In the iconic 1967 film, The Graduate, the character of Mr. McGuire pulls aside a young Benjamin Braddock, a recent college graduate and shares what has become a prophetic bit of advice: “I just want to say one word to you… plastics… There’s a great future in plastics.”
Indeed, fabricated plastics and their resin derivatives have become ubiquitous, serving as the key components used in manufacturing, construction, agriculture, healthcare, and the production of countless other durable and non-durable goods.
Since The Graduate was, ironically, captured on celluloid, the U.S. plastics industry has flourished into one of the nation’s most powerful economic engines with more than 11,600 manufacturers nationwide producing nearly $380 billion of plastic resins and related products and investing more than $17.5 billion in new facilities and equipment in 2024, according to a recent analysis compiled by the American Chemistry Council (ACC).
Plastics are also a major contributor to U.S. trade, exporting nearly $64 billion in goods last year, the Washington, D.C.-based trade group says, adding that “with strong domestic production capacity, the United States enjoys a trade surplus in plastic resins, reinforcing its role as a global leader in materials manufacturing.”
America’s Plastics Makers (APM) ─ an affiliate of the ACC ─ is the moniker of the parent groupʼs Plastics Division and has on its roster member companies such as Dow, Exxon Mobil, Eastman, BASF, Sabic, Nova Chemicals, and Styropek.
An Engine of Growth
Every year, the Plastics Industry Association (PIA) publishes its Size and Impact Report, an economic analysis examining how plastics manufacturing impacts value added and GDP growth in the U.S. economy.
According to PIA Chief Economist and Report author, Dr. Perc Pineda, “In 2024, the report shows that the inflation-adjusted value added of plastics manufacturing increased by 2.0 percent from 1997 to 2024, while that of overall U.S. manufacturing decreased by 0.1 percent over the same period.”
That development, he says, “suggests that plastics manufacturing ─ the eighth-largest manufacturing sector in the U.S. economy based on the dollar value of shipments ─ continues to make a positive contribution to U.S. GDP.”
“It seems the plastics industry had a better handle on ongoing trade and tariff challenges across the value chain in the second quarter compared to the first,” Pineda concludes.
Handling Challenges
Added to those ongoing challenges “is predictability ─ having clear, consistent rules that give companies the confidence to invest and grow,” says Vera Stoeva, Interim President and CEO of the Society of Chemical Manufacturers Association (SOCMA).
“Specialty chemical manufacturers put enormous resources into safety, compliance, and innovation, but when the rules or review processes keep shifting, it slows progress,” she says.
“Another challenge is the uncertainty around tariffs and trade policy. Constant changes make long-term planning and investment difficult, and many companies are forced to focus on short-term projects instead of larger strategic investments,” adds Stoeva.
A stable policy environment ─ both regulatory and trade-related, she says, “is essential for continued growth and innovation.”
Innovation & New Technologies
The most exciting innovation, she says, “is how chemistry and technology are coming together with specialty manufacturers to use AI, automation, and advanced data tools to improve efficiency, safety, and sustainability.”
Robots, for example, are being employed in various stages of production, from machine oversight to post-processing, to bring significant improvements in both productivity and product quality.
According to the World Robotics 2024 report from the International Federation of Robotics (IFR), global average robot density reached a record 162 units per 10,000 employees in 2023 ─ more than double the 74 recorded just seven years ago.
This sharp increase, the report states, “reflects the growing role of automation in manufacturing, particularly in the plastics sector, where labor-intensive tasks can be automated with increasing precision and efficiency.”
The integration of new technologies into plastics manufacturing “is an ongoing process that continues the evolution of production lines by enhancing efficiency, consistency, and safety.”
Reshoring, Investment & Growth
“The specialty chemical industry is in the perfect place in the supply chain to focus on reshoring,” says SOCMA’s Stoeva.
