The chemicals industry is comprised of thousands of companies throughout the world that use basic raw materials to produce chemicals that have commercial value to consumers and other industries. The chemical industry comprises the companies that produce industrial chemicals. The chemical industry involves the use of chemical processes such as chemical reactions and refining methods to produce a wide variety of solid, liquid, and gaseous materials. Most of these products are used in manufacture of other items, although a smaller number are used directly by consumers. These chemicals are used to produce plastics, synthetic fibers, lightweight automobile parts, fertilizers, cosmetics, household materials, computers, and many more products.
Central to the modern world economy, it converts raw materials (oil, natural gas, air, water, metals, and minerals) into more than 70000 different products. According to the ACC, over 96 percent of all manufactured goods are dependent in some way on the chemical industry. Chemicals are used to make a wide variety of consumer goods, as well as thousands inputs to agriculture, manufacturing, construction, and service industries. The chemical industry itself consumes 26 percent of its own output. Major industrial customers include rubber and plastic products, textiles, apparel, petroleum refining, pulp and paper, and primary metals.
During the 19th and 20th centuries, technological advances in the chemical industry dramatically altered the world's economy. Chemical processes have created pesticides and fertilizers for farmers, pharmaceuticals for the health care industry, synthetic dies and fibers for the textile industry, soaps and beauty aids for the cosmetics industry, synthetic sweeteners and flavors for the food industry, plastics for the packaging industry, chemicals and celluloid for the motion picture industry, and artificial rubber for the auto industry.
This section on Chemical Industry Domain is designed to help learners understand overview, key concepts, terminology, business sectors and drivers, trends, issues, and challenges associated with the chemicals industry. It will identify the main sectors of the chemicals industry and its business drivers, and review the key aspects of the industry business model, its competitive environment, and the current trends in the industry. This section is designed to be helpful to consulting houses, industry investors, IT professionals working on chemicals or manufacturing domain and all size companies that sell products or services to chemical sector and industries; organizations looking for knowledge and key business information/competency in the chemicals domain. Articles in this section also outline some key challenges that this industry is facing and presents common strategies that the players in the industry are adopting to overcome its challenges.