A report released today [Monday] by the International Council of Chemical Associations (ICCA), in conjunction with the start of the Fourth United Nations Environmental Assembly taking place in Nairobi, says the chemical industry in 2017 made an estimated $5.7 trillion contribution to world GDP through direct, indirect, and induced impacts, equivalent to 7% of the world’s GDP, and supporting 120 million jobs worldwide.
ICCA commissioned Oxford Economics to provide a detailed assessment of the chemical industry’s contributions to the global economy. The report says that for every $1 generated by the chemical industry, a further $4.20 is generated elsewhere in the global economy. Companies in the chemical industry spent an estimated $3 trillion with their suppliers in 2017, buying goods and services used in the manufacture of their products. This supply chain spending contributed an estimated $2.6 trillion to global GDP and supported 60 million jobs.
The largest contributor to GDP and jobs was the Asia Pacific chemical industry, generating 45% of the industry’s total annual economic value and 69% of all jobs supported. Europe made the next most important contribution with $1.3 trillion total GDP contribution and 19 million jobs supported, followed by North America at $866 billion total GDP contribution and 6 million jobs supported.
The global chemical industry invested an estimated $51 billion in R&D in 2017, supporting 1.7 million jobs and $92 billion in economic activity. China was home to the largest chemical R&D spend, with an investment of $14.6 billion, followed by the United States and Japan, with a $12.1 billion and a $6.9 billion investment, respectively. Germany’s spend on R&D reached $4.6 billion, followed by South Korea at $2.2 billion, France $2.1 billion, India $1.8 billion, and the United Kingdom $1.2 billion.
“This report makes clear that the chemical industry is an irreplaceable contributor to global GDP, a source of skilled employment opportunities and a major enabler of progress in the environmental, social, and economic aspects of sustainable development as reflected in the United Nation’s Sustainable Development Goals,” said Cal Dooley, ICCA council secretary and president and CEO of the ACC.
“This new analysis underscores the essential role that the chemical industry plays in driving economic growth and creating opportunity for millions of people around the world, but the chemical industry’s impact goes beyond economic value,” said Marco Mensink, director general of Cefic. “Working in partnership with United Nations Environment through the Strategic Approach to Chemicals Management, we are deeply committed to building capacity to safely manage chemicals through their production, transport, use, and disposal, and have held over 230 workshops in 45 countries.”
By Natasha Alperowicz
Source: Chemical Week
France has launched an offshore green hydrogen production platform at the country’s Port of Saint-Nazaire this week, along with its first offshore wind farm. The hydrogen plant, which its operators say is the world’s first facility of its type, coincides with the launch of another “first of its kind” facility in Sweden dedicated to storing hydrogen in an underground lined rock cavern (LRC).
The project sets up the Hydrogen Valley in Rome, the first industrial-scale technological hub for the development of the national supply chain for the production, transport, storage and use of hydrogen for the decarbonization of industrial processes and for sustainable mobility.
At first glance, hydrogen seems to be the perfect solution to our energy needs. It doesn’t produce any carbon dioxide when used. It can store energy for long periods of time. It doesn’t leave behind hazardous waste materials, like nuclear does. And it doesn’t require large swathes of land to be flooded, like hydroelectricity. Seems too good to be true. So…what’s the catch?