CIAC member Pyrowave receives $3.3M from Innovation, Science and Industry Canada

The Chemistry Industry Association of Canada (CIAC) is pleased to see the Government of Canada providing CIAC member, Pyrowave, with more than $3 million in funding to support their continued development of clean technologies that help reduce plastic waste, while building healthier communities and transitioning into a modern, circular economy for plastics.

Quebec-based Pyrowave has a patented technology that breaks down plastics using high heat produced by microwaves. This technology is packaged in small, modular units that can be used directly onsite at recycling facilities and at producers of plastic waste.

“Pyrowave is the perfect example of how innovative companies can make a tangible impact in our mission to reduce and eliminate plastic waste,” said Bob Masterson, President and CEO, CIAC. “This technology shows how companies can make great strides in creating a circular economy for plastic waste that generates jobs, grows the Canadian economy, and benefits the environment.”

“Our investment in clean technology not only helps reduce Canada’s environmental impact but also supports innovative Canadian entrepreneurs in getting their clean technologies to global markets,” said the Honourable Navdeep Bains, Minister of Innovation, Science and Industry.

CIAC’s members are committed to developing a more sustainable approach for waste management through better designs, innovative recycling and working with all levels of government. The CIAC and its members have ambitious targets that underscore our commitment to a future without plastic waste. These targets include 100 per cent of plastics packaging being reused, recycled, or recovered by 2040 and 100 per cent of plastics packaging being recyclable or recoverable by 2030.

For full details on the CIAC’s commitment to reducing plastic waste, visit GettingPlasticsRight.ca.

Canada’s chemistry sector commits to enhancing engagement with Indigenous communities

The Chemistry Industry Association of Canada (CIAC) has updated its United Nations-recognized Responsible Care® Codes for 2020 to include new commitments for Canada’s leading chemical companies to engage Indigenous communities through proactive and formal processes.

While developing the codes, the CIAC engaged with Indigenous communities and their leaders, and these new commitments for CIAC members will taking effect this month.

CIAC members’ efforts to meet these important commitments will be assessed during their obligatory Responsible Care verification process, which is undertaken regularly by third parties with results made available to the public on CIAC’s website.

“Since the beginning of Responsible Care in 1985, CIAC members have been obligated to be accountable and responsive to the public, especially local communities who have the right to understand the risks and benefits of what they do,” said Bob Masterson, CIAC President and CEO. “In extending that obligation to specifically include Indigenous communities, Canada’s chemistry sector demonstrates the ongoing relevance of Responsible Care and its ability to be responsive to evolving societal expectations for the industry.”

Responsible Care commitments require CIAC member companies to:

  • Engage with Indigenous People in a manner that respects their unique history, culture and rights;
  • Provide appropriate supports to ensure Indigenous communities have the capacity to engage the company in a meaningful manner; and
  • Provide Indigenous communities with equitable access to employment, contracting and business opportunities.

For more than 30 years, Canada’s chemistry sector has led the journey towards safe, responsible and sustainable chemical manufacturing through its U.N.-recognized sustainability initiative, Responsible Care. Founded in Canada in 1985, Responsible Care is now practised in 73 countries and by 96 of the 100 largest chemical producers in the world. All CIAC members commit to and are publicly verified to the Responsible Care Ethics and Principles for Sustainability and the Responsible Care Codes, which cover all aspects of the company’s business and product lifecycle.

For more information on Responsible Care, visit our website

 

Backgrounder

Responsible Care® Indigenous Communities Code Elements

Responsible Care is the flagship program of the chemistry industry that ensures CIAC members innovate for safer and greener products and processes, and work to continuously improve their environmental, health and safety performance.  Launched in Canada in 1985 (and now adopted in 73 countries and recognized by the United Nations) CIAC member-companies strive to “do the right thing and be seen to do the right thing.”  This is our commitment to sustainability – delivering results for the betterment of society, the environment, and the economy.

Responsible Care® Ethics and Principles

The Ethics and Principles for Sustainability are the bedrock of Responsible Care. Commitment to these ethics and principles is a condition of CIAC membership and extends through to our transportation and service company partners.