The industry, she says, “is seeing growth in semiconductors, pharmaceuticals, medical technology, and advanced materials, as well as general contract manufacturing from overseas.”
As a result, plastics manufacturers “are expanding production to meet the growing demand for high-purity chemicals used in semiconductor manufacturing. Across the board, companies are modernizing facilities, adding capacity, and investing in their workforce to meet these opportunities head-on.”
“Specialty chemical manufacturers are the invisible infrastructure powering American economic growth ─ innovating new chemicals that enable downstream manufacturers to bring improved products to market,” says Stoeva.
“Everything from medical implants and clean water systems to rocket coatings and memory foam mattresses starts with specialty chemistry,” she says. “This creates a powerful economic multiplier effect as every job and dollar investment in specialty chemicals supports multiple jobs and exponential value creation throughout the manufacturing supply chain.”
A closer look at the plastics manufacturing industry shows a pattern of growth that increasingly drives jobs and economic development in individual states and economic regions across the country.
The examples are numerous…
Texas, for one, is home to almost 600 plastics manufacturers with several plastics manufacturers in recent months unveiling plans to build new or expand their existing operations in the Lone Star State.
In the iconic 1967 film, The Graduate, the character of Mr. McGuire pulls aside a young Benjamin Braddock, a recent college graduate and shares what has become a prophetic bit of advice: “I just want to say one word to you… plastics… There’s a great future in plastics.”
Indeed, fabricated plastics and their resin derivatives have become ubiquitous, serving as the key components used in manufacturing, construction, agriculture, healthcare, and the production of countless other durable and non-durable goods.
Since The Graduate was, ironically, captured on celluloid, the U.S. plastics industry has flourished into one of the nation’s most powerful economic engines with more than 11,600 manufacturers nationwide producing nearly $380 billion of plastic resins and related products and investing more than $17.5 billion in new facilities and equipment in 2024, according to a recent analysis compiled by the American Chemistry Council (ACC).
Plastics are also a major contributor to U.S. trade, exporting nearly $64 billion in goods last year, the Washington, D.C.-based trade group says, adding that “with strong domestic production capacity, the United States enjoys a trade surplus in plastic resins, reinforcing its role as a global leader in materials manufacturing.”
America’s Plastics Makers (APM) ─ an affiliate of the ACC ─ is the moniker of the parent groupʼs Plastics Division and has on its roster member companies such as Dow, Exxon Mobil, Eastman, BASF, Sabic, Nova Chemicals, and Styropek.
Orbis recently held a grand opening for its renovated manufacturing facility in Greenville, Texas, with 420,000 square feet of manufacturing space and 240,000 square feet of warehouse space. The plant produces reusable pallets, tote, and bulk containers.
Taiwan-based Formosa Plastics Corporation has invested $150 million in a new reactor facility in Jackson County, Texas, to produce high-quality polypropylene for use at their existing manufacturing facility in Point Comfort. The facility there produces polyethylene ─ the most commonly produced plastic used in automotive, packaging, and other consumer goods.
Quebec, Canada-based plastics manufacturer Lefko recently announced that it will invest $15 million in the construction of a new 70,000-square-foot facility in New Braunfels, Texas.
The new plant is the companyʼs first in manufacturing facility the U.S. and will serve its customers in the southern U.S. and Mexico.
The company manufactures blow-molded plastic products such as fuel tanks, recreational vehicle parts, hospital bed components, and other specialty products.
“Texas’ commitment to advanced manufacturing and its central location give us the competitive advantage we need to serve both national and global markets,” says Lefko CEO Eric Blondeau.
“The collaboration with New Braunfels city leaders and the State of Texas made the difference in our final choice, and we look forward to a long and successful future here.”
Blackford Capital has announced a strategic investment in Houston-based Texas Injection Molding (TIM), creating a “partnership that brings together complementary expertise to capitalize on growing opportunities in the injection molding sector,” according to the Michigan-based investment firm.
