(0.17%) in the overall index
compared to the November final
index value. The subindices for
equipment all rose in December
compared to the previous month,
except for the electrical equipment
index. The current CEPCI value
stands at 0.75% lower than the
value from a year ago. Meanwhile,
updated values for the Current
Business Indicators (CBI) from
IHS Global Insight (middle) saw
the CPI value of output rise in December
of last year, while all other
CBI values declined slightly in the
first month of 2014. Compared to
a year ago, five of the indicators
are higher, while two are lower. ❑
http://www.che.com/pci http://www.americanchemistry.com http://www.Che.Com
Chemical Engineering March 2014

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