2025 Outlook: How Will a Second Trump Presidency Impact the Chemical Sector?

Immediately after President Donald Trump’s second term began on 20 January 2025, he began issuing executive orders, several of which will impact the chemical industry. These directives emphasize extensive deregulation, regulatory oversight reduction, and energy production prioritization.

The flurry of executive orders likely will present both difficulties and opportunities. Rob Campbell, a senior chemical business advisor for 3E, anticipates that the Trump administration will enact policies that may challenge the chemical sector in the short term.

“The Trump administration’s view seems to be short-term pain for long-term gain. They are trading inflationary actions for increased domestic output,” Campbell said. “A risky move, and only time will tell if it was the right one.”

Here are some potential policy shifts and recent trends that could affect the U.S. chemical industry based on what Campbell and other experts have seen and what these developments could mean for chemical manufacturers and U.S. product regulation.