Responsible Care is driven by the following core ethics and principles:

  • Work for the improvement of people’s lives and the environment, while striving to do no harm;
  • Be accountable and responsive to the public, especially our local communities, who have the right to understand the risks and benefits of what we do;
  • Take preventative action to protect health and the environment;
  • Innovate for safer products and processes that conserve resources and provide enhanced value;
  • Engage with our business partners to ensure the stewardship and security of our products, services and raw materials throughout their lifecycles;
  • Understand and meet expectations for social responsibility;
  • Work with all stakeholders for public policy and standards that enhance sustainability, act to advance legal requirements and meet or exceed their letter and spirit;
  • Promote awareness of Responsible Care and inspire others to commit to these principles.

Responsible Care® Codes

The Responsible Care Codes influence the decisions our member-companies make every day.  The most senior executive of each CIAC member-company must renew his or her corporate commitment to these principles annually, and this corporate commitment is put into practice through the implementation of a robust management system that drives continuous improvement towards meeting the Responsible Care codes.

Responsible Care is guided by 152 codes of practice covering Operations, Stewardship and Accountability, as described below:

  • Operations Codes: outline how Responsible Care companies should manage their facilities and equipment to ensure that they’re operated in a safe and responsible way. Companies must work to continuously improve the environmental performance of their facilities and processes and reduce their resource consumption.
  • Stewardship Codes: outline how companies must regularly review the value, impact and safety of the products that they make, and the services and technologies that they use. They must also work with their business partners – suppliers, distributors, transporters and customers – to ensure the stewardship and security of their products over their entire life cycle
  • Accountability Codes: outline how companies communicate the risks and benefits of their operations to those who live beside their plants, or in communities along transportation corridors, as well as to other stakeholders, and to work to address any concerns that they may have.

As of January 2020, new codes have been added to the Responsible Care program to formally address Indigenous community engagement within the program.  The new codes supplement the existing Responsible Care’s Accountability Code requirements to encourage proactive engagement, effective and timely communications and dialogue respecting unique history, culture and rights and seek equitable access for employment and contracting opportunities.  The new codes are detailed below:

Indigenous Communities Codes

This section refers to Indigenous Communities that are located in the area near a company-owned or leased production facility.

Engagement with such Indigenous Communities shall be undertaken with respect for their unique history, culture and rights.

The company is expected to identify those aspects of the Indigenous code elements that are appropriate for the size, scope and risk profile of the company, including nature, scale and impacts of its operations, activities, products and services.

These Indigenous code elements are intended to supplement the requirements of the other sections of the Accountability Code.  

The company shall implement and maintain an ongoing process that:

AC 153

Identifies and seeks to pro-actively engage with such Indigenous Communities

AC 154

Seeks to develop and maintain a working relationship with such Indigenous Communities to enable effective communications, dialogue or response to questions, suggestions or concerns expressed so they are addressed in a timely and respectful manner;

AC 155

Provides support, as appropriate, to allow such Indigenous Communities the capacity to engage meaningfully with the Company;

AC 156

Periodically reviews the effectiveness of the outreach, communications and engagement process with such Indigenous Communities;

ACC 157

Provides Indigenous Community members equitable access to employment and contracting opportunities, including procurement and supply chain.

 

Executives from U.S., Canadian, and Mexican chemical industries reaffirm support for new North American Free Trade Agreement

Ottawa, Canada, January 16, 2020 — Leading executives representing the U.S., Canadian and Mexican chemical industries today publicly reaffirmed their support for U.S. ratification of the United States-Mexico-Canada Agreement (USMCA), also known as the Canada-United States-Mexico Agreement (CUSMA) in Canada and the Tratado entre México, Estados Unidos y Canadá (T-MEC) in Mexico.

The announcement, led by American Chemistry Council (ACC) President and CEO, Chris Jahn; Chemistry Industry Association of Canada (CIAC) President and CEO, Bob Masterson; and Asociación Nacional de la Industria Química (ANIQ) President, Miguel Benedetto Alexanderson, comes just hours before an expected U.S. Senate vote on USMCA that would bring the agreement one step closer to ratification. The announcement continues years of collaboration among the three associations on North American trade issues, including a joint March 2017 statement on industry priorities for modernizing the North American Free Trade Agreement (NAFTA).

