Issue link: https://www.e-digitaleditions.com/i/787158
November. After a pause in September, the primary metals leading index contin- ued an advance which began in Decem- ber 2015. Additionally, this is the sev- enth consecutive primary metals index growth rate above the +1.0 percent that could signal near-term strength in pri- mary metals industry activity. In Sep- tember 2016, the US nonferrous metal products inventories growth rate recorded its seventh consecutive nega- tive growth rate. The primary alu- minum and primary copper 6-month smoothed growth rates posted six and three consecutive months with growth rates above +1.0 percent. The steel scrap price 6-month smoothed growth rate turned negative in October interrupting a series of positive growth rates April through September 2016 before turning positive again in November. The primary metals leading index in- creased to 163.1 in November from a downwardly revised 160.6 in October, and its 6-month smoothed growth rate increased to 6.8 percent in November from a downwardly revised 4.4 percent in October. The index's 6-month smoothed growth rate is a compound annual rate that measures the near-term trend. Usually, a growth rate above +1.0 percent signals an increase in metals ac- tivity, and a growth rate below -1.0 per- cent indicates a downturn in activity. The leading index will be subject to re- vision when the other components are added next month. Green chemistry drives market opportunities WELLESLEY, Mass.—Increasing de- mand for greener products, the growing need for cost-effective processing, cheaper feedstocks, and new product avenues are driving the commercializa- tion of alternative chemical products. The total alternative US chemical end use product market should reach $149.9 billion and $884.1 billion in 2016 and 2026, respectively, reflecting a 10-year compound annual growth rate (CAGR) of 19.4 percent. This is ac- cording to Alternative Chemical Prod- ucts and Processing, a report from BCC Research, an industrial market research firm. The market for green chemistry is set to outpace the overall global chemi- cal market during the current decade. The impetus for market growth stems from a combination of tightening regu- lations and demand from consumers for more sustainable products. Pharmaceuticals as a segment should in- crease from $27 billion in 2016 to $96.2 billion in 2026, growing at a 10- year CAGR of 13.5 percent. Alternative packaging products should reportedly reach $25 billion and $232.1 billion in 2016 and 2026, respectively, demon- strating a 10-year CAGR of 25 percent. The market for alternative cleaning and detergent products, estimated at $29.3 billion in 2016, should reach $158.7 billion in 2026 on a 10-year CAGR of 18.4 percent. US manufacturing technology orders increase slightly MCLEAN, Va.—Manufacturing tech- nology orders saw year-over-year gains for the third consecutive month in Oc- tober 2016. Orders for the month were valued at $335.48 million, up 0.2 per- cent compared to the same month last year. Year to date, orders are down 5.6 percent compared to the same point in 2015. This is according to the Associa- tion for Manufacturing Technology (AMT) as reported by companies partic- ipating in the United States Manufac- turing Technology Orders (USMTO) program. Orders have begun to emerge gradually from the trough seen through most of 2016, and other signs indicate that the manufacturing economy is im- proving, albeit slowly. "It's certainly welcome to see signs of re- covery for manufacturing overall, but marked improvement for manufactur- ing technology orders is not forecast until the second quarter of 2017," said Douglas K. Woods, AMT president. "Unless manufacturers feel pressed on capacity, they aren't likely to make sub- stantial capital investments in machin- ery and equipment. Those signs of grad- ual improvement and increased utiliza- tion rates are emerging, albeit slowly." M o n t h o v e r m o n t h , o r d e r v a l u e dropped 32.9 percent compared to Sep- tember 2016. Year-to-date orders for 2016 stand at $3,244.07 million. USMTO data is a reliable leading eco- nomic indicator as manufacturing com- panies invest in capital metalworking equipment to increase capacity and im- prove productivity. 34 POWDER COATING, February 2017 US primary aluminum production rate surveyed ARLINGTON, Va.—Based on Alu- minum Association surveys, the annual rate of US primary aluminum produc- tion totaled 749,897 metric tons (tonnes) during November 2016, a drop of 49.0 percent from the Novem- ber 2015 annual rate of 1,471,254 tonnes. Compared to the previous month, the annual rate of production rose 2.9 percent over the October 2016 annual rate of 728,907 tonnes. The year-to-date annual rate of production through November 2016 totaled 825,136 tonnes, off 48.7 percent from the 2015 year-to-date rate of 1,609,818 tonnes. Actual production for the month of November 2016 totaled 61,467 tonnes. Participating compa- nies account for 100 percent of US pri- mary aluminum production. Global powder coatings market analyzed DUBLIN, Ireland—Analysts forecast that the global powder coatings market will grow at a compound average growth rate (CAGR) of 7.56 percent from 2016 to 2020. This is according to Global Powder Coatings Market 2016-2020, a report from Research and Markets, an industrial market research firm. The re- port covers the present scenario and the growth prospects of the market, includ- ing a ranking of the leading vendors and the revenue generated from the sales of powder coatings by these vendors. According to the report, one of latest trends in the market is increasing de- mand from emerging economies. Infra- structural growth, growing metal indus- try, and abundant availability of natural resources in these countries will also contribute to the growth of several other industries, such as construction, automotive, and appliances. This, in turn, increases the overall market for powder coatings. Primary metals leading index increases in November RESTON, Va.—The primary metals l e a d i n g i n d e x a n d i t s 6 - m o n t h smoothed growth rate both increased in UPDATE: Markets