HDPE imports in Ukraine decreased by 31% in January - September 2014

MOSCOW (MRC) - Total imports of high density polyethylene (HDPE) in Ukraine has decreased by 31% in the first nine months of the current year. The smallest decline in deliveries occurred for injection moulding HDPE, according to MRC DataScope.

September HDPE imports grew to 10,600 tonnes, compared with 6,400 tonnes in August on the back of increased supplies from Europe and Saudi Arabia. Total HDPE imports in the country decreased to 73,300 tonnes in January - September of this year, compared with 107,000 tonnes year on year.

A significant drop in demand for HDPE was seen in all sectors of consumption, the smallest decline occurred for the injection moulding HDPE - about 8%. Structure of HDPE imports over the reported period was as follows.

September imports of film HDPE in the country grew to 4,900 tonnes, compared with 2,700 tonnes in August. Ukraine's imports of film HDPE totalled 29,200 tonnes in the first nine months of the current year, down 34% year on year. Main import volumes occurred for the material from Europe and the Middle East.

September pipe HDPE imports in Ukraine were 2,200 tonnes, compared with 1,900 tonnes in August. Ukraine's imports of pipe HDPE decreased to 14,200 tonnes in January - September 2014, compared with 21,800 tonnes year on year.

September imports of blow moulding HDPE in Ukraine rose to 1,700 tonnes, compared with 922 tonnes in August. Total imports of blow moulding HDPE in the country were 13,800 tonnes in the first nine months of the year, compared with 19,400 tonnes year on year.

September imports of injection moulding HDPE in Ukraine grew to 1,500 tonnes, compared with 663 tonnes in August. Total imports of injection moulding HDPE decreased to 13,400 tonnes in January - September 2014, down 8% year on year.

Total imports of HDPE in other consumption sectors for the reported period were 2,600 tonnes, compared to 7,000 tonnes year on year.
MRC

EPS imports to Russia dropped by 10% over three quarters of 2014

MOSCOW (MRC) -- Imports of expandable polystyrene (EPS) to Russia decreased over the first three quarters of 2014 by 10% year on year and totalled 48,400 tonnes, according to MRC ScanPlast report.


Chinese grades accounted for the strongest demand from consumers. The largest EPS supplier was Loyal (China). Loyal shipped to Russia 22,200 tonnes over the first nine months of 2014. Purchasing quantities of Loyal's EPS rose from January to September 21%, despite the overall fall in imports.

Being among the top suppliers, BASF, Styrochem and LG Chem, have been losing their position in the Russian market. At the same time, purchasing quantities of Chinese EPS of Wuxi and Jiangsu Litian New Material almost doubled.


Higher July imports were caused by the peak demand in the Russian domestic market. Quantities of Russian EPS have not been enough so far to fully cover the needs of the domestic market.

The EPS market remained Russia's largest import market among all styrene plastics grades. EPS accounted for 36% in the total imports of styrene plastics into Russia.

MRC

Trinseo re-aligns business divisions and announces executive leadership changes

MOSCOW (MRC) -- Trinseo, a global materials company and manufacturer of plastics, latex and rubber, has announced that it will realign its business divisions, creating two new business groups called Performance Materials and Basic Plastics and Feedstocks, reported the company on its site.

"This new alignment of businesses better reflects the nature of our businesses. By grouping together businesses with similar strategies and aspirations, we can manage and operate them more effectively," said Chris Pappas, President and CEO of Styron. "With greater focus and leadership alignment in these new division structures, we intend to accelerate the growth of our Performance Materials businesses, and optimize profitability of the Basic Plastics and Feedstocks businesses for cash generation."

The Performance Materials division will include the following reporting segments: Rubber, Latex and Performance Plastics (consisting of the Automotive and Consumer Essential Markets businesses). The Basic Plastics and Feedstocks division will also represent a separate segment for reporting purposes and will include the following businesses: Styrenic Polymers (Polystyrene, ABS, SAN), Polycarbonate, and Styrene Monomer.

Chris Pappas announced the following changes to the executive team:

- Martin Pugh, Senior Vice President and Business President for Plastics, has been named Senior Vice President and Business President for Performance Materials. He will have responsibility for Rubber, Latex, and Performance Plastics (Automotive and Consumer Essential Markets).
- Jeff Denton, Vice President, Feedstocks and Corporate Services, has been named Vice President for Corporate Development and Business Services. In addition to his existing responsibilities for Supply Chain, Information Technology, Purchasing, Customer Service, and Facilities Management, he will add responsibility for Corporate Development and Mergers and Acquisitions.
- A new position, Senior Vice President and Business President for Basic Plastics and Feedstocks, is expected to be filled in the first half of 2015. Until the position is filled, Mr. Denton will retain interim responsibility for Feedstocks, and Mr. Pugh will have interim responsibility for Styrenic Polymers and Polycarbonate.
- Curt Shaw, Executive Vice President, General Counsel and Corporate Secretary, will retire at the end of 2014. Shaw joined the company in 2010 and has had a distinguished 40-year career as an accomplished corporate lawyer with extensive experience in the global chemicals and materials industry. The succession process is underway.

