Chemical companies have been experiencing increased competition from abroad, which has led many to compete overseas themselves. Sales have been increasing outside the United States, and production has also started moving abroad. Heavy industry and commodity chemicals have been moving outside the United States to take advantage of cheaper labor costs, reduced regulation, and proximity to foreign customer bases, all of which further lowers the domestic job base.

Government regulations also affect the trajectory of technology, business, and job growth. Although regulation can have a negative impact in certain sectors, it can increase business opportunities in others. For example, new environmental regulations can lead to the development of new products and services, but the costs of compliance may increase for many firms.

Over the next few years, R&D funding is expected to remain flat or increase only slightly in the chemical industry because of competition and an emphasis on cost reduction. Companies are establishing more joint partnerships with customers, competitors, universities, and national laboratories to reduce R&D costs. Basic research for its own sake is not emphasized; rather, the focus is on applied research to generate products that can be brought to market quickly.

Overall, the funding of R&D is changing to reflect an increased business focus. Chemical professionals must deal with advanced technologies in many fields, and they must be able to communicate with scientists and engineers in other disciplines. The chemical industry faces strong international competition and a globalization of manufacturing. Production is emphasized, and in general, product life cycles are shortened. These changes mean that work must be accomplished more efficiently and with greater quality, because there is a smaller margin for error.