C. C. CONCANNON, Chief, Chemical Branch, Office of lnternationa/ Trade, Washington, D. C.
U. S. Department of Commerce,
U N I T E D STATES foreign trade in chemicals and allied products, although reaching an all-time high of $1,205,000,000 in the 12 months of 1947, began in the third quarter of that year to show a gradual downward movement. By 1949, total imports and exports amounted to $1,081,000,000, a 10% decline from the 1947 record, yet three times higher than in 1939. (All 1949 figures in this report are preliminary and subject to revision.) The total value of foreign chemical trade in 1949 consisted of $851,000,000 in exports and $230,000,000 in imports. The decline of 29% in receipts from the high point in 1947 far exceeded that of outgoing shipments, which registered only a 3.5% drop. From 1948 to 1949, our purchases in foreign countries fell 17%, while sales abroad were less than 1% lower. This imbalance of trade could be a serious deterrent to further expansion of exports, although it is not essential that imports and exports balance in any individual phase of our trade. The changes that took place were inevitable under existing conditions, which were bound to affect international trade. War-ravaged countries were in dire need of chemicals immediately after the war, but, as they began to recover, they were able to supply some of their requirements. And, too, lack of dollars forced them to confine their purchases to the most essential items. Thus, markets for United States
lune 1950
INDUSTRIAL A
~ EDN G I N E E R I N G C H E M I S T R Y
chemicals were reduced somewhat. Our need from foreign countries has lessened since the war; having had to rely almost entirely on domestic production, the United States had geared its chemical industry to meet home demands, so that a majority of the shortages existing during and immediately following hostilities have been eliminated. Moreover, the United States is reluctant to buy chemicals abroad when those readily available here are of superior quality and lower cost. During the years 1947-49, the entiie world, with the exception of a few small countries, was an outlet for United States chemicals and allied products. The few changes which have taken place in that period in the relative positions of area markets are indicative of the general stability of chemical trade. Europe and North America have run a close race as top buyers, with North America in the forefront in 1949 by a very small margin. The two areas together took more than half the chemicals exported by the United States in each of the 3 years. Europe’s share in 1949 was 11% less than in 1947 and 2% less than in 1948,while North America’s purchases gradually picked up over the period. Asia moved ahead of South America to third place in 1947 and has remained in that position, chiefly because of large shipments of fertilizers to Hong Kong, Korea, and Japan. Far Eastern areas took almost one fourth of total exports of chemicals in 1949, registering an increase of 7% over the $190,000,000worth bought in 1948 and a 19% gain over the 1947 figure. Since South America lost its position as third best market in 1947,its purchase8 have continued downward,
1003
partly because of Argentina’s tremendous cut in imports of United States chemicals. I n 1949 that country bought only one fifth of the amount obtained in 1947 and less than one third of the total purchased in 1948. Otherwise, gains and losses within the area were fairly well balanced. Shipments to Oceania and Africa remained comparatively small in 1949; receipts of both areas showed considerable reduction from 1947. Oceania, however, recorded the greatest gain of any area compared with 1948. Leading Countries Canada, always our chief market, continues each year to purchase more and more chemicals, I n 1949, $125,000,000 worth, a little more than half of our chemical exports to North America and 15% of total shipments, was sent to that country. Mexico and Cuba were the only other outstanding markets in North America, with Mexico the third largest buyer in the combined areas. In South America, Brazil stood out as our best customer and was second largest purchaser in the world. Next in order of importance in South America were Venezuela, Colombia, Chile, and Peru. Argentina, which held sixth place in 1947 and 1948,fell to the bottom of the list of principal customers. Although the United Kingdom remained the chief European outlet, with purchases amounting to $46,000,000in 1949, it dropped from second to fourth place in world markets. Sharp declines in Argentine and British purchases resulted from similar internal austerity programs, increased domestic production, and restrictions on importation from dollar areas of goods not strictly essential. France, Italy, and
1004
