Demand for SPVC in Russia decreased by 8% in January - September 2014

MOSCOW (MRC) - Calculated consumption of suspension polyvinyl chloride (SPVC) in Russia decreased by 8% in the first nine months of 2014.
Demand for PVC has declined in all sectors of consumption, according to a survey MRC ScanPlast.

Russia's supplies of PVC foe the first time in this year exceeded 100,000 tonnes in September, on the back of the increase in production and imports. Total calculated consumption (production + imports - exports) decreased to 691,700 tonnes in January - September this year, compared with 754,500 tonnes year on year. Demand for PVC declined by 5-10% depending on the consumption sector.

Russian producers managed to increase PVC output over the reported period to 457,300 tonnes, up 3% year on year. Increase in production figures showed Bashkir Soda Company (due to capacity expansion) and Kaustik (Volgograd), as well as RusVinil, which launched PVC production in mid-September.

Russia's PVC imports has decreased to 236,600 tonnes in the first nine months of the year, down 24% year because of a weaker demand from converters and rouble devaluation. PVC supplies from Europe and the United States have significantly decreased, while Chinese producers managed to increase their PVC shipments in Russia. PVC imports in Russia is expected to go down further this year as well as next year on the launch of RusVinil and expectations of further decline in demand for finished products made of PVC.

PVC export from Russia was practically absent because of a lack of capacities; PVC exports from Russia were less than 3,000 tonnes in the first nine months of the year, which made about 1% from the total PVC production in the country over the reported period. Demand for suspension PVC declined in all sectors of consumption.

According to official data of Rosstat, the production of plastic windows and window sills in the nine months of the year decreased to about 187.7 mln sq. m, down 7% year on year. A similar situation was seen in the markets of PVC pipes and plastic compounds, there was also a reduction in demand for finished products made from 5% to 10%.


MRC

Bashkir Soda Company resumed PVC production

MOSCOW (MRC) -- Bashkir Soda Company, Russia's third largest polyvinyl chloride (PVC) producer after RusVinyl and Sayanskkhimplast, resumed its PVC production after an outage for maintenance, according to ICIS-MRC Price report.

The plant had resumed production of material by Monday, 20 October, after nearly a two-week turnaround. The plant was shut down on 5 October, its annual production capacity is 230,000 tonnes.

As reported earlier, Kaustik (Volgograd) plans to resume its production after maintenance works before the end of this week, the plant shut down its PVC production with the annual production capacity of 90,000 tonnes on 3 October.

Open Joint Stock Company "Bashkir Soda Company" OJSC ("BSC") was formed in May 2013 by merging the two companies: JSC "Soda" and JSC "Kaustik". To date, JSC "BSC" is one of the largest chemical complexes in Russia. The plant's main products are caustic soda and chlorine, soda ash, sodium bicarbonate, PVC, cable compounds, hydrochloric acid, corrosion inhibitors, wood-polymer composite, calcium chloride, terephthaloyl chloride and other chemical products. The overall PVC production increased to 172,200 tonnes over the first nine months of 2014 from 155,700 tonnes a year earlier.
MRC

Production of finished products from polymers in Russia rose by 9.5% from January to September 2014

MOSCOW (MRC) -- The output of finished products from polymers in Russia grew by 9.5% over the first nine months of 2014. Films production rose by more than 30%, whereas the construction sector showed negative results, reported MRC analysts.

September production of main products from polymers in Russia increased only by 2.2% from August due to a number of factors.

According to the Federal State Statistics Service of the Russian Federation, September output of non-combined and unreinforced films dropped to 108,000 tonnes versus 109,000 tonnes a month earlier. Thus, production of these products in Russia totalled 828,700 tonnes from January to September 2014, up by 30.1% year on year.

Last month's output of plates and sheets rose to 19,700 tonnes from 18,500 tonnes in August. The output of these products by Russian companies reached 163,700 tonnes over the said period, up by 1.4% year on year.

September production of plastic pipes, hoses and fittings reached 70,600 tonnes under the pressure of seasonal factors versus 55,800 tonnes in August. The overall production of these products reached 429,000 tonnes over the first nine months of 2014, down by 6% year on year.