“We all win under this new agreement,” said ACC’s Jahn. “Our unanimous support for ratifying USMCA is a testimony to the collaborative, highly integrated North American chemical manufacturing sector that is uniquely positioned to continue to grow and create new jobs under the new North American trade pact. For the United States in particular, companies eyeing the U.S. shale gas revolution and chemical production boom should soon have even greater confidence to invest, knowing that they will be able to trade freely with our industry’s largest trading partners in Canada and Mexico,” Jahn added.

“We’re thrilled at the prospect of Canada’s ratification of CUSMA to further minimize barriers to North American chemicals trade,” added CIAC’s Masterson. “Eliminating tariffs and other barriers to trade has changed the conditions of doing business across borders in North America and encouraged regional investment and economic integration. Producers have become more efficient and more productive because they can benefit from vertical specialization and economies of scale. Canadian, Mexican, and U.S. goods – including chemicals, and goods that require chemicals as inputs – are competitive in the global marketplace because they are products of integrated North American supply chains,” he said.

“T-MEC strengthens NAFTA’s legacy of eliminating tariffs – removing barriers to trade, keeping North American manufacturing costs low, and boosting Mexico’s chemicals exports and creating new jobs that depend on those exports,” said ANIQ’s Benedetto. “In particular, T-MEC will enable Mexico, Canada, and the United States to evaluate where they may be able to cooperate and regulate chemicals more efficiently. We see greater regulatory cooperation as an unqualified win for companies here in Mexico and consumers throughout the region who support a risk-based approach to regulating chemicals and protecting human health and safety and the environment,” he said.

 

Fast Facts about the North American Chemicals Industry and Trading Relationship:

U.S. Business of Chemistry (in US dollars):

  • The U.S. business of chemistry is a US$553 billion enterprise that provides 542,000 skilled, good-paying American jobs.
  • American chemistry supports over 25 percent of U.S. GDP; provides 14 percent of the world’s chemicals; and accounts for 10 percent of all U.S. goods exports.
  • In 2018, U.S. chemical manufacturers exported $46 billion, or one-third of all U.S. chemicals exports, to Canada and Mexico. Around 44 percent of U.S. chemicals exports to Canada and Mexico are to related parties.
  • Nearly a quarter of all U.S. chemical imports are from Canada and Mexico. 64 percent of those imports are from related parties.
  • Trade with Canada and Mexico supports 46,000 U.S. chemical industry jobs.

Business of Chemistry in Canada (in Canadian dollars):

  • The Canadian chemical industry is responsible for CA$58 billion in chemical shipments.
  • Canada traded $65.1 billion in chemical products with the U.S. and Mexico in 2018.
  • The Canadian chemistry industry employs approximately 87,900 workers.

Business of Chemistry in Mexico (in US dollars):

  • Mexico’s chemical industry produced 22,675 tons of chemicals in 2018 and is responsible for $20.4 billion in chemical shipments.
  • Mexico traded $27.7 billion in chemical products with the United States and Canada in 2018. Chemicals trade between Mexico and all of its trading partners was $43.3 billion.
  • The Mexican chemical industry employs approximately 48,148 workers.

CIAC receives funding from Transport Canada to support railway safety across Canada

Ottawa, Canada, January 7, 2020 — The Chemistry Industry Association of Canada (CIAC) is pleased to announce Transport Canada’s Railway Safety Improvement Program (RSIP) will provide $219,750 in financial support over three years to help CIAC improve railway safety and education in communities across Canada.

The CIAC and its Transportation Community Awareness and Emergency Response initiative (TRANSCAER®) partners, including the Railway Association of Canada, successfully applied for funding to support three key activities that are focused on improving railway safety and training for people and communities along transportation routes.

The three key activities include:

  1. Construction of a new TRANSCAER® Safety Train—a railway tank car that will be converted into a classroom on wheels for the purpose of training emergency responders. The original Safety Train was retired in 2018. The pioneering concept has since been adopted by other organizations across North America and around the world.
  2. Development of advanced training tools—including virtual reality educational tools—that will allow state-of-the-art training and education in even the most remote communities. These enhanced learning and virtual reality training tools will help reach underserved regions of the country, such as the North, where the transit of the TRANSCAER® Safety Train may be more challenging.
  3. Delivering a Canada-wide series of training sessions for our target audiences using these new tools.

