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FOR IMMEDIATE RELEASE
Press Contact
Roger Halligan
H+A International
312.332.4650 ext. 22
rhalligan@h-a-intl.com

Improving Economic Outlook On Tap For CPI,
2011 CHEM SHOW To Provide Boost

WESTPORT, Connecticut… August 16, 2011 - According to feedback from CPI equipment suppliers and chemical manufacturers, both the economy and sales should continue to show steady but slow improvement over the next several months.

Based on a recent survey of some 300 CHEM SHOW exhibitors, over 75 percent of the chemical process equipment suppliers responding said they believe the Process Industries are showing signs of growth for 2011. In fact, 83 percent said they expect sales to be better than 2010, while nearly 15 percent said sales would be about the same as 2010. Only two percent said they expected sales to be less than 2010.

These predictions are supported by the ‘Mid–Year 2011 Situation & Outlook’ from the American Chemistry Council (ACC). According to the ACC report, “the consensus forecast for US GDP is for continued growth, expanding by 2.5% in 2011 and 2.9% in 2012. A rebound of activity from the current ‘soft patch’ is expected in the 2nd half of 2011.”

Although the report cautions that the recovery is “fragile and multiple risks remain”, it states that global GDP (market exchange) is expected to grow by 3.2% in 2011 and 3.5% in 2012. The Report also shows that Capacity Utilization is projected at 71.3% in 2011, which is up from 69.6% in 2010. The 2012 Capacity Utilization is forecast to increase to 75.3%.

Other key findings were:

• Chemical output is expected to strengthen in the 2nd half of 2011
• American chemistry output is anticipated to rise 4.1% in 2011 and 3.5% in 2012
• Chemistry pharmaceuticals output should rise 3% in 2011 and 4% in 2012
• Production of basic chemicals should grow 4.8% in 2011 and 3.2% in 2012
• Capital spending in the business of chemistry will reach $30 billion in 2011
• Long term US Chemistry growth will average 2.9% annually, exceeding the US economy
• Strong global industry capital spending gains are expected for several years

While stating that we still haven’t reached pre-recession levels, and that a relapse into a global recession always remains a possibility, the report says, “The need to add capacity and improve operating efficiencies should add to strong gains in capital spending.” The report concludes by stating “Consensus expectations are for a rebound in the second half of 2011.”

CHEM SHOW To Provide Economic Boost

The CHEM SHOW exhibitor survey reinforces the findings that chemical processing companies are looking to increase capital spending as 63 percent of respondents said they would be displaying new products at the 2011 event, November 1-3 in New York City. More than 50 percent of the respondents said these products would be introduced to the CPI for the first time at the CHEM SHOW.

“We have been exhibiting at the CHEM SHOW for more than 50 years and we find that it always provides the industry with a bit of an economic boost going into the following several months,” said Joe Bevacqua, VP-Sales at WYSSMONT Company. “Processing companies come looking to buy new products and technologies and many suppliers develop new equipment just to showcase at North America’s leading event.”

Several exhibitors said they consider the CHEM SHOW to be an integral part of their company’s marketing plan and can trace significant sales that were generated by leads gained at the Show. Barry Perlmutter, Managing Director of BHS-Filtration, said they have sold over a million dollars in equipment from conversations that took place at the CHEM SHOW over the last several years.

Mark Willingham, Director of Sales & Marketing – Industrial Filter Products for Purolator Advanced Filtration/Martin Kurz, Inc., agreed that sales have improved since the worst days of the recession. “We have seen significant increases in sales over 2009 levels, but operating rates at most facilities haven’t yet returned to pre-recession times".

Widely recognized as the number one CPI (Chemical Processing Industry) event in North America, the 54th biennial Show has been the leading information resource for CPI professionals since 1915. It’s a hands-on, interactive event that showcases a wide spectrum of emerging technologies and focuses on such key processing areas as:

• Process Control and Automation Solutions
• Optimizing Process Efficiency
• Water/Wastewater Treatment
• Emerging Technologies
• Saving Energy/Sustainability

In addition to the activity on the Show floor, The American Institute of Chemical Engineers (AIChE) is developing a comprehensive, solutions-focused conference program. The multi-faceted, three-day program will address a wide range of critical industry topics ranging from such new developments as nanotechnology to technical sessions on powder and bulk processing.

About The CHEM SHOW

Since 1915, the CHEM SHOW (www.chemshow.com) has been the CPI professional's single best resource for new products, new ideas and new services. It's a hands-on, interactive event that showcases a wide spectrum of emerging technologies. The unique industry forum creates a dynamic marketing environment unequaled by any other process industries event in North America. The CHEM SHOW is produced and managed by International Exposition Company (IEC), 15 Franklin Street, Westport, CT 06880; phone: (203) 221-9232; fax: (203) 221-9260; e-mail: info@chemshow.com; website: www.chemshow.com.

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