INDUSTRIAL AND ENGINEERING CHEMISTRY
(Icr111:~iiy increased their puihises to such an extent in 1949 tli:it they :q)pearetl once inoi’e on tile list of best customers; i i i fwt, Praiice became our fifth largest buyer. Shipments to 13elgiuin, the .Netherlands, and Switzerland fell off somewhat, but these countries still were fairly good European nutrkets. The Republic of the Philippines was the leading outlet in Askt and sixth best world market in 1949. Japan and Korea followed, with spectsculsr increases over 1947 figwes and considerable gains over 1948. As mentioned before, these resulted to a great extent from huge amounts of fertilizers bought from the United States. India held third place in world markets in 1947, fifth place in 1948, and dropped to 14th place in 1949. This was caused chiefly by the G3% decline in sales of soda ash, as India was our best customer for that commodity in 1948. The Union of South Africa, Egypt, and the Belgian Congo were the three best buyers in Africa; although the Union’s purchases decreased in 1949 after a fairly sizable rise in 1948 from the previous year, sales to both of the other countries increased somewhat. Import and Export Commodities
Many new chemicals have found ready acceptance on foreign markets in the past decade; most of them now are included in the basket classes, “Chemical Specialties, n.e.s.” and “Industrial Chemicals, n.e.s.” In 1949 exports of these two classes were valued a t $25,000,000 and $8,000,000, respectively. However, a few other chemical specialties have attained sufficient prominence to have. separate classes established for them-for example, exports of rubber-compounding agents exceeded $5,000,000in value in 1949; DDT, $4,700,000; textile-specialty compounds, $4,200,000; and antiknock compounds not of petroleum origin, $22,700,000. Perhaps, however, the outstanding new developments occurred in synthetic resins and plastics materials. SYNTHETIC RESINSAND PLASTICS MATERIALS.Exports of synthetic resins and plastics materials were maintained in 1949-$55,100,000-at a better rate than those of chemicals and allied products as ,a whole. Thus, they were an important factor in upholding foreign trade in this branch of our economy. Vinyl and polystyrene resins and copolymers were in even greater demand in foreign countries than in the past; dollar sales abroad increased 20% over 1948. Seven primary markets, those taking over 5,000,000pounds of synthetic resins and plastics materials in 1949, accounted for 64% of all plastics materials exported; 20 countries, purchasing between 1,000,000 and 5,000,000 pounds of these materials, accounted for 30%; and the balance went to a large number of smaller markets. Although Canada and the United Kingdom continued as our principal outlets, increases of 50 and 74%, respectively, were recorded over 1948 shipments to Asia and Oceania. Of the older lines, alkalies, dyes, and medicines likewise merit brief attention. ALKALIES.Revived competition from Britain in world soda-ash markets was one of the major factors in causing the greatly reduced United States exports in 1949, although total volume of both British and American exports of soda ash in 1949 was in itself about 40% below 1948 shipments. In the case of caustic soda, the decline of approximately 8000 tons in United States sales compared with 1948 was partly taken up by a 3000-ton increase in British exports in 1949. However, 1949 United States exports of caustic soda maintained a much better relationship os. 1948 than did those of soda ash. With British expansion of caustic soda output scheduled to materialize this year, there is a possibility of a further United States decline in the year ahead. DYES. Exports of coal-tar dyes in 1949 were 30,000,000 pounds ($45,000,000), 29% less than in 1948 and 54% less
Vol. 42,
No. 6
than in 1947. Decreased shipments were most evident in sulfur black arid synthetic indigo. Sulfur black exports dropped from 11,400,000 pounds in 1947 to 3,600,000 in 1948 and to 2,600,000 in 1949. Synthetic indigo showed a similar pattern, declining from 8,800,000 pounds in 1947 to 3,700,000 in 1948, and to 1,100,000 in 1949. China, Hong Kong, and India were the largest markets. The reduction resulted largely from China’s unsettled internal conditions and restrictions on the importation of dyes from hard-currency countries, as well as from an Indian Government regulation of early 1949 which reduced the amount of cloth to be dyed or printed from 22% to 8% of output. The main cause of the over-all reduction in United States coal-tar dye exports is the mounting competition from countries with greatly increased output, such as the United Kingdom, whose production in 1948 was twice that of 1938. Several other European countries are producing coal-tar dyes