President Donald J. Trump announced on July 13 a two-year exemption for certain stationary sources in the chemical manufacturing sector from compliance with specific requirements of the Environmental Protection Agency’s HON Rule. The HON Rule, published by the EPA on May 16, 2024, introduced new emissions-control standards for synthetic organic chemical manufacturing and polymers and resins industries under section 112 of the Clean Air Act.
According to the proclamation, many facilities would face significant burdens due to testing and monitoring requirements that rely on technologies not practically available or demonstrated at scale. The President said these requirements could force shutdowns or major capital investments before any proven pathway to compliance exists. “A disruption of this capacity would weaken key supply chains, increase dependence on foreign producers, and impair our ability to respond effectively in a time of crisis,” Trump said.
The exemption applies specifically to stationary sources listed in Annex I of the proclamation. These facilities will have all compliance deadlines under the HON Rule extended by two years from their original dates. During this period, they will continue operating under previous standards as they existed before implementation of the HON Rule.
Trump stated that technology necessary for compliance with the new rule is not commercially viable within current timelines: “The technology to implement the HON Rule is not available. Such technology does not exist in a commercially viable form sufficient to allow implementation of and compliance with the HON Rule by the compliance dates in the HON Rule.” He also said national security interests support issuing this exemption due to potential impacts on critical infrastructure sectors such as energy, defense, agriculture, health care, advanced manufacturing, medical sterilization, semiconductors, and national defense systems.
The proclamation concludes that maintaining domestic chemical production is essential for economic resilience and preparedness against adversaries’ influence over critical materials supply chains.