On Wednesday, May 14, more than 100 members and staff of the Alliance for Chemical Distribution (ACD) convened on Capitol Hill to kick off ACD’s annual Washington Fly-In. Participants met with lawmakers to discuss key issues impacting the chemical distribution industry and urged Congress to address legislation that will support the chemical supply chain, the chemical distribution industry, and the economy at large.

“The chemical distribution industry is made up of experts who navigate a constantly evolving supply chain and regulatory landscape,” said Eric R. Byer, president and CEO of ACD. “Our members are our best advocates, and through open conversations on the most pressing issues facing our industry, we aim to drive progress on the key legislative and regulatory challenges that are central to the competitiveness of our industry and the success of countless other sectors that depend on the chemical supply chain.”

Key issues addressed at the Fly-In included tax issues important to small businesses, the renewal of trade programs, and chemical facility security. 

ACD urged Congress to support tax policies that ease compliance and financial burdens on small businesses, which are vital to the chemical supply chain. The ACD emphasized that extending existing small business tax cuts and repealing unnecessary taxes on specific chemicals will help ensure their continued growth and success.

Small businesses, which make up the majority of ACD members, are vital to the U.S. economy and chemical supply chain. ACD urged Congress to extend current small business tax cuts and eliminate unnecessary taxes and compliance burdens to support their continued growth.

ACD urged Congress to fully and retroactively renew the expired Generalized System of Preferences (GSP) and Miscellaneous Tariff Bill (MTB) programs. The association stated that these trade programs are essential for keeping costs low and ensuring adequate supply of chemical products no longer produced in the United States.

ACD stated that the association supports efforts to strengthen U.S. shipbuilding through increased use of American-built, -flagged, and -operated ships. However, it urged policymakers to avoid trade measures — such as new fees on Chinese vessels — that could raise costs and place additional burdens on U.S. businesses.

ACD urged Congress to immediately reauthorize the Chemical Facilities Anti-Terrorism Standards (CFATS) program, which expired in July 2023. The association stated that without this bipartisan public-private partnership, high-risk chemical facilities are more vulnerable to security threats and lack critical support for safeguarding their operations and surrounding communities.

“Onerous administrative burdens, unnecessary costs, and supply chain disruptions are causing serious uncertainty for our members and their customers,” continued Byer. “Chemical distribution contributes more than $27.5 billion to the U.S. economy. While most of ACD’s members are small businesses, our industry has a big impact, and Congress must support commonsense policies that ensure the success and growth of chemical distribution today and in the months and years to come.”

Learn more about The ACD at www.acd-chem.com.