-- -
--
Mi
-
a
expords reach new high, imports up aho 1. N. MARKWOOD, Director, Chemical Division, ORice of InternationalTrade, U. S. Department of Commerce
From 1939 to 1951 United Statesforeigntrade in chemicals and allied products has quintupled. In 1951 it set an all-time high of $1.6 billion, which was almost a half billion dollars better than in 1950. Imports as well as exports, of chemicals have shown a continued rising tendency, despite the loss of several important markets and despite production increases that have heen taking place o v e m s since World War 11. The effect of such developments has heen to change the nature of our trade, increasing rather than diminishing it. Present indications regarding the future are mixed, but the weight of evidence ia that 1951 highs will not easily be exceeded. Seveml factors seem to point to a diminution of foreign trade dollar volumes: the exhaustion of dollar accumulations abroad, a shading off of some prim, a decrease in ad-
..................... ................... ................ .:....... ............. .............. ............. ................ ............... ......... ............. .............
I
I ...
L ..
--.-. .tcnm.
vance or “scare” buying, and decreased U. S. expenditures for certain raw materials, resulting in reduced dollar availabilities from current trade. (Obviously, a portion of the 195&51 increase in dollar volume of trade is attributahle to rising prices. A rough idea of what has happened in this respect can be gleaned from the chemical wholesale price index. With 1926 as the base year and equal to 100, the Bureau of Labor Statistics index of wholesale chemical p r i m shows 1939 ab 76.0, 1947 a t 127.3, 1950 at 122.7, and 1951 at 143.3.) Point ing in the opposite direction are such factors as growing de velopmeut of ovelgeas industries; enhanced overseas militay dart; various types of aid to the free world, financial, mili tary, and economic; development of markets for new and relatively new American products; and the w i n g of Cnited States
1254
INDUSTRIAL AND BNQINEERING CHBMISTRY
Vel. 44, No. 6
i AND I1
export cootmls in a considerable number of commodity amas, Evamining export developmenta since 1939 in terms ofgeographic 81888, it hecornea incressingly appsrent not only that the chemical industry has done moet of ita export busine83 with the more industrialied mof the world, but that the greater the rate of industrialiition, the more tbe United Sitam chemiad induatqy bas benefited. Europe and Canada, historically our best customers,have continued in that parition, both increasing their take fivefold. South America,on the other hand, had a W o l d rise during these 13 years, years of continued and incm6n.g emphasis on df-eu5oienoy throughlocalproductioo. Thesameelemat hasgiven rim to a stislying volume of trade with Asia, deupite the low of a major part of OUT Chinex market. Considerable in9uence was exerted on our 1951 chemic& trade by paliticeeconomic developments. Our 1947 axports to China hsd been W,000,OoO, to Poland $3,400,000. Last ye31 they were negligible. Exports to CBeehoslovakis and the U.S.S.Ft., two other major amw,became Mgnilicant. On the other hand, our chemical exports to Japan, virtually nonwijtent in 1947, reached $26,000,000in 1951. Southem Kwea became a factor, with almost $1,300,000. Enports to Germany row fmm $1,300,000 to $11,300,000. The trend toward eelf-sutiicbcy is continuing abroad, and has been encouraged by governmente (ours and theirs), BS well as by industry. American chemical producere have reaogniaed the deskability of establishioe, chemicalplana 88 near to their customers as feasible. This ia baing done more now in the fo+ field, the need having increaesd with industrid modernhtion and growth. The rule is being followed in the United Btates to E much greater extent than in the foreign Iield, but evidence of ita spreding acceptance is appesring in all arena. Encouraged and aided b.v the Economic Coopera-
tion Admiitration (now Mutual Security Administration), American chemical firms have established ovemm msnufaotu& plante in several eligible counbia. The output of these plana, admittedly, compete with that of the United State. In term of overall trade, however, it haa all been to the good. Equipment has largely been supplied from this country. Profita rue shared by the United State. Chemical raw materials f q e n t l y stem from us. And as employment a b d incit give8 rise to new needs--bicycla, rafrigeratom,radios, or cotton shirts. Plas tics, dyw,painta, drugs, borax, carbon black, andpther &emicalrcmiintbeused,manyimported,iltheseneederuetobemet. The most strikiog development of all bas been the growth of our drug trade. From $22,000,000worth exported in 19.39, it climbedto~l,000,000lsstyearasthesullasandtheantibiot iea took hold. Drugs done are K i n g exported at a rate far in 8x0888 of our totaluhemical exports of prewar years (annual average for 1936-1840 was $153,000,000). What will happen tomorrow, when srthritb and tuberculosisc u m become available in quantity? Than,too,our growing and expanding petrochemical industry is making itaelf felt in foreign trade through i n d shipmenta of such producta as plsstica, rains, solvents, and pigmenta. Little wonder that in the period under d d o o (1939-61), while exporte generally were growing by about 4.5076, ahemieals showed an increaee of 6C%. Tbe afleeta of industrial rehabilitatbn.abmad have given riae to Bome contrsry trende sinca 1947, the fvat year of wideepread pmgre8 toward mmery from World War 11. Zinc oxide, for example, was exported at the rate of 38,OoO,000 pounds in 1947, as against 18,000,000 Last year. M i n d in earth pbmnta went from 67,000,000 pounds to B,000,000 the eame period. Enports ofdyes d e e d by about 85% vitamihssome30%.
