Cap Hill DC

Over 100 members and staff of the National Association of Chemical Distributors (NACD) assembled on Capitol Hill last week for NACD’s annual Washington Fly-In. NACD members met with Congressional representatives to discuss legislation to support the recovery and growth of American businesses in response to the incredible challenges they have faced in recent years.

Chemical distributors – many of whom are small businesses – urged lawmakers to address industry concerns including freight rail reform, trade, and chemical facility security.

The chemical distribution industry depends on timely, safe, and reliable freight rail transportation to ensure products essential to Americans’ everyday lives, including medical devices, electronics, water treatment, and more are moving efficiently through the supply chain. The devastating train derailment in East Palestine, Ohio, has directed the public eye to underlying issues within the freight rail industry that have contributed to a significantly reduced workforce and a serious deterioration in service. NACD members will urge Members of Congress from both sides of the aisle to ensure comprehensive reform legislation is agreed upon and sent to President Biden’s desk.

NACD members also encouraged Congress to reauthorize critical programs that have long enjoyed bipartisan support. These include two key trade programs – the Generalized System of Preferences (GSP) and Miscellaneous Tariff Bill (MTB) – which facilitate access to and lower costs for many essential products and help diversify the chemical products supply chain. Both should be renewed retroactively as soon as possible. The Chemical Facility Anti-Terrorism Standards (CFATS) program must also be reauthorized. CFATS brings stability to the chemical industry and the U.S. Department of Homeland Security in managing the security at our nation’s chemical facilities and will sunset on July 27, 2023 without Congressional action.

“The chemical distribution industry has a significant impact on the U.S. economy, directly producing more than 75,000 high quality jobs and generating billions in federal, state and local taxes—money that helps fund state and local schools, roadways, and other projects,” says Eric R. Byer, president and CEO of NACD. “The U.S. economy relies on the continued success of American small businesses, like chemical distributors, and chemical distributors rely on Congress to ensure reliable transportation, robust trade, and secure facilities to guarantee we are able to continue contributing to our local and global economies.”