Last month's output of plastic windows, their frames and sills virtually remained at the August's level and totalled about 2.9 million square meters. Production of plastic windows and window sills was about 18.7 million square meters from January to September 2014, down by 9.8% year on year.
MRC

Total CEO Christophe de Margerie dies in plane crash

MOSCOW (MRC) -- Total confirms with deep regret and great sadness that Chairman and CEO Christophe de Margerie died just after 10pm (Paris time) on October 20 in a private plane crash at Vnukovo Airport in Moscow, following a collision with a snow removal machine, the French energy company said in a statement on Tuesday.

Four people were found dead at the scene of the accident, including three crew member and Christophe de Margerie.

The thoughts of the management and employees of the Group go out to Christophe de Margerie’s wife, children and loved ones as well as to the families of the three other victims.

As MRC informed earlier, Total in September said its joint venture with Russia’s Lukoil, to explore shale oil in western Siberia, had ground to a halt as a result of western sanctions.

Total S.A. is a French multinational oil and gas company and one of the six "Supermajor" oil companies in the world with business in Europe, the United States, the Middle East and Asia. The company's petrochemical products cover two main groups: base chemicals and the consumer polymers (polyethylene, polypropylene and polystyrene) that are derived from them.
MRC

BASF presents chemistry-driven innovation for future mobility

MOSCOW (MRC) -- BASF has presented functional materials and solutions for the future of mobility at the International Suppliers Fair (IZB) in Wolfsburg, Germany from October 14-16, 2014, reported the company on its site.

"Innovations from the world of chemistry open up new paths for the mobility of the future. Chemical products in cars are increasingly contributing to developments in the automotive industry such as weight and emission reduction, electromobility and individualization," says Hans W. Reiners, President of BASF’s Performance Chemicals division.

One possibility to make cars lighter is the use of effective lightweight materials. With Ultracom, BASF offers an integrated system which helps to design automotive structural parts made of thermoplastic composites with optimized cost and weight. Ultracom consists of three elements: continuous fiber-reinforced semi-finished products (laminates and tapes), injection molding compounds as well as engineering services including part design, simulation, manufacturing and parts testing.

BASF offers numerous technologies that reduce the fuel consumption of vehicles and save resources. With their special lubricating characteristics Emgard drive axle lubricants contribute to improved fuel efficiency, offer extended drain intervals and provide better protection against wear and tear when compared to conventional mineral oil-based lubricants.

With BASF’s new mass balance approach, fossil feedstock can be saved through replacement with renewable resources at the beginning of the production process. Through an independently certified process, the specific share of renewable raw materials can be allocated to the respective end product for a vehicle. The advantage: the product performance is identical. At the same time, it saves fossil resources and lowers greenhouse gas emissions.

Another technology for improving air quality is PremAir. More than 3 million vehicles worldwide have already been equipped with these special catalytic converters which convert ground-level ozone into oxygen.

BASF invests in the development of cathode materials and electrolytes for lithium-ion batteries. They are crucial in determining the energy density and costs and thus the overall effectiveness of the battery. BASF also develops technologies that can improve the energy efficiency of electric vehicles and increase the range of the batteries. Using a newly developed near-infrared reflective film, solar radiation through car windows can be reduced by up to 40 percent. This reduces heat generation in the vehicle interior during the summer and thus the energy consumption of the air-conditioning system.

To preserve the brilliant gloss of a new car for as long as possible, BASF offers the highly scratch-resistant clearcoat iGloss as well as premium refinish paints.

For the interior, BASF offers valure, a special transfer coating technology. It can produce high-quality, soft-touch surfaces with almost limitless design options as well as unique material combinations with a wide variety of flexible substrates like leather in automotive interior.

As MRC informed earlier, BASF, the German chemicals giant, and Archroma have recently agreed on the sale of BASF’s global textile chemicals business to Archroma, a supplier of specialty chemicals to the textile, paper and emulsions industries.

BASF is the leading chemical company. It produces a wide range of chemicals, for example solvents, amines, resins, glues, electronic-grade chemicals, industrial gases, basic petrochemicals and inorganic chemicals. The most important customers for this segment are the pharmaceutical, construction, textile and automotive industries. BASF had sales of about EUR74 billion in 2013 and over 112,000 employees as of the end of the year.
MRC