Thermoplastic Composites end product market estimated to reach USD9.9 bln in 2020

MOSCOW (MRC) -- The Thermoplastic Composites end product market is expected to reach USD9.9 bln in 2020 at a CAGR of 6.5% over the period of 2015 to 2020, as per Plastemart with reference to MarketsandMarkets.

Thermoplastic Composites Market can be classified as continuous and discontinuous composite. The widely used thermoplastic composites are LFT, SFT, and GMT. Enhancement in product performance by innovation and lower overall cost for consumers is expected to further drive the market. The biggest challenge in the industry is relatively higher cost of materials compared to competing materials. Further market development is expected to depend upon material availability at reasonable prices.

Thermoplastic composites have gained rapid acceptance as a viable alternative to die castings, metal assemblies, and traditional plastic materials in the markets, including industrial equipment, automotive, consumer goods, and so on. High impact