in greater volume and the markets available for the United States are shrinking. DRUGSAND PHARMACEUTICALS. Continuing the unbroken trend of the past 12 years, overseas shipments of United States pharmaceuticals attained a new peak of $198,200,000 in 1949,4% larger than the $191,000,000sales in 1948. Average monthly exports last year were equivalent to the total of the entire year of 1938. Guided by the trend in demand and commodity developments, drug exports in 1950 should be in the neighborhood of $225,000,000. The spectacular feature is the antibiotics, which represented 43% of total drug exports, or $85,800,000 in 1949. The erection of penicillin plants in overseas countries by us and others has seemingly had little effect on outward movement of the products; even more encouraging has been the growth of streptomycin. whose sales are now exceeding those of penicillin. Streptomycin exports were valued a t $40,000,000 and penicillin a t $39,700,000 in 1949. Exports of toilet preparations in 1949 did not reflect the true potential for such products because import and exchange controls in certain important markets impeded fulfillment of existing demand. The value of $11,800,000 declined 18% from that of 1948, largely the result of decreased trad6 with the Republic of the Philippines and the Union of South Africa. Excluding these two countries from the export total, a net gain of 9% was chalked up for the remaining world markets. This gain is a favorable indication of the potentialities which exist for United States products in some of the remaining 92 countries which participated in 1949 trade. Imports
The tremendous growth of the United States chemical industry, the tendency to utilize domestic supplies which are readily available and of high quality and wide variety, lower transportation costs, and development of synthetic materials which haye replaced certain natural ones-these are some of the factors that account for the considerable difference in value of chemical imports compared with exports. In some cases-that of carnauba wax, for exampleimports may be expected to continue at present levels. No competition exists in this type of trade; the market depends on supply and demand. Generally, the items that are important in chemical import trade today are those that were large prewar. Changes may appear if foreign countries make vigorous attempts to increase their sales of chemicals in the United States. Perhaps some specialty items and certain products not now outstanding may serve to reverse the trend toward declining imports of chemicals. However, it seems unlikely that imports will exceed the 1947 peak for some time a t least. The only group increase was in fertilizers-lO% over 1948 and 44% over 1947. This was chiefly in calcium nitrate;
INDUSTRIAL AND ENGINEERING CHEMISTRY
June 1950
iniports from Norway rose 259% between 1948 and 1949. After Canada and Chile, Iforway was the chief source of fertilizer in 1949, in 1948 it was eighth. Decreases were most evident in imports of coal-tar products from Europe (coal-tar dyes), explosives (firecrackers) from China, and gums and resins from India, Malaya, Thailand, Indonesia, Belgian Congo, and others. In some cases, thc decline reflects a change in the supply position. For ex:imple, imports of ethyl alcohol in 1948, mostly from Cuba, were v:ilued at $4,111,880, but none was imported in 1949. Amnic: tiioxidc, phosphorus, and sulfuric acid were other
1005
rhemirnls imported in considerably lower amount8 in 1949. At present it is impractical to forecast the long-term future of the chemical trade. Because of current tiading methodsbarter and bilateral agreements which almost always include chemicals, and currency rgstrictions in force in most countlies which limit purchases from dollar areas-togethei u ith the keen competition to be encountered from chemical-producing rountries, it is improbable that United States chemird tratlc will be maintained a t the average of the past 4 years. Nevertheless, it is believed that such trntle will be ronsitlei ably greater and at leaRt twire the value of that of R deratle ngo.
EXPORTS Chemicals by Principal Products Quantity in thousands of pounds unless otherwise noted. Values in thousands of dollars. Sourca: Compiled in Chemical Branch, Office of International Trade, from data supplied by Bureau of the Census, U. S. Deportment of Commerce
1939
Quantity GRAND T Chemicals Coal-tar Benzene, 1000 gal.. . . . . . . . . . . . . . Coal-tar pitch, 1000 tons. . . . . . . . . Colors, dyes, stains.. . . . . . . . . . . . . Other, except medicine. . . . . . . . . . Medicinal and pharmaceutical preparations. . . . . . . . . . . . . . . . . . . . . . . . . Chemical specialties Insecticides, disinfectants. . . . . . . .
............
............ ..