JVDe 1952
INDUSTRIAL A N D ENGINEERING CHEMISTRY
Export growth has been appreciable in other fields in addiin chemition to that of drugs. Almwt an eightfold incal specialties is explained by what is happening in inseCticides, plastica, surface-activeagents, and tetrnethyllegd (antiknock). Among the industrial chemicals, alkalies continued MI the workhome of the p u p , with close to a billin pounds of exports in 1951. Other sodium compounds which showed sipni6cant gmwth in 1951 were the phosphates ( 2 3 , 3 0 0 , ~ pounds), the hydmsulfite (12,300,000 pounds), and the b* chromate (17,600,000 pounds). Blotation (collecting) reagents were exported in good quantity, reaa h i of 27,000,000pounds. In the paints and pigments area the outstanding commodities were carbon black and the resdy-mixed paint& The lh.former overesme domeatic stringencies to establis6 an all-time high of 433,000,000 pounds of exports. TI& WBB m m p l i e d in the face of new competition in the United Kingdom as well MIrevived German and Japanese b h k output, none of them of smsll consequence.
,
laS5
The loss of ksia as a market is sharply demonstrated by f e r t i l i i data. In the Grst 9 months of 1951 fertilizerexports to Asis dropped to SS,700,000 from a 1950 figure of $41,700,OOO for the equivalent mouths. Japan hss stepped into world market8 as a supplier, and is lsrgely filling it8 own needs. Naval stores have held their own eince 1947, although much of European production has been restored and many areas havebecome self-sufficient. good rate despite .Sulfur -~emorts are continuinz - at a fairly.~ export allkkion and controls. Two major factors were at work to limit chemical exports in 1950-51, &ort supply and wurity. As in the case of sulfur, accelerated domestic production along a wide commodity front quickly dissipates current availabilitk BS well as stook accumdatione of a wide range of basic chemicals. Domestic w restrictions were i m p a d by the National Production Authority and quantitative export controls logically followed. Prior to the development of shortsgeg (postrKorep), controls werebeing exercised as a matter of national security, and this ~~~
INDUSTRIAL AND ENGINEERING CHEMISTRY
haa continued. They will probably be with us as long ae the free world is in danger of attack. This function is a primary job of the Wce of International Trade, which itself or through predecwor agencia has for over a decade bsen exercising surveillance over commercial shipments leaving this country, whether control is for supply or security masons or both. The ever-changing scene requires new approaches, but the basic policy of the W w of International Trade is built on the nremisa that it must d o w private trade to carry on nnim&ed to the greateat extent possible. In keeping with these precepts, the Office of International Trade makes f q u e n t changes in the extent and deam of controls exercised over chemid as well as other eom&edity exports. In recent public releases, liberalisation of controls was announced, among others, for naval stores, ester gums, carbon black, bmuth d e , and glycerol. Chemical lmporl Highlights Alcohol and benzene showed enormous growth in 1951s t a tistics. Importe of the former amounted to 125,000,000 gallons and the latter to aS,soO,000. Both enter into synthetic rubber, which was being produced in larger quantities than ever during the year. Reduction of all types of synthetia
Vol. 44, No. 6
rubber in the united Stated was over 845,000long tons, the next best year (1945) having been exceded by some 25,000. Buns 8 pmduction, which q n i b ~e n~e and alcohol, was close to 700,000tona in 1951. Apparently the growth of the synthetic wins industry hae not hurt shellso imports; wit nesB the 27,000,000pounds entering the country last year. Naphthalene, which is an essential for the phthalate family, showed a considerable increase doll&, although volume fell oI7 appreciably. Greater European consumption and Iron Curtain restrictions were msking themselves evident. There was a considerahle rise in pot41 and nitrogen imports. Germany %hippedus over $14,000,000 worth of fertiiher materials, Canads )36,000,000, and Chide $28,000,OOO, out of the total of $102,000,000entered through U. 8. c w
tomsin 1951. T h i e t o t a l w a s t 6 r e e t t h e d o l ~ v o l ~ wived in 1939, and about 50% better than in 1950. It in; cluded 726,000tons of sodium nitrate and 493,000 of crude potaaeium chloride. Tanning extract imports q&pled between 1939 and 1951, in the face of a large incressed we of synthetic W n ig agents. Quebracho extract imports alone totaled )z3,000,oeO last year. Inedible oils and the nonpetroleum wax- slso contributed substantially to the total.