“Canada’s chemistry sector relies on the country’s railways to ship roughly 80 per cent of its production, including dangerous goods,” said Bob Masterson, President and CEO, CIAC . “This funding allows the CIAC and our TRANSCAER® initiative to reach, train, and educate even more stakeholders and communities across the country making sure they are informed about the products being moved through their area by rail, and what measures are in place to ensure their safe transportation.”

The enhanced educational tools and outreach efforts will focus on a variety of audiences in communities across the country, including first responders, community leaders, the general public, and Indigenous communities.

Competitiveness and Investment in Alberta: A View from the Chemistry Industry

Alberta is seeing positive signs that the government is serious about attracting investment to the provincereinforcing competition and strengthening the province’s economy.  

The Chemistry Industry Association of Canada (CIAC) sees 2019 as being a good year for the chemistry sector – a sector that contributes $58 billion to the Canadian economy annually and $16 billion of that here in Alberta 

In Alberta, we’re encouraged by the investment that is taking place right now at two propane to polypropylene facilities worth a combined $9 billion along with two other recently announced projects awaiting final investment decisions that are worth a combined $2.6 billion 

Premier Jason Kenney’s government has reaffirmed its commitment to the Petrochemicals Diversification Program which will see $1.1 billion of royalty credits supporting $15-20 billion of new incremental investment in the province, creating jobs and driving economic activity around Alberta. 

And they didn’t stop there, the government has further strengthened the business environment in Alberta by:  

  • Decreasing corporate taxes to help make Albertabased businesses more competitive  
  • Matching the federal treatment of accelerated capital cost allowance allowing for 100 per cent in year deduction of qualifying capital investment increasing the competitiveness of new capital investment in Alberta. 
  • Launching a new TEIR program that places an appropriate price on carbon, protects export-focused sectors such as chemistry and strengthenthe case for low carbon chemistry investments in Alberta.  
  • Starting Red Tape Reduction Program and changing the Municipal Government Act to enable property tax holidays for qualifying investment will help investments get from the C-suite to the construction yard. 

 At CIAC, we see a positive, growing business landscape for Alberta going forward. Given the province’s attractive low carbon resource base, its skilled workforce and a strong business environment we see unlimited potential for new investment in low carbon chemistry in Alberta. 

 Of course, opportunity does not come without challenges and we will continue to encourage the Alberta government to advocate for:

  • Aopen and competitive national rail transportation network required to get chemistry products and other commodities to marketWe urge Alberta to work with the class 1 railways, neighbouring provinces and the federal government to ensure that goods can move efficiently to end markets.  
     
  • New and innovative policies to attract research and development mandates to Alberta. Solving our most pressing problems, from climate change to building circular economy for plastics, will require the ingenuity and products that chemistry providesThe chemistry sector is a knowledge industry and globally is responsible for the second-most patent grants of any sector and in Canada has the second-highest percentage of university graduates in our workforce – in both cases, only following the IT sector
     
  • Gas flows need markets, like that for LNG Canada, to ensure feedstocks are available to support chemistry investments 

 The economy of tomorrow will need chemistry solutions; whether it be for lowering GHG emissions, creating stronger, longerlasting consumer products, or increasing the energy efficiency of our built environment, chemistry is at the heart of innovationWith proper investment and focus, many of these solutions will be researcheddeveloped and manufactured right here in Alberta.  

 This is what happens when governments are serious about attracting new investmentwe have $billion in investments underwaya further $2.6 billion announced in Alberta and anticipate another $20 billion more coming. Other provinces and the federal government should be paying close attention. 

CIAC Welcomes CUSMA Agreement

December 12, 2019

The Chemistry Industry Association of Canada (CIAC) is pleased to see that Canada, the United States and Mexico have concluded final negotiations on the CUSMA agreement – an agreement designed to level the playing field and grow the economies of all three nations.  

While further study is needed to assess the final arrangements agreed upon today, CIAC believes that common environmental and labour standards between our North American counterparts are vital to a successful trading relationship.  

“More than two years of hard work by individuals from all three countries have proved to be a major step forward for trade in North America,” said Bob Masterson, President and CEO of CIAC. “The actions that will be taken to improve regulatory cooperation between Canada, the U.S., and Mexico will deepen the integration that exists in the chemicals supply chains in all three countries which will go a long way to attracting new investment to the continent’s chemistry sector.” 