Acids and anhydrides. . . . . . . . . . . . Alcohols Methanol, 1000 gal.. . . . . . . . . . . Other . . . . . . . . . . . . . . . . . . . . . . . . Formaldehyde . . . . . . . . . . . . . . . . . . Other synthetic organic products, . Aluminum sulfate. . . . . . . . . . . . . . . Calcium compounds Calcium chloride. . . . . . . . . . . . . . Other. . . . . . . . . . . . . . . . . . . . . . . . Sodium compounds Hydroxide. . . . . . . . . Other industrial chemicals, . . , . . , , Pigments, paints, and varnishes Mineral earth pigments. . . . . . . . . . Carbon, bone, and gas black. . , . , . Other chemical pigments. . . . . . . . . Nitrocellulose lacquers, 1000 gal.. . Other paints, stains, enamels. . . . . Varnishes, 1000 gal.. . . . . . . . . . . . . Printing and lithographic i n k . . . . . . Fertilizers and materials Ammonium sulfate, 1000 tons., . . . Phosphate rock, 1000 tons.. . . . . . . Superphosphates, 1000 tons Other, 1000 tons. . , , , . , , . . Explosives and fuses Dynamite. . . . . . . . . . . . . . . . . . . . . Other . . . . . . . . . . . . . . . . . . . . . . . . . . Soap and toilet preparations Soap, washing powders. . . . . . . . . . Dentifrices, . . . . . . . . . . . . . . . . . . . . Talcum and other to Creams, rouges, etc. Other toilet preparations. . . . . . . . . .Allied products from other groups. . . . . Naval stores, gums, and resins Rosin, 1000 bbl.. . . . . . . . . . . . . . . . . Spirits of turpentine, 1000 gal., . , , Other . . . . . . . . . . . . . . . . . . . . . . . . . . Crude drugs and botanicals., . . . . . . .
Value $198,303 164,374
1947 -______
Value
...
$881,913 782,777
...
1949"
1948
Quantity
Quantity .
I
.
...
-
Value
Quantity
Value
$858,639 777,428
...
$85 1,071 771,804
1,787 173 6,432 6,092
1,547 156 45,042
...
503 4,311 66,626 49,361
1,728 132 34,665
...
489 4,047 55,458 41,024
1,300 78 26,140
...
299 2,617 43,302 38,166
...
22,317
...
176,735
...
190,976
...
197,705
n.a. 3,271 8,667
4,975 546 385 30,138
147,742 6,797 7,036
2,433
102,290
12,004 10 13,716 I
.
.
,..
49,943
I . .
23,330 1,241 699 127,985
183,508 5,528 4,730
28,622 a64 484 126,663
171,563 4,045 3,873
28,289 645 375 155,515
11,896
77,631
9,024
42,695
5,788
625 128,312 16,973 162,730 29,413
265 12,840 655 37,742 555
42,188 26,391
508 1,992
...
1,220 36,313 3,926 70,153 69,467
473 3,620 177 7,422 745
365 118,678 13,312 153,812 46,778
284 17,733 605 35,692 707
679 81,157 15,165 138,009 28,683
448 13,140 725 30,589 468
38,765 8,328
318 260
23,910 52,831
503 3,435
22,913 38,578
438 2,422
182,277 261,000 262,284
3,230 5,535 6,013 1,849 4,430
276,570 595,092
... , . .
51,595 204,786 46,096 1,644
... 447
815 8,971 3,832 2,400 6,105 639
b
... ...
67,482 319,991 138,259 3,382 . . I
1,095
h
b
b
b
b
26,664 30,908 5,114 26,574
387,000 710,498
24,272 28,546 5,792 20,653
380,613 362,874
14,240 13,417 5,767 23,667
2,200 26,975 19,121 7,892 26,543 2,777
44,637 322,585 134,745 2,776
30,269 303,698 116,230 2,065
728
1,736 28,620 18,814 6,023 23,198 1,785
626 12,889
1,385 26,868 16,745 4,494 20,179 1,592 5,101
590 1,258 316 749
28,752 11,832 6,327 44,716
e
.
I
.
...
... e
c
47 949 95 300
1,466 5,233 1,010 9,283
79 753 233 329
5,029 7,005 5,411 18,164
188 1,141 383 740
11,266 10,485 a, 197 47,739
22,204
2,857 2,142
18,262 ...
2,912 6,525
14,075
2,374 6,125
3,448 2,100 1,115 1,738 1,870 33,929
93,142 6,077
54,785 3,435
...
16,815 6,055 4,252 3,824 10,368 99,136
8,967 2,627 3,500 1,564
n.a. 2,941 ... 6,108
30,886 2,745 14,126 4,349
... 35,126 2,702
... . I .
... ... 935 9,842 . . I
5,195
... ... .,,
...