.
IMPORTS
Chemicals by Principal Products QWntitlM In thourmndr of w n d r except as othenrlse noted. Vmbn in h o n d r of dollan Sovces Compiled in Chemical Division. O h of IntmoNond Trade, U. S. Department of Commerce
1939 Quantilv Vdu8
...
...............................
GRAND TOTAL
3 d s d i d ~md I paumucsvaulpmgu.tionr, t o w . .
Menthol.. ................................... IndulM.l chemicals, total., AccUc acid..
...
.
......... ........ .............
51;ii7 326 41,104 2,667 5.138
... 407
1;iig
29,348 976 6881
.......... ...............
Glycerol.
11,318
Iodine..
200
37,149
15 42,686
...
1,374 109 67 133 604
...
202 84
...
Exglorhes, 5 m m 4 i d .mmuuition.. ..........
............ ..................
80.9 m d P l W ~ t i O M . . CMWn OS htUOM.
..................
........ Lcorrse root unde.. ....... Opillm, m d e . . ................................ Tungoll .............. Cownut, palm, babassu Vagetable ru.W... C w m b . N.. ............................. Gums. other natural* Drugs. herbs, leaves. mots, e P@mm or h e c t Borsn.
Bswnthl or dbtiild ds.. . . . . . . . . . . . . . . . . . . Dyebe and ~UrU m t e rI hI l sU . to&. C .............. TiMing n t n c t msbracho ....................
... 15;ijz 93,330 23.215 27,818 14,679
...
u;sio
5142.999
18.942
7,211 5.769
39 459 3.067 8.058 5,506
w
17,631
60
562
g 532
2,
1 3,123
1,519 32,455 2,959 1,8)8
1947 Vdua
Quaniiiw
... 34;kia
1,055 2,139 2 . 4 ~ 839
...
368
10;iLk
27.880
21,501 816 3.646 2,261 6.458 1,356 83.432
...
1.268
114 99 154
3.174 11,213
557
5,753 2,314
48
.... ....
410 3.015 886 8.735 1.401 2.m 5,151
....
11,689 3,174 1.391
SJ23.238
10s 35 46
...
20;887 63,097 19,062 21.636 13.761 23,030
8;&2 55.922
11,514
8,192 5.776 161 133 613
2,188
2.629 7ssao 34,501 583 1,145 14,840
813 1,557 2,757 588 58
3.329 1.553 43.449 4.149 5,024 5,242
15,154
5,203 1,889 1.321 1,450 1.935 4,733 6,240 20,457 6,881 10,546
11.859 6.416
29.158 2.399
I950 Quantiiu Value
...
...
4l;GQ 23,290
110,800
5,895 1.909
...
501
32;537 29.547 27,435 937 28,409 725 31,583
213.002
96.900
...
1.913 144 223 98
616 107 363
2%
94
...
%;Si2 60.239 27,610
12,649 40 7,041 .682
8;iG
SJ74,644 25,898 18.080
6,413 6.510
2,801 1,928 4.822 7.$16 4,549 52.752 1,329 1.426 10,6W 1,039 6.891 1,056 2.219 4.588 4,120
3,605 74,563 5.716 12.400 4,314
22,302 6.059 11,772 9.245 2,775 1,216 4,439 10,055
14.285 7.407 4,498 5,532 8,172
28,105
708 11,724
432 121.564 95,113
3.431 35.358 15.762
112.484 258.9%
23,947 35.466
24,380 16.359
5,dl
23,737 11.837
18,082
30,561
20.427
...
...
lU;a12
Compriaea tragaoanth. Ladpya. t n l h . t r a w l , and arabic.
....
2% 8.328 5.082
...
215;5i8
13.653 13.553 20.491 15,387
40.053
664
20,446
...
zoz;jj7
... ...
15,846
17,096
20.m
14.983
53,791
%E 25,115 ::E 6.973
49ik
::8,716 E 3,,368
... 73.3
42;k 29,037 U5.044 437 10.876 852 29,327 56,781 137,832
...
2.156 216 343 68
726 135
560 493 114
...
43;i.k 59 730
11.822 7,223 120.045 2 164
’
1:w 60,217 604 3.798 1,320
3,497 1,231 6,428 5.326
101,923 9.491
18,757 3,503 27,025 8.451 15,041
12,697
3,722 l;677 5 . w 13.575 18,521
25:452
8,286
5,926 32,995
3,531 8.687 30,914
27,695
6;886 3% 40,947 4 , w 8%
62,331 181 78.178
2,530
1951 QunntiW vdU8
29,706 334,195 24,918 16,016
...
273;ik
9.507
2.517
1,371 5,319 9,421 57.779 2O.(Mz 14,674 I2 872 32:075 23.173
‘