Texas Injection Molding has rapidly grown to be one of the largest custom injection molding manufacturers in Texas with a 90,000-square-foot facility housing 35 injection molding machines, advanced bulk material handling silos, and a full-service technical center and tool shop for comprehensive mold repair and maintenance services.
In Pennsylvaniaʼs Lehigh Valley, family-owned Ultra Poly now ranks among North America’s five largest asset-based plastic recyclers, annually processing as much as 320 million pounds of plastics.
The Valley serves as the home to almost 50 plastics product manufacturing companies, including Panda International, SR Packaging, and Schless Bottles.
The state serves as the base to 580 plastics manufacturing facilities that form “a cornerstone of Pennsylvania’s economy,” says Steven Kratz, president of the Pennsylvania Chemical Industry Council.
“By supporting thousands of skilled jobs and fueling innovation across critical industries like healthcare and advanced manufacturing, this sector not only strengthens communities but also solidifies the Commonwealth’s competitive position on a global and national scale.”
Peli BioThermal, a maker of temperature-controlled packaging, recently announced the expansion of its production and customer service facility in Allentown, Pennsylvania.
The move expands the operation from 63,000 to 90,100 square feet, increasing the facilities capacity by 43 percent.
Elsewhere…
- Averra Packaging has doubled the square footage of the clean room at its Salt Lake City, Utah, facility.
The new space will house an additional inline medical thermoforming machine that will increase production capacity, including for parts that require high precision and tight tolerances.
The machines are used to heat a plastic sheet until it becomes pliable and then forms it over a mold to create a desired shape to protect and secure medical products, as well as food, retail, industrial goods, and cosmetics. - Huntersville, North Carolina-based Precision Concepts International recently acquired Meredith-Springfield Associates Inc., which specializes in the design and blow molding of polyethylene terephthalate (PET) and high-density polyethylene (HDPE) bottles and containers.
Precision Concepts provides rigid packaging services for the food and beverage, personal care, and nutraceuticals sectors.
In addition to its Huntersville facility, the company operates facilities in Mebane, North Carolina; Lawrenceburg, Indiana; and Prescott, Arizona; as well as two in Canada and one in Costa Rica.
Meredith-Springfield is based in Ludlow, Massachusetts. - Southern California-based Peabody Engineering has said it will pump $9.2 million into expanding its operations in Pickens County, South Carolina, with the addition of 48,000 square feet of space and new manufacturing equipment to its existing facility there.
Peabody Engineering is a manufacturer and distributor of storage tanks, telecommunication disguising equipment, and a variety of other plastic products.
The company began operations in Pickens County in 2022, and the enhanced operations are expected to be online in late 2026. - VectorTex USA will pump more than $7 million in the construction of a 25,000-square-foot site at the Elizabethtown Industrial Park in Bladen County, North Carolina.
According to the company ─ a subsidiary of Australia-based Vector Technologies ─ one of the company’s first local projects will be production of plastic oyster floats, which are used to protect oyster farms during major storms.
The manufacturing facility will be the companyʼs first in the U.S. with nearby Bladen Community College helping train employees. - Switzerland-based global packaging supplier Amcor has said it is “embarking on a significant expansion of its North American printing, lamination, and converting capabilities for the protein market.”
The company states that “this expansion, which the company is calling one of its largest investments to date, emphasizes its strong heritage in the meat, poultry, and seafood industries and will support customer demand for flexible packaging.”
“The installation of new, state-of-the-art equipment will increase production through the first half of 2026,” the company says. “Coupled with other recent investments, the expansion and optimization of manufacturing capacity will improve customer service in the forming and non-forming packaging categories.”
The capital investment, adds Amcor, “will also help customers meet their sustainability goals through the conversion to more sustainable packaging solutions.”
Amcor maintains a corporate office in Chicago, as well as several specialized facilities in Lorain, Ohio; Medina, Ohio; and Owensboro, Kentucky.