(Bsports continued on next pngc.)
....
... ... ... ...
n.a. 2,724 2;937
...
...
...
d
d
d
1
11,562 3,450 2,229 2,589 6,092 81,211
43,407 3,537
18,589 1,711 10,152 2,671
n.a. 5,204
...
...
... ...
...
3,926
7,654 3,712 1,633 1,913 4,552 79,267 19,904 2,886 9,251 2,728
1006
1939
Exports (Continued)
Quantity
Essential oils. . . . . . . . . . . . . . . . . . . . . 2,139 Linseed oil. . . . . . . . . . . . . . . . . . . . . . . 2,566 Sulfur, 1000 tons.. . . . . . . . . . . . . . . . . 653 OtherC. . . . . . . . . . . . . . . . . . . . . . . . . . . 1047 figure8 reviscd: 1048 and 1949 figures proliniinary. I . .
11
C
Vol. 42, No. 6
INDUSTRIAL AND ENGINEERING CHEMISTRY 1947
1948
19490
Value
Quantity
Value
Quantity
Value
Quantity
Vat&
3,135 253 11,682 2,201
2,241 7,721 1,349
8,428 2,505 27,707 8,390
2,468 29,636 1,296
5,227 9,013 28,554 5,294
2,919 3,829 1,474
7,284 1,146 32,173 3,895
. . I
I
.
.
...
Included in "Chcmicsl specialties, n.c.8.'' for security reasona. Includes dyeing and tanning extracts, twig oil, and perfume-flnvor oils. n.8. Not svsilnble. d
No 8ej)nrstc classification; irieludcd in "other aodiuin compounds." Not included in ohe:uiculs.
IMPORTS Chemicals by Principal Products Quantity in thousands of pounds unless otherwise noted. Values in thousands of dollars. Source: Compiled in Chemical Branch, Office of International Trade, from dato supplied b y Bureau of the Census, U.
-
1539
Quantity ,.. ,
.
I
Value $142,999 79,479
Coal-tar chemicals Dead or creosote oil, 1000 gal.. , , , 51,877 Other crudes. . . . . . . . . . . . . . . . . . . ,.. Intermediates. . . . . . . . . . . . . . . . . . . 2,667 Colors, dyes, stains. . , , , , , . , , , . , , 5,138 Other finished products. . . . . . . . . . 343 Medicinal and pharmaceutical preparations. , , . , . . , , , . . Industrial chemicals Acetic acid. . . . . . . . . . . . . . . . . . . . . 1,439 Arsenious (white arsenic) , , , , , , , . 29,348 Tartaric acid.. . . . . . . . . . . . . . . . . . . 116 Other acids and anhydrides.. . . . . . 9,427 Ammonium compounds, n.e.s.. , . . 11,762 Cobalt oxide.. , . , , , . , , . , , , , , . . , 68 1 Glycerol. . . . . . . . . . . . . . . . . . . . . . . . 11,318 Iodine . . . . . . . . . . . . . . . . . . . . . . . . . 200 Potassium compounds Bitartrate, crude argols, etc.. , . . 17,370 Carbonate. . . . . . . . . . . . . . . . . . . . 434 Other. . . . . . . . . . . . . . . . . . . . . . . . 19,345 Camphor, natural snd synthetic, . . 2,503 Sodium cyanide., , , , , . . , , , . , . , . . 42,686 Other sodium compound ,.. Other industrial chemica ... Pigments, paints, and varn , . . Fertilizers and materials Ammonium sulfate, 1000 tons.. . . . 109 Calcium cyanamide, 1000 tons. , . . 133 Sodium nitrate, 1000 tons. . . . . . . . 604 Other nitrogenous, 1000 tons. . . . . 244 Phosphates, 1000 tons. . . . . . . . . . . 24 Potash fertilizers, Chloride, crude, 1000 tons.. . . . . 84 Manure salts, 1000 tons.. . . . . . . 2 Sulfate, crude, 1000 tons. . . . . . . 49 Other, 1000 tons. . , , . , , . . , , , , . 76 000 tons. , . , , . . 48
.
E
..............
S
rations
, . .
