Chemical Distributors NAICS 4246

Jan 20, 2026 - OSHA Delays HCS Compliance

• While the Occupational Safety and Health Administration’s (OSHA) four‑month extension of key compliance deadlines under the revised Hazard Communication Standard (HCS) gives chemical distributors temporary relief, it underscores the scale of upcoming operational changes, according to law firm Morgan Lewis. The extension provides manufacturers, importers, distributors, and employers additional time to prepare for significant changes to chemical classification, labeling, safety data sheet (SDS), and employee training requirements. While the extension prevents immediate disruption, distributors remain on the front line of compliance because they must relay accurate labels and SDSs downstream. This means coordinating earlier with manufacturers, updating inventory systems, and preparing for dual‑standard operations as both the 2012 and 2024 HCS versions remain acceptable during the transition. Delays in preparation could create supply‑chain bottlenecks, especially if suppliers lag in issuing updated documentation.
• The proposed merger of the Union Pacific and Norfolk Southern railroads has raised alarm among major industrial users, particularly chemical manufacturers, according to the American Chemistry Council. The ACC warns that combining these two rail giants could significantly reduce competition, raising freight costs and undermining service reliability across critical supply chains. Rail is a linchpin for many manufacturing operations, delivering raw materials to plants and finished goods to markets. With fewer railroads, manufacturers could be stuck with limited shipping options and higher rates, putting US production at a competitive disadvantage globally. The ACC is advocating for stricter regulatory review and calling for policy interventions to preserve rail-to-rail competition rather than enabling greater railroad consolidation. The proposed $85 billion deal was approved by the companies’ shareholders in November, but faces opposition from several states’ attorneys general.

• As the chemical industry adopts cloud-based analytics and remote monitoring, cyber criminals are pivoting from traditional IT infiltration to exploiting misconfigured cloud access and weak credential controls, Chemical Processing reports citing a new study from data security firm Rubrik Zero Labs. The State of Data Security 2025: A Distributed Crisis report concludes that while the transition to multi-cloud hybrid environments is a milestone in the history of business computing, it comes with a high cost in terms of security risks. Threat actors increasingly are exploiting weaknesses like the data sprawl in multi-cloud environments and employing evolving techniques such as identity-based strategies, which now account for most attacks. The Rubrik data cites a 26% increase in cloud intrusions and 79% malware-free attacks. Chemical companies that adopt cloud-enabled operations without understanding the associated risks are vulnerable to extortion, data breaches and data damage, per the Rubrik report.
• Producer prices for chemicals and allied products merchant wholesalers rose 2.1% in September compared to a year ago, after posting a 3.2% gain in the previous September-versus-September annual comparison, according to the latest US Bureau of Labor Statistics data. Wholesale prices, which peaked in 2022, are beginning to rebound from low demand as the industry destocked from record high inventory levels. In August, employment by chemical distributors shrank 1.3% year over year, while average industry wages rose 0.8% over the same period to $34.07 per hour, BLS data show. Average wages at chemical distributors are at historically high levels.