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Auto suppliers optimistic on resin shortage

April 26/2012

(Reuters) -- Fears that a shortage of a nylon resin used in auto manufacturing will cut deeply into production worldwide are easing some, but there is still a danger that output may be curtailed, according to an industry executive.

The shortage stems from a March 31 blast at a German chemical plant owned by Evonik Industries AG. The explosion killed two workers and shut production of a key material used to produce PA-12. Evonik is a leading producer of both P-12 and the material used to produce it, called cyclododecatriene, or CDT.

Two auto suppliers, Eaton Corp and Delphi Automotive , on earnings calls this week said the shortage of PA-12 has not hit their production and company executives were optimistic that auto output will not be greatly affected.World supplies of nylon 12, constrained by a plant explosion, may last for four to six weeks, a US-based automobile group said.

In response to the potential shortage in PA 12 supply, AIAG facilitated a critical multi-stakeholder workshop
to fast-track the approval process for replacement materials for use in multi-layer tubing assemblies, metal
tubing and other automotive applications.
Author:Anna Larionova
Tags:PVC, rubber, polyether, car components.
Category:General News
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