Changes to Trinseo’s financial reporting will be effective 1 January, 2015. The changes in executive roles are effective immediately except as otherwise noted.

Trinseo is a global materials company and manufacturer of plastics, latex and rubber. Trinseo’s technology is used by customers in industries such as home appliances, automotive, building & construction, carpet, consumer electronics, consumer goods, electrical & lighting, medical, packaging, paper & paperboard, rubber goods and tires.

Formerly known as Styron, Trinseo previously announced plans to change the name of all Styron affiliated companies to Trinseo. Some, but not all, of the Styron companies have completed the name change process and are currently known as Trinseo; Styron companies that have not completed this process will continue to do business as Styron until their respective name changes are complete. Styron's operating companies also continue to do business as Styron at this time.
MRC

Clariant brings HiFormer liquid revolution to life

MOSCOW (MRC) -- Clariant, a world leader in specialty chemicals, has delivered its Fakuma 2014 promise of "Bringing life to plastics and plastics to life through value creating and innovative products", at this year’s event, as per the company's press release.

To mark the official European launch of Clariant’s liquid revolution HiFormer, Clariant offered visitors water packaged in eye-catching PET bottles created through its innovative HiFormer system for liquid masterbatches.

"HiFormer is all about working together as strategic partners to find the perfect mix of idea, concept, material and production for consumer goods and packaging," comments Markus Mirgeler, Regional Head Europe, BU Masterbatches. "By providing an overall solution encompassing product, technology and consultancy, Clariant can help customers to be creative in design, and more efficient, flexible and energy-saving in production, to get the brilliant results they are looking for."

Get ready for a liquid revolution - HiFormer is Clariant’s new integrated system for liquid masterbatches designed to enhance product properties and process parameters for customers and fulfill their international service needs. HiFormer Liquid Masterbatches contain Clariant’s new Liquid Vehicle Technology. The liquid masterbatches are available in a wide variety of colors, and are highly concentrated to achieve brilliant, vibrant hues. The need for less product, in combination with lower processing temperatures and therefore faster processing, improves efficiency and productivity, and reduces energy use and scrap generation. Smaller lot sizes also add to production flexibility.

Adding to Clariant’s focus on sustainable, complete solutions were masterbatch innovations aimed at the challenges of environmental protection, manufacturing efficiency and developing safer, reliable products - Hydrocerol chemical foaming agents that support weight reduction and lower emissions in the automotive industry, cost-effective solutions for premium color effects and metal effects substitution, and unique UL94 compliant color masterbatches.

We remind that, as MRC reported earlier, Clariant and Tasnee, one of the largest industrial conglomerates in Saudi Arabia, have recently announced the signing of an agreement to establish a masterbatches joint venture in Saudi Arabia. The joint venture will be operational following completion of customary merger control clearance procedures and will keep its main focus on the Arabic peninsulas core market.

Clariant AG is a Swiss chemical company and a world leader in the production of specialty chemicals for the textile, printing, mining and metallurgical industries. It is engaged in processing crude oil products in pigments, plastics and paints.
MRC

Wacker celebrates centennial

MOSCOW (MRC) -- Wacker Chemie AG celebrated its 100th anniversary of its founding on 13 October, 1914, reported the company on its site.

Alexander Wacker had his company "Dr. Alexander Wacker Gesellschaft fur elektrochemische Industrie, KG" entered in the town of Traunstein’s commercial register, thereby laying the foundation for the Munich-based chemical company. The entrepreneur Alexander Wacker was born in Heidelberg in 1846. Trained as a businessman, Wacker had initially joined forces with Sigmund Schuckert to spread electrification across Germany. In 1903, he established the "Consortium fur elektrochemische Industrie," which today is Wacker’s corporate research department. His aim was to use electrochemical processes to manufacture useful chemical compounds based on carbide and its derivative, acetylene.

