Are innovation and the law at odds? A closer look shows that stronger laws for the management of hazardous chemicals help to drive innovation in chemical and product sectors. Innovation is especially relevant today as the US$ 4.1 trillion (3.1 trillion euro) global chemical industry faces increasing pressure from consumers, retailers, and investors demanding safer products. At the same time, emerging economies are increasingly well-positioned to become leaders in chemical innovation, potentially leaving Western Europe and the United States behind. Together, all of these forces are instigating changes in how governments, chemical manufacturers, and downstream users of chemicals are working to ensure chemical safety and drive innovation. The Center for International Environmental Law (CIEL) examined the impact of laws governing hazardous chemicals in terms of their effect on innovation.