In Nigeria trade of PE and PP came to a standstill

(ICIS) -- Trade of polyethylene (PE) and polypropylene (PP) has come to a standstill in Nigeria, as most businesses remain closed during the nationwide strike against fuel price hikes, a producer based in the country said on Wednesday. Nigerian unions declared an indefinite strike on 9 January after the government's removal of a fuel subsidy effectively doubled fuel and transport costs. Nigeria is one of the four biggest PE/PP markets in Africa, the others being South Africa, Egypt and Kenya.


Business transactions have come to a standstill, the producer source told ICIS via email: ⌠The year has not started well in Nigeria. Right now, the economy is paralysed. ⌠Banks, ports [air and sea], schools [and] offices are all closed. Right now, it's a fragile situation.

A Europe-based distributor that regularly exports to Nigeria said: ⌠Customers have not been working for two days. It is very new, and it will have an impact, depending on how long it lasts. It could change overnight.


The producer expressed its concern that the issue would not be resolved within a few days: ⌠It looks [like] it will take some time. We need better luck, and plenty of it.


Slow demand from the key market of Nigeria could push prices down in the western African region, market sources said. According to ICIS assessments, prices in the region are in the range of USD1,330-1,520/tonne (EUR1,037-1,186/tonne) CFR (cost & freight) for three different PE film grades.


MRC

Belgian polyurethane foam specialist Recticel to close Dutch plant

(Plasteurope) -- As part of the ongoing process of streamlining its flexible foam operations, Belgian polyurethane foam specialist Recticel (Brussels) on 10 January 2012 announced its decision to close its comfort foam converting plant in Bladel/The Netherlands by mid-2012.
The decision will affect 51 employees. Recticel said it expects the estimated costs of the closure to be largely neutralised by the expected capital gains on the sale of the plant's assets.


At the end of last year, the Belgian PU foam specialist had shut down its foam converting plant in North Shields/UK.


MRC

US Cabot new range of elastomer composites to provide increased durability

(Plasteurope) -- US specialty chemicals producer Cabot (Boston, Massachusetts) says its new range of high performance elastomer composites is designed to provide increased durability in wear resistance and vibration isolation applications. The ⌠Transfinity products are made from elastomer latex and reinforcing particles, such as carbon black, and through the addition of curing agents can be moulded or extruded and vulcanised to create shaped elastic parts.


The elastomers are suitable for applications in the mining, defence, automotive and aerospace industries. In automotive applications, their use can allow the design of smaller suspension components, reducing vehicle weight and improving fuel economy, Cabot says.


The elastomers can also be used to extend the range of rubber pads or tracks on military vehicles, allowing tanks to travel further without service, and to improve the service life of components in airplanes and helicopters. In mining operations, they can be used as protective liners for mineral processing equipment.


MRC

Abolition of PVC duties in China and ASEAN to increase export of Chinese PVC

MOSCOW (MRC) -- Since the 1st of January 2012, the agreement on free trade оf PVC between China and ASEAN came into force. To a greater extent this agreement is beneficial to the Chinese side, which will be able to increase exports to these countries, according to MRC analysts.


From January 1, 2012, there were cancelled customs duty on PVC import in accordance with the agreement on China-ASEAN free trade between China and six member countries of the Union (Indonesia, Malaysia, Thailand, Philippines, Singapore and Brunei-Darussalam). According to Chinese customs, imports of PVC in 2010 was about 1.2 million tonnes, with about 87% of the total imports that fell on resin producers from USA, Japan and Taiwan (328 thousand tonnes, 427 thousand tonnes and 284 thousand tonnes, respectively).


Over the eleven months of 2011, imports of PVC to China reduced to 944 thousand tonnes, with about 817 thousand tonnes that fell on the resin from the U.S., Japan and Taiwan.


Exports of PVC from China, on the contrary, increases. In 2010, the total export volume of Chinese PVC was about 218 thousand tonnes. The leaders of resin imports from China were Russia, Uzbekistan and South Korea, with 113 thousand tonnes, 20 thousand tonnes and 23 thousand tonnes respectively. Over the eleven months of 2011, exports of PVC from China grew to 355 thousand tonnes, the main exports volume fell on Russia, Korea and Uzbekistan (114 thousand tonnes, 28 thousand tonnes and 25 thousand tonnes respectively).

According to some market participants, this agreement will not change the structure of PVC imports to China seriously. Quite a long time the main foreign suppliers of PVC to China have been the producers from the United States, Japan and Taiwan, and it will be very difficult to press them out of the Chinese market, first of all because of the limited production capacities of PVC in ASEAN countries.

Thus in Thailand, which is the most developed in terms of consumption and production, the output of PVC makes about 1 million tonnes, while domestic consumption is slightly more than 500 thousand tonnes.


The agreement will allow China to increase PVC exports to these countries. According to preliminary data by January 1, 2012 the total capacity of Chinese producers of PVC had reached 19 million tonnes per year. In 2010, PVC consumption in China made around 12 million tonnes.


MRC

Crimea Titan reached record production capacity in 2011

(titanexport) -- 2011 saw Crimea TITAN produce 108 069 tones of its main product which is an all-time best record since the foundation of the plant. To compare: 2010 saw 105 681 tones of titanium dioxide produced. Original design capacity of the plant amounted to 80 thsn. tones of titanium dioxide per year.

Breakthrough in production capacity was possible due to large-scale modernization of the plant as well as determined professional effort from the plant workers.

MRC