............... 3,428 Perfume materials., . , . . , , . . , . , . , ... Perfumery and toilet waters. . . . . . ... Other toilet preparations. , . ... Other related products. . . . . . . . . . . . . . . ... Casein or lactarene., , . , , . , , , , , , , , , 15,832 Naval stores, gums and resins Varnish gums and resins Damar. . . . . . . . . . . . . . . . . . . . . . . 17,335 Lac, crude, seed, etc.. . . . . . . . . . 23,215 Shellac.. ... 27,818 Other., . . . . 24,962 Tar, pitch, and Chicle. . . . . . . . . . . . . . . . . . . . . . . . . ii,ii9 Gum arabic, . . . . . . . . . . . . . . . . . . . . 9,200 Other gums, resins, balsams.. . . . . ,.. Crude drugs and botanicals Pyrethrum flowers. , . 13,570 Licorice root.. , , , , . , 62,331 Opium, crude.. . . . . . . . . . . . . . . . . . 181 Other .......................... .,. Essential and distilled oils. . . . . . . . . . ... Linseed oil. ...................... 49 Tung oil.. ........................ 78,718 Otherb.. ......................... ... 1949 figures preliminary. b Includes bones, gelatin, glue,
.
1947
Value
Quantitu
Value
Quantity
Value
...
$323,238 112,183
...
$276,377 112,031
...
$230,500 106,377
34,498
5,506
...
41,495
2,470 765 154
5,776 2,716 613 2,021 261
...
60 562 24 216 33 1 945 758 168
10,674 27,967 156
1,217 24 1,165 865 3,123 2,135 6,038 1,519
5,639 20 995 110 83,432
2,959 3,174 11,213 7,320 442
114 154 556 241 56
4,149 5,242 15,154 12,902 670
35
1,321
10 3 99
501 67 3,447 1,934
480 1,983 396 157 63,520 886
Commerce
1949*
Quantity
5,769 1,442 3,067 8,058 606
2,314 22 1,624 1,793 1,594 410
S. Deportment of
1948
...
...
1,326 752 4,749 2,260
...
33,395
1,848 913 254
...
5,493 3,829 994 2,225 641
8,467
..*
6,312
...
6,031
588 1,151 52 828 58 754 1,878 2,757
22,385 18,672 32
1,328 884 12 871 95 813 1,727 848
12,535 9,393 13
591 565 3 712 77 385 3,554 720
430 7 164 133 3,329 1,020
9,637 7 1,106 24 67,113
...
27,178
, . .
1,585
...
I
.
...
.
767
... I . .
...
... 20,462
796 1,401 2,220 1,278 146 5,151 635 2,711
8,735 19,062 21,636 13,666
3,174 1,391 708 6,416 6,444 4 11,724 18.435
8,082 55,922 386
245 2,918 1,769 98 211,054 6,285
i3',i6i 10,959
...
...
... 122,946 121,560
...
beeswax, sulfur, and pyrites.
, . .
7,063 6,334 888 2,758 1,039
...
... 2,476 775 7,898 592
... ,..
...
I
486 2 235 29 2,688 586 11,886 2,044
106 117 72 1 250 58
4,494 5,354 23,411 16,356 732
36
1,736 2 600 22 4,134 2,617
.
.
12 1 110
...
1,013 ,..
...
...
40,585
1,195 6,883 10,546 1,833 540 11,839 1,135 9,369
5,435 22,477 20,121 9,604
2,399 2,530 3,541 21,060 13,553 36,512 35,374 46,460
3,633 44,691 366
... 9,268 15,892 , I .
...
3,959 133.282
429 1,742 1,307 167 164,346 9,255
...
3,563 705
...
1,738 360 22,762 490 13,049 5 1,216 147 77,591
...
... ..,
586 2 199 49 2,906 524 7,093 1,424
105 116 676 53 1 78
4,894 5,590 26,006 19,329 1,107
29
1,227
1
34 311 3,982 1,736
...
7 110
...
811
...
... ... .,.
33,061
519 8,991 9,927 1,445 397 6,874 1,451 10,314
2,138 22,749 12,778 8,939
793 1,790 3,488 24,014 9,447 1,051 27,052 47,538
10,160 41,860 253
...
6,426 16,011
...
...
... 1,317 64,968
...
...
345 1,865 1,245 103 124,123 4,880 235 8,857 6,048 1,050 266 4,379 1,436 6,280 2,414 1,627 2,324 19,414 11,458 234 12,092 41.129
