1. Short title This Act may be cited as the Renewable Chemicals Act of 2023 . 2. Credits for production of renewable chemicals and investments in renewable chemical production facilities (a) Production of renewable chemicals (1) In general Subpart D of part IV of subchapter A of chapter 1 of the Internal Revenue Code of 1986 is amended by adding at the end the following new section: 45BB. Credit for production of renewable chemicals (a) In general For purposes of section 38, the production credit for renewable chemicals for any taxable year is an amount (determined separately for each renewable chemical) equal to— (1) 15 percent of the sales price of each pound of a renewable chemical— (A) produced— (i) by the taxpayer, or (ii) for the taxpayer by a contract manufacturer under a binding written agreement, and (B) sold for its fair market value at retail by the taxpayer during the taxable year, reduced by (2) a percentage equal to so much of the percentage of the renewable chemical as is not biobased content. (b) Limitation The amount of the credit determined under subsection (a) with respect to a renewable chemical sold during any taxable year shall not exceed the credit amount allocated for purposes of this section by the Secretary to the taxpayer with respect to such chemical for such taxable year under section 48F. (c) Definitions For purposes of this section— (1) Renewable chemical The term renewable chemical means any chemical which— (A) is produced in the United States (or in a territory or possession of the United States) from renewable biomass, (B) is not less than 95 percent biobased content, (C) is not sold or used for the production of any food, feed, fuel, or pharmaceuticals, (D) is approved to use the USDA Certified Biobased Product label under section 9002(b) of the Farm Security and Rural Investment Act of 2002 ( 7 U.S.C. 8102(b) ), and (E) is a chemical intermediate (as such term is defined in section 3201.109 of title 7, Code of Federal Regulations (or successor regulations)). (2) Biobased