US speciality chemicals saw a third consecutive month of growth in June 2026, completing the second quarter of the year with volumes up 0.4% on a year-to-year basis to reach 3.45m t.
June volumes were up 0.1% while April and May saw increases of 0.2% and 0.7%, respectively. June volumes are now well above the pre-Covid pandemic peak; this compares with a 0.1% increase for overall US industrial production in June.
According to the analysis by consultant Swift Economics, US specialty and fine chemical volumes increased by 1.0% or above in five market segments: cosmetics additives, electronic chemicals, flavours and fragrances, lubricant additives and rubber processing chemicals. There were also gains in agrochemical intermediates, antioxidants, catalysts and oilfield chemicals. This compares with 18 market segments showing expansion in June 2025.
Cosmetic additives saw demand rebound to almost 130,000t in June 2026, while electronic chemicals rose to over 30,100t, driven by AI spending and reshoring due to the US CHIPS Act. The flavours and fragrances category saw demand increase to over 38,525t, with strength in fragrances compensating for mixed results in food and beverages. Lubricant additive demand jumped to over 787,725t in June, due to strong automotive retail and OEM activity, while demand for rubber processing chemicals rose to over 11, 225 t as a result of increased tyre and rubber products output.
Segments where demand remained stable in June included active pharmaceutical ingredients, at over 344,075t; adhesives and sealants, at almost 295,500t. Segments that dropped back in June 2026 included paint additives, where demand fell to under 20,325t; paper additives, where declining paper production pushed demand to under 75,800t; plastics additives, where demand dropped below 133,000t due to mixed resin volumes; plastics compounding, where volumes retreated across major resins like ABS and polycarbonate; plasticisers, where softer PVC demand pulled volumes down to less than 63, 400t, despite an increase from tyre applications; and printing inks, where June demand slumped to under 58,900t due to softness in publishing and packaging.
Swift points out that energy, raw materials and upstream chemical markets have all affected speciality chemicals producers. Many are implementing price increases in response to market volatility. ‘In a volatile and uncertain business environment, leaders must seek agility and adaptability for strategic resilience, preparing for potential shocks and ensuring structural robustness,’ notes managing director, Kevin Swift. Looking ahead into third and fourth quarters, Swift forecasts there will be a further increase in volumes, with an acceleration in the fourth quarter, and solid growth continuing into 2027 and 2028: looking even further ahead, Swift believes there will be a more normal business environment that will see overall volumes growth in 2029 and 2030, when speciality and fine chemicals volume will reach 46.91m t.
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