Imports of polyamides and polyamide plastics in Russia decreased by 20% in Jan-June 2014

MOSCOW (MRC) - Russia's imports of polyamide (PA) and engineering plastics based on polyamide (PA-plastics) in the Russian market decreased to 6,200 tonnes in the first six months of the year, down 20% year on year, as per MRC DataScope report.

The main share in imports occurred for PA copolymers, with almost 60% from the total PA imports in the country. Russia's imports of PA copolymers were 3,700 tonnes in the first half of 2014, down 5% year on year. PA copolymers meant mainly glass-PA 6 and PA 66, which are the most popular material in the Russian market. The most popular brands were PA 6 and PA 66 with 30% glass fiber content. Also widely used retardant, temperature stabilizers, fillers and other high fillers. Main applications for PA copolymers are injection moulding of electrical engineering, automotive components. They are also used in the production of a barrier layer of the packaging film.

Imports of primary unfilled PA 6 in Russia usually takes about 20-22% from the total deliveries of PA and PA-plastics. Thus, Russia's imports of PA 6 were 1,300 tonnes in January-June, down 42% year on year. Pure PA 6 is most commonly used for the production of multilayer films and sausage casings.

PA-emulsions, the third largest segment in PA imports, are mainly used in the paint industry, or as the basis for adhesives, additives, mastics.
The imports of PA-emulsions took 12% from the total Russia's imports. Russia's imports of PA-emulsions were 756 tonnes in the first six months of the year, down 2% year on year.

Pure PA 66 took the smallest share from the total Russian PA market, with only 6% (352 tonnes) from the total PA imports in the first six months of 2014, down 9% year on year. PA 66 can be used for injection moulding of automotive components, electrical engineering and other parts for machinery.

Market PA and PA-plastics in Russia is very small because of the specifics of the product and high prices for it. There are a few traders work in this market because of high barriers of the market entry. Converters mostly prefer to work directly with the producers and buy imports directly themselves. The only Russian producer, Kuibyshev Azot produces unfilled PA 6 technology for processing yarn / fiber, as well as PA 6, which serves as a basis for further PA copolymers production.


MRC

MOSCOW (MRC) - Production of general purpose polystyrene (GPPS) and high impact polystyrene (HIPS) in Russia increased to 191,000 tonnes in the first half of 2014, up 25% year on year, as per MRC ScanPlast.

Russian PS production increased because of the expansion at Nizhnekamskneftekhim. The increase in the Russian PS production helped to displace imported volumes.

Russia's PS imports decreased to 25,600 tonnes in the first six months of the year, down 35% year on year. Russia's production of GPPS and HIPS reached 33,200 tonnes in the first six months of the year.

PS output is expected to decrease in July. Gazprom neftekhim Salavat has been shut for a turnaround since early July. Only Nizhnekamskneftekhim produces PS in July. Russia's GPPS and HIPS output will decrease by 3,000 tonnes to about 30,000 tonnes in July.

GPPS production at Penoplex was 4,500 tonnes in June. Polystyrene, produced by Penoplex was used at the own production of XPS-plates.

As previously reported, the production growth of PS in Russia contributes to the exports increase. GPPS and HIPS exports from Russia were 45,100 tonnes in the first half of 2014, compared with 20,000 tonnes year on year.
MRC

MOSCOW (MRC) -- The overall imports of polyvinyl chloride (PVC) into the Republic of Belarus decreased by 17.2% over the first five months of 2014, according to MRC DataScope.

May PVC imports to Belarus increased to 4,400 tonnes (about 4,000 tonnes in April) on the back of seasonal factors. The overall PVC imports to the country fell from January to May 2014 to 14,700 tonnes from 17,700 tonnes a year earlier.

Weaker demand for finished products from PVC both in the domestic and export markets was the main reason for lower imports. Thus, only export sales of Belarusian shaped and linear articles dropped by 9% to 7,800 tonnes.

German producers are key PVC suppliers to the local market. 7,200 tonnes of PVC were imported from Germany over the stated period.
MRC

MOSCOW (MRC) -- Lukoil plans to resume polypropylene (PP) production at Stavrolen. The start-up of the plant might take place in the near future, reported MRC analysts.

Lukoil's officials already announced in June technical possibilities of resuming PP production at Stavrolen on 1 July 2014. However, actual dates of the production launch were not announced because of issues in the feedstock market. The situation has slightly improved in the feedstock market (the prolylene market) by late July, which might lead to the resumption of production at the plant in late August - early September.

As reported earlier, Stavrolen was forced to shut down its polyethylene (PE) and PP production because of the accident at the plant's ethylene complex on 26 February 2014. The plant's PE and PP annual production capacities are 300,000 tonnes and 120,000 tonnes, respectively. At the same time, polyolefins production was not affected by the accident.

Given the potential of the propylene market in Russia and the CIS countries, there is a possibility of resuming PP production at Stavrolen on imported feedstock, however, to talk about the exact start-up dates and probable capacity utilisation is still too early because of many unknown factors, including the stability of operations at SIBUR Kstovo's (SIBUR) ethylene complex.
MRC

MOSCOW (MRC) -- Nine Petroleos Mexicanos employees have reported minor injuries after a storage tank at a refinery in Ciudad Madero caught fire late on Tuesday night, as per Hydrocarbonprocessing.

Seven workers have been treated for dehydration and two for minor burns, according to a Pemex press official who declined to be named because of company policy.

Emergency services crews continue to work to extinguish the fire at the state-owned oil producer’s refinery 500 kilometers (311 miles) north of Mexico City in the Tamaulipas state. No serious injuries have been reported.

The refinery has production capacity of 190,000 bpd.

The blaze is at least the third accident at the site this year. A fire at the unit’s coker plant limited operations for five days in May, less than a month after a boiler exploded because of an excessive pressure build-up in April. No injuries were reported in either incident.

The Ciudad Madero refinery, the smallest of Pemex’s six national refineries, processed 129,763 bpd in 2013, and 128,293 bpd in May.

As MRC wrote previously, in early 2013, a powerful explosion rocked the Mexico City headquarters of state-owned oil giant Pemex, killing 37 people, injuring more than 100 and trapping others inside.

Pemex, Mexican Petroleum, is a Mexican state-owned petroleum company. Pemex has a total asset worth of USD415.75 billion, and is the world's second largest non-publicly listed company by total market value, and Latin America's second largest enterprise by annual revenue as of 2009. Company produces such polymers, as polyethylene (PE), polypropylene (PP), polystyrene (PS).
MRC