Dow to close plants in Europe and the Americas

(plasteurope) -- As part of its Efficiency for Growth plan, first launched in 2011, US chemical giant Dow (Midland, Michigan) has said it will close some of its plants in Europe as well as in both North and South America.

The move, which Dow said comes in response to the ongoing weakness in Europe's economy, will see the group shed about 900 jobs worldwide. The actions are expected to generated annual saving of about USD 250m, the chemical group said, adding that these were part of its goal to deliver an additional USD 250m in cash flow from cost interventions launched this year. As a result of the actions, Dow said it would take USD 350m in charges in Q1 2012 related to asset impairments and write-offs as well as severance payments and other costs.

Dow's "Styrofoam" production plant in Charleston, Illinois, is one of the facilities earmarked for closure (Photo: Dow)
As part of the plan, Dow will shut down three of its ⌠Styrofoam production plants, located in Estarreja / Portugal, Balatonfuzfo / Hungary as well as Charleston, Illinois / USA. The group also said it would idle its XPS line in Terneuzen / The Netherlands. In Latin America, Dow plans to shut its 60,000 t/y TDI plant in Camacari / Brazil. In addition to the closures, the US group said it would consolidate some of its other polyurethane and epoxy assets.
MRC

(plasticsinfomart) -- Asian PP producers continue to face margin pressure even after announcing significant increases on their new April prices as spot propylene prices on an FOB Korea basis jumped higher over the past week to reach their highest levels since September 2011.

PP producers are likely to face difficulty in persuading buyers to accept another round of price increases as converters are already offering resistance to sellers' most recent price hikes.

Overseas PP producers active in China report that it will be difficult to press for further price increases for now as demand is not very encouraging and their higher initial April announcements have already been encountering resistance from buyers. A source at a Saudi Arabian producer complained, ⌠We would like to ask for another round of price increases but cannot do so for now as we are struggling to conclude deals at our current price levels. The bids we are receiving from our customers stand well below our new April prices.

Another Saudi Arabian producer expressed a bearish outlook for the coming month even after they managed to conclude some deals at their new April prices. ⌠We feel that prices may not be able to maintain their current levels as demand is not all that strong and buyers will offer strong resistance to another round of price hikes, a producer source reported.

MRC

(plasticsinfomart) -- A new report from Research and Markets , Packaging (Plastics) Market Report 2012, analyzes the UK plastic packaging market, currently the fastest growing market in the packaging industry.

In 2010, the plastic packaging market experienced growth, following a loss in value as the recession affected demand in both the UK and overseas. The market for plastic packaging was worth 3.7 billion in 2011, an increase of 1.4% on the previous year, and a rise of 13.2% on the market size five years earlier in 2007.

Packaging is currently the leading application for plastics in the UK, providing packaging for end-use industries such as the food and drink, pharmaceutical, cosmetics, personal care and household care industries. In the majority of these industries plastics have become the most extensively used packaging material and, if this trend continues, they are likely to overtake paper and board as the most popular material in the packaging industry.
MRC

(plastemart) -- In the last few years, Russia's Tatarstan region has emerged as an attractive investment hub for Indian companies.

Tatarstan and RIL have agreed to set up a joint working group of specialists to develop strategic partnership in petrochemical and oil refining sectors, specially in crude oil refining.

The agreement was reached during the visit of a high-profile delegation led by Tatarstan's President Rustam Minnikhanov to Jamnagar in Gujarat (India) on March 22, in order to get on-the-spot information about the manufacturing processes and study the advanced oil refining technologies launched by the RIL, the largest private sector enterprise in India.
MRC

(plastemart) -- A new PET packaging material; Artenius FastFlow+ has been designed and developed by Artenius, the PET & Recycling Division of Artenius and LSB. This is the latest generation of ⌠fast-reheat PET resins, and is built on the success of Artenius' hugely successful FastFlow resin.

It works by capturing heat energy in the blowing process more efficiently, thereby reducing the overall amount needed. This leads to energy savings of more than 20% in comparison to standard PET resins, and can also allow for a higher production output of bottles per hour. This means that as well as saving cost, an important reduction in carbon footprint is also achievable.

Thanks to its optimised formulation, Artenius FastFlow+ offers wider injection stretch blow molding (ISBM) and stretch blow molding (SBM) windows. It also offers the ability to blow thinner walled preforms into more complex bottle shapes that otherwise would not be possible. Its intrinsic viscosity level is consistent with market needs, and is especially suited for light-weighting initiatives.

The resin has superior reheat absorption, even at ultra-high speed stretch blow moulding. The new formulation includes a new additive for absorbing Near Infra-Red (NIR) radiation, to heat up the polymer allowing less energy consumption when blowing the preform into bottle.The faster absorption of heat inside the preform results in a more efficient blowing process. Even in older blow moulding machines, which can be heat input limited, Artenius FastFlow+ provides the opportunity to optimize throughput rates.
MRC