Abundant supplies of domestic natural resources combined with technology advances have revolutionized America’s role in the global energy economy and revitalized our manufacturing sector.
Increased crude oil production in the United States has more than cushioned unplanned global supply outages estimated to be around three million barrels/day in 2014.2 Much of this loss has come from other, often times less stable, parts of the world.
While crude production has increased dramatically, U.S. petroleum demand has declined largely as a result of the recent recession and more efficient automobiles. However, U.S. refiners have been able to adjust and to competitively shift surplus output to the rest of the world, not only because of their efficient and sophisticated facilities, but also because of access to relatively inexpensive domestic and Canadian crude oils together with low-priced natural gas.
Petrochemical manufacturers also are benefitting from increased U.S. production of natural gas which, when processed, provides growing, affordable supplies of petrochemical feedstocks such as ethane and propane. These feedstocks are used to create the products consumers rely on every day. This is stimulating significant expansion in the petrochemical industry, serving American consumers as well as world markets.