In 1914, Wacker received approval for the construction of a hydro-electric power plant and of a canal that would join the Alz and Salzach rivers. In his search for a suitable location, he chose a site close to the town of Burghausen (Bavaria). This site featured a 63-meter gradient between the Alz and the Salzach, which could be used to generate electricity. That same year he also founded "Alexander Wacker Gesellschaft fur elektrochemische Industrie": the origin of the Wacker Group. It was from this company that Wacker-Chemie GmbH (until 2005) and today’s Wacker Chemie AG (since 2006) would eventually emerge.

The first facilities within the Burghausen plant took advantage of the methods developed at the Consortium for synthesizing acetaldehyde, acetic acid and acetone. The direct oxidation of acetylene to acetaldehyde, a process licensed worldwide, played a crucial role. Acetone, which was needed in large quantities for making synthetic rubber, was the principal sales driver in the fledgling company’s early years. Acetylene also provided the chemical basis for further products. Polyvinyl acetate, polyvinyl alcohol and polyvinyl chloride (PVC) were all derived from acetylene chemistry.

In the 1940s, work began on two new product groups, both based on the element silicon: 1947 saw the dawn of the silicone era in Burghausen. Metallurgical-grade silicon was soon also used as a raw material for the manufacture of another key product: hyperpure silicon for the semiconductor industry.

Polymer chemistry also made great strides in the post-war years. In the early 1950s, Wacker chemists developed the principles for producing dispersible polymer powders for dry-mix mortars, which today are an integral part of many tile adhesives, plasters and building-insulation systems. In 1957, the first dispersible polymer powder production plant went on stream. Copolymers and terpolymers were additionally developed in quick succession. They considerably extended the range of properties and applications of dispersions. A milestone was achieved in 1960, when vinyl acetate-ethylene copolymer (EVA) was discovered. This discovery made it possible to produce inexpensive plastics with innovative properties.

Over subsequent years, Wacker entered new territory, thanks to its advances in acetylene chemistry and innovations in silicon chemistry. In the late 1960s, WACKER became the first major manufacturer of silicones in Europa to successfully penetrate the US market. Well-established business with vinyl plastics boomed as well. As a result, experts started to wonder whether the energy-intensive and comparatively expensive production of carbide-derived acetylene could be replaced by a new, more cost-effective process based on petroleum. The switch was ultimately achieved at the end of the 1950s in what became the "Second WACKER Process," using ethylene as the starting product for acetic acid.

Wacker’s focus in the 1970s and 1980s was all about increasing exports. This period witnessed the establishment of a great many subsidiaries both in Europe (the Netherlands, Austria, Switzerland, Belgium, Sweden, the UK and Spain) and overseas (Brazil, Mexico and the USA). Wacker entered the Asian market in 1983, when it founded Wacker Chemicals East Asia in Tokyo.

In the 1990s, WACKER began to develop biotechnology as a new business field. A biotech research center began work in Burghausen in 1990. The acquisition of ProThera GmbH in Jena and the establishment of Wacker Biotech GmbH in 2005 expanded the Group’s existing pharmaceutical operations to include the contract development of pharmaceutical proteins (biologics). WACKER acquired Halle-based Scil Proteins Production in 2013. The Halle site produces pharmaceutical actives both for clinical trials and for the market-supply phase.

Entering the 21st century, Wakcer continues to make progress on the Group’s internationalization. Major sites have been established in Europe, Asia and the USA. In 1998, Wacker acquired the Nunchritz chemical site in the German state of Saxony. WACKER began producing silicones in China in 2004. Wacker and Samsung decided to jointly construct a fab for the manufacture of 300 mm semiconductor wafers in 2006. This fab went on stream just 18 months later. In 2008, WACKER and Dow Corning launched the world’s largest integrated production site for siloxane in Zhangjiagang, China. 2011 saw the Group embark on the construction of a further polysilicon production plant in Charleston, Tennessee, USA.

Today, Wacker is a globally active group headquartered in Munich with a wide range of highly advanced specialty products.

As MRC wrote previously, Wacker is strengthening its presence in India by opening in early 2014 its expanded technical center for silicone products in Amtala near Kolkata. Operated by the joint venture Wacker Metroark Chemicals Pvt. Ltd. (WMC), the enlarged regional competence center now comprises state-of-the-art applications technology and test equipment for silicone products needed in the textiles, personal care and construction industry.

Wacker Chemie AG is a worldwide operating company in the chemical business, founded 1914. The company is controlled by the Wacker-family holding more than 50 percent of the shares. The corporation is operating more than 25 production sites in Europe, Asia, and the Americas. The product range includes silicone rubbers, polymer products like ethylene vinyl acetate redispersible polymer powder, chemical materials, polysilicon and wafers for semiconductor industry.
MRC