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The inorganic chemical industry is being shaped in 1994 primarily by environmental considerations. Environmental Protection Agency regulations are causing reduced demand for chlorine and chromium compounds, while more stringent air pollution regulations are causing increased demand for soda ash and lime in flue gas desulfurization. The 1994 market outlook for several organic chemicals, including chloralkali, acids, sulfur compounds and fertilizers, is discussed.

Prices for sulfuric acid in North America continue to decline amid increased supplies and reduced demand. Supplies are stable and the mid-Atlantic region is bringing in acid from Canada. The mid-Atlantic region had about 10 sulfuric acid plants in the 1970s, and it only has one in the 1990s. This decline is due more to competition from Canadian plants, which offered better prices, than to decreased demand. The price for modest users, as of Apr 1993, is $66.85 per ton, for 66 degree Baume. Prices are at low levels and are not expected to rise in the near future.

The inorganic chemicals sector is exhibiting mixed results with tight supplies of hydrogen peroxide and soda ash, low demand for industrial phosphates, and diminishing demand for sodium chlorate and chlorine. The chlorine sector is impacted by declining exports of ethylene dichloride, the biggest end use for chlorine. The decline is attributed to a drop in polyvinyl chloride demand in Asia.