Kentucky has a favorable business climate for the chemical industry and its associated business in the Commonwealth. Kentucky's chemical industry employs over 13,500 people (2006) in about 200 company facilities
In addition to this direct economic impact created by the chemical industry in Kentucky, a total of 66,000 jobs in Kentucky are generated indirectly by chemical industry activity in Kentucky and other states.
In total, 79,647 jobs in Kentucky are supported by the chemical industry, generating $3.1 billion annual earnings. The Bluegrass State ranks 21^th in this U.S. industry sector.

In addition to the jobs generated by chemical industry business activity, other Kentucky jobs are dependent on chemical products. These industries use chemical products or chemical-derived products as raw materials in plastics and rubber, agri-chemicals, construction or health care products. Source: American Chemistry 2007

 The plastics industry in Kentucky consists primarily of companies engaged in processing new and recycled plastics resins into intermediate or final products using such processes as compression molding, extrusion molding; injection molding; blow molding; and film & sheet extrusion. Kentucky’s plastic companies produce thousands of products that include everything from foam containers to plastic tent pegs and automotive seats. Name a plastic product and somebody in Kentucky most likely produces it.
 Kentucky is nearly equidistant from the Great Lakes, the Gulf of Mexico and the Atlantic Seaboard. That makes the state an excellent distribution point for plastics industry companies shipping to customers in both northern and southern locations. The plastics industry in Kentucky has 199 total business establishments with 19,576 employees. Twenty-six businesses are in the resin and synthetic rubber manufacturing sector employing 3,093 people. There are 173 businesses in the plastics product manufacturing.

 Most of the nation’s automotive production facilities are within 500 miles of central Kentucky. Since the automotive industry is a major purchaser of rubber and plastics products, Kentucky provides excellent access for just-in-time deliveries. 
Plastics industry employment grows steadily in the U. S. since 1980. Kentucky was ranked 16^th in the country in plastics employment in 2004. (Source: U.S. Census Bureau, 2004)  
Kentucky’s plastic exports have grown to $308,189,580 in 2005 with an average growth of 15% a year. Foreign trade is becoming increasingly important to plastics industry employment. The state exports to Canada, Mexico, Brazil, Japan and the UK.

 Although it currently is only a niche market, one of the brightest spots for growth in the plastics industry is in the area of bio-degradable products. Many nations are looking to bio-degradable and compostable plastics as the solution to their growing plastic disposal problem.

PLA or (polylactic acid) a polymer made from lactic acid formed in the fermentation of cornstarch. PLA polymers are used in plastics that are competitive with or superior to hydrocarbon-based polymers and are completely bio-degradable. The market for non-biodegradable plastics is also expected to grow in the future. In this view, PLA has been designated as a "new generic fiber" by the Federal Trade Commission, thus, opening the door for increased uses and markets. (Source: Kentucky Corn Growers Association, www.KyCGA.org)

More information on Kentucky’s Chemicals, Plastics & Rubber industry you will find here.

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