The chemistry industry is one of the most internationally traded sectors in the world; in 2018 CUSMA partners traded approximately $70 billion worth of chemistry products according to the American Chemistry Council (ACC).  

A strong and open trading relationship with our North American neighbours is the cornerstone of Canada’s economy and for the continued success of the chemistry sectorThe trilateral trade agreement between the three countries will help attract investment and continue to develop an efficient, highly integrated chemicals supply chain across North America.  

We would like to thank our Canadian, American and Mexican trade officials and elected representatives for all their hard work over the last two and a half years.  

CIAC very pleased to see tentative deal reached to end CN strike

November 26, 2019

The Chemistry Industry Association of Canada (CIAC) is very pleased to see the conditional agreement between Canadian National Railway (CN) and Teamsters Canada to renew the collective agreement for over 3,000 conductors, trainpersons and yard workers.

CIAC believes CN and Teamsters Canada came to the correct decision while under tremendous pressure from all stakeholders to reach an agreement and applauds that decision.

“While we are very happy to see the two sides come to a tentative agreement, some difficult days remain ahead and it will take a few weeks before service for our members is fully restored,” said Bob Masterson, President and CEO of CIAC.

“CN is expected to place priority on critical goods such as home and vehicle fuels and water treatment chemicals, for example. Other facilities and industries could be waiting some time before they see full cars leave their facility sites and empty cars return.”

Mr. Masterson pointed out that some facilities will likely need to slow or suspend operations until that occurs, hopefully, without having to furlough workers.

Many of CIAC members are captive to rail – there are no viable alternatives for shipments. This can be because they have service with only one rail shipper, the volume of product or the type of products they ship. Larger companies can ship and receive approximately 80 rail cars per day.

“After three straight years of rail service disruption, it is time to take stock of lessons learned. The major railways, CN and Canadian Pacific Railway are too important to the nation’s economy and safety. It is time they are deemed essential public services so that future such disruptions can be minimized,” Mr. Masterson said.

Chemicals account for nearly 14 per cent of all Canadian rail traffic, with $63 million-worth of industrial chemical products relying on Canada’s rail network to get to their destinations every single day. The impacts of any rail delays or work stoppages are immediate, severe, and long-lasting for CIAC member-companies. The economic impact of a work stoppages averages $1 million per day, per facility.

 

Chemistry industry urges government and CN to work together to get goods moving again

November 19, 2019

OTTAWA – The Chemistry Industry Association of Canada (CIAC) urges the Government of Canada, Canadian National Railway (CN) and Teamsters Canada to work together to prevent serious damage to the Canadian economy and get critical goods moving in Canada again.

“The current work stoppage is extremely detrimental to the Canadian economy and to our member-companies who rely exclusively on rail to ship roughly 80 per cent of their production,” said Bob Masterson, President and CEO of CIAC.

“Fully $38 million worth of industrial chemical products rely on CN’s network to get to their destinations every single day and that the economic impact of the work stoppage is $1 million per day per facility that is shutdown. Some of those goods are also essential to core public services such as water treatment. We urge both sides to consider the far-reaching and urgent economic implications the strike activity and work stoppage at CN is having on industry.”

In many cases, chemical plants are continuous operations that require reliable, uninterrupted rail service to produce and deliver essential products to customers. In the event of an interruption, they quickly run out of storage capacity and incur shortages for incoming raw materials.

The impacts of a CN strike are immediate, severe, and long-lasting as there are no viable alternatives for shipments. Many CIAC members are captive to CN’s network. Even those served by both CN and Canadian Pacific Railway (CP) have been told that CP’s network is not in a position to take on extra capacity.

CIAC believes that a negotiated solution is always the preferred outcome. Should negotiations fail, however, the Government of Canada must be prepared to act quickly and in the national interest to order the parties to return to work and the negotiating table.

About CIAC:

The Chemistry Industry Association of Canada (CIAC) is the Association for leaders in the chemistry sector in Canada; a $58 billion industry. The Association represents more than 60 members and partners across the country. Members of CIAC are signatories to Responsible Care® – the Association’s UN-recognized sustainability initiative.

Canadian plastics and chemistry associations to create new combined plastics division

Advocacy efforts to focus on building a circular economy for plastics

November 13, 2019

The Chemistry Industry Association of Canada (CIAC) and the Canadian Plastics Industry Association (CPIA) today announced they are joining forces to create a new plastics division to be housed within the CIAC. Pending CIAC and CPIA Board and member approval, the division would be operational in July 2020.

CIAC and CPIA have a history of working collaboratively on projects and issues throughout the years. In 2018, CIAC and CPIA and their members jointly announced ambitious waste reduction targets of 100 per cent of plastics packaging being reused, recycled, or recovered by 2040 and 100 per cent of plastics packaging being recyclable or recoverable by 2030. Additionally, they agreed to a broader commitment to Operation Clean SweepÒ.

“CIAC and CPIA have very complementary strengths and mandates,” said Joel Rudolph, Vice President Strategy and Business Development, Farnell Packaging and Chair, CPIA Board of Directors. “Combining those strengths will increase our share of voice about urgent plastics issues with important stakeholders at a time when our sector needs the clearest and most unified national voice possible.”

“The chemistry and plastics sectors have a long history of innovation to solve society’s most pressing needs by developing new processes, solutions and products,” said Ed Bechberger, President, ERCO Worldwide and Chair, CIAC Board of Directors. “Our Boards agree that the time is definitely right to come together and facilitate the shift to a circular economy.”

The Boards of the two organizations are continuing their due diligence, with the intention of finalizing agreements and recommending confirmation of the transaction by members in Q1 of 2020, with a target closing date of Canada Day 2020. There will be change for each organization should the realignment be approved, and the details of those plans will be developed in the next few months. As part of the process, CPIA will be wound up and dissolved.

About CPIA:
Since 1943, the Canadian Plastics Industry Association has served as the national voice for and leader in plastics industry sustainability across Canada, representing the interests of plastics value chain including resin and raw material suppliers, processors/converters, equipment suppliers, recyclers and brand owners.

About CIAC:
The Chemistry Industry Association of Canada (CIAC) is the Association for leaders in the chemistry sector in Canada; a $58 billion industry. The Association represents more than 60 members and partners across the country. Members of CIAC are signatories to Responsible Care® – the Association’s UN-recognized sustainability initiative.

Ontario Fall Economic Statement addresses business competitiveness

The Chemistry Industry Association of Canada (CIAC) congratulates the Ontario Minister of Finance on delivering the 2019 Fall Economic Statement. We are very pleased with the steps taken so far to address business competitiveness and that the province recognizes that more work remains to be done to win new business investments. CIAC firmly agrees that Ontario must remain vigilant in eliminating the budgetary deficit.

Among the initiatives contained in the 2019 Fall Economic Statement, CIAC is very pleased to see the province:

  • Establish the Premier’s Advisory Council on Competitiveness to determine the essential elements that will help Ontario win large scale business investments and more well-paying jobs.
  • Continue the commitment to eliminate unnecessary red tape that adds cost, time and complexity that do not serve a public interest.
  • Relaunch of the Eastern Ontario and Southwestern Ontario Development Fund programs.
  • Lowering the small business corporate income tax and employment payroll costs.
  • Review existing power generation contracts to find saving opportunities.
  • Official Annual Day of Action on Litter beginning May 12, 2020.

Ontario’s $24-billion chemistry industry is the third-largest manufacturing industry and second largest exporting sector in the province. The sector is a key employer in the Sarnia-Lambton, GTA/Niagara and eastern Ontario regions and directly employs 46,000 Ontarians in well-paying jobs and supports another 220,000 Ontario jobs. Our sector provides important inputs to a range of key manufacturing sectors in the province including automotive, forest products, construction, and food and beverage. The chemistry sector is a key source of innovation and is an indispensable solutions provider to address the challenges of climate change, clean air and water and waste recovery. Ontario’s chemical manufacturers must compete globally both for market share and investment.

The chemistry sector is the fastest growing manufacturing sector in the United States. Over C$300 billion in investments have started or have been announced in the current business cycle, principally in the U.S. Gulf Coast and Midwest. Ontario has an opportunity to benefit from this investment wave.

CIAC is pleased to continue to work with the Ontario Government on the many priorities to create a prosperous Ontario that is once again the economic engine of the country.

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