European countries resume imports of petrochemical products from Iran

MOSCOW (MRC) -- European countries such as Italy, Spain and Greece have resumed imports of petrochemical products from Iran, said Plastemart, citing a senior Iranian energy official.

Iran’s oil and petrochemical exports have increased following some sanctions relief, including the EU and US bans on the country’s petrochemical exports. The ban ease is part of an agreement inked in Geneva last November between Iran and the five permanent members of the UN Security Council - the US, France, Britain, Russia, and China - plus Germany, under which the six countries agreed to provide Iran with some sanctions relief in exchange for Iran agreeing to limit certain aspects of its nuclear activities during a six-month period. The Geneva deal took effect on January 20.

As MRC wrote before, a ban on the import of Iranian petrochemical goods came into effect on 1 May 2012. In early June 2013, the US announced new sanctions against Iran by identifying eight Iranian petrochemical companies it claims to be owned or controlled by the Iranian government, namely Bou Ali Sina Petrochemical Company, Mobin Petrochemical Company, Nouri Petrochemical Company, Pars Petrochemical Company, Shahid Tondgouyan Petrochemical Company, Shazand Petrochemical Company, Tabriz Petrochemical Company and Bandar Imam Petrochemical Company, on May 31, 2013. The US and the European Union imposed also sanctions against Iran’s oil and financial sectors in order to prevent other countries from purchasing Iranian oil and conducting transactions with the Central Bank of Iran.
MRC

MOSCOW (MRC) -- The overall production of polyvinyl chloride (PVC ) in Russia dropped by 5% in the first quarter of 2014. Khimprom (Volgograd) continued to reduce its output, according to MRC ScanPlast.

Last month's production of unmixed PVC by Russian producers totalled about 50,500 tonnes. Thus, the overall PVC production in Russia decreased over the first three months of 2014 by 5% year on year to 157,800 tonnes. Khimprom (Volgograd), still the only producer of emulsion PVC (EPVC), continued to reduce its production. SayanskKhimplast also showed a slight drop in production.

The structure of PVC production by grades during the stated period looks, as follows.

March production of suspension PVC (SPVC) was about 49,000 tonnes (49,600 tonnes in February). The overall SPVC production in Russia grew in the first three months of the year to 153,500 tonnes from 150,200 tonnes in the same period of 2013. Bashkir Soda Company and Kaustik (Volgograd) increased production over the stated period by 6% and 2%, respectively, to 57,600 tonnes and 23,700 tonnes.
Conversely, SayanskKhimplast, Russia's largest PVC producer, reduced its production to 72,100 tonnes over the first quarter of 2014 (72,600 tonnes - over the same period of 2013).

Khimprom (Volgograd) raised its last month's production of resin to 1,500 tonnes. Nevertheless, the overall plant's EPVC production fell in January and March 2014 to 4,400 tonnes, down by almost a quarter year on year (5,700 tonnes - in Q1 2013).

As reported earlier, Solvin and SIBUR plans to commission a new plant for PVC production - RusVinyl with the annual capacity of 330,000 tonnes in the Nizhny Novgorod in September 2014.

MRC

MOSCOW (MRC) - Despite a significant increase in the imports of linear low density polyethylene (LLDPE) in March, total LLDPE imports to Russia decreased by 6% in Q1 2014, according to MRC DataScope.

Following sluggish demand in January and February Russian companies increased their LLDPE purchases in foreign markets in March. Russia's LLDPE imports increased to 20,300 tonnes in March, from 12,800 tonnes in February. However, despite such a significant increase in March deliveries, total LLDPE imports the first quarter of this year decreased to 44,900 tonnes, compared with 47,700 tonnes year on year.

Consumption structure of LLDPE imports over the reported period was as follows. Russia's imports of LLDPE for films production rose to 18,300 tonnes in March, compared with 11,300 tonnes in February. Total imports of film LLDPE to Russia fell to 40,500 tonnes in Q1 2014, from 43,500 tonnes in the same period a year earlier on the back of weaker demand (devaluation and rising prices for finished products). Besides, Nizhnekamskneftekhim switched to the production of film LLDPE in March.

March imports of LLDPE for rotational moulding to Russia exceeded 1,000 tonnes. Russia's imports of LLDPE for rotational moulding were about 2,000 tonnes in Q1 20014, up 17% year on year.

March imports of LLDPE for other consumption sectors to Russia were about 1,000 tonnes. Total imports of LLDPE for other consumption sectors to Russia were about 2,500 tonnes in Q1 20014, compared with 2,600 tonnes year on year.


MRC

MOSCOW (MRC) -- Eastman Chemical Company, a global specialty chemical company, is increasing prices on the following products from 1 May 2014, or as contracts allow, reported the company.

Thus, acetic anhydride (all grades): off-list prices will increase by USDUSD 0.03/lb (USDUSD 0.07/kg) and EUR0.05/kg in Europe, the Middle East, and Africa.

As MRC informed previously, from 1 April, Eastman Chemical increased prices of Santoflex 6PPD (para-phenylenediamines). The offlist price rose by USDUSD0.05/lb (USDUSD 0.10/kg) globally. These increases were due to elevated operating costs, especially in raw materials.

Besides, responding to a market need for a suitable material to use in hand-held and other electronic medical device housings that is tough and resistant to aggressive cleansers and disinfectants, Eastman Chemical Company is expanding its Eastman Tritan copolyester portfolio for the medical market with the introduction of Tritan copolyester MXF121. Tritan MXF121 is a bisphenol A (BPA)-free alternative to polycarbonate (PC) and PC/acrylonitrile butadiene styrene (ABS) that can stand up to today’s aggressive disinfectants and withstand the stresses of daily use and handling.

Eastman (headquartered in Kingsport, Tennessee, USA) is a global specialty chemical company that produces a broad range of products found in items people use every day. With a portfolio of specialty businesses, Eastman works with customers to deliver innovative products and solutions while maintaining a commitment to safety and sustainability. Its market-driven approaches take advantage of world-class technology platforms and leading positions in attractive end-markets such as transportation, building and construction, and consumables.
MRC

MOSCOW (MRC) -- Specialty chemicals company LANXESS AG is to raise its prices for ethylene-vinyl acetate synthetic rubber grades (EVM), according to the companie's press release.

The increase will take effect in the EMEA, LATAM, APAC and GC regions on April 15, 2014, and in the NAFTA region on April 21.

The High Performance Elastomers business unit has announced that the price for grades in the Levapren/Levamelt and Baymod L (EVM) product lines will increase by up to EUR 250 or USD 350 per metric ton.

The reason for this price adjustment is the general rise in production costs.

For decades, Levapren has proved its mettle as an optimal solution for an extremely wide variety of applications. The oil, ozone and aging-resistant Levapren grades are used, for instance, in vehicle engine compartments. Here, the water and oxygen-proof and UV-resistant rubber Levapren ensures that cable insulation, hoses, seals, and other rubber components remain tight in spite of heat and aggressive fluids. Levapren is to be found in ultralight and nonetheless highly elastic shoe soles and in transparent bellows and robust profiles. In addition, low-flammability floor coverings and cable sheathing made of EVM can save lives if a fire breaks out. The state-of-the-art material from LANXESS is an advantage in all areas where quality, an extremely long service life and safety are critical factors.

As MRC wrote previously, last July, Lanxess celebrated the opening of its first production facility in Russia. In the new plant at the Lipetsk site, Lanxess subsidiary Rhein Chemie manufactures polymer-bound rubber additives for the markets in Russia and the Commonwealth of Independent States (CIS), primarily for the automotive and tire industries. A production facility for the bladders used in tire production is to be added in 2016. The overall investment volume in euros amounts to a seven-digit figure.

LANXESS is a leading specialty chemicals company with sales of EUR 8.3 billion in 2013 and roughly 17,300 employees in 31 countries. The company is currently represented at 52 production sites worldwide. The core business of LANXESS is the development, manufacturing and marketing of plastics, rubber, intermediates and specialty chemicals.
MRC