Why is the chemical industry described as its own best customer?

The chemical industry is described as its own best customer because its products rarely reach the ultimate consumer in their initial form. Instead, the industry functions through a complex, multi-stage process where products are frequently passed from one factory to another for further processing.1

This internal cycle occurs because the industry converts raw materials into primary, secondary, and tertiary products, with primary products being the most remote from the final consumer. Many substances generated during these transformations serve as chemical intermediates, which are produced in one step and consumed in the next to create more specialized derivatives. Consequently, an average chemical product may undergo multiple rounds of manufacturing and refinement within the industry before it is finally sold to an external market or used in other sectors, such as the textile, pharmaceutical, or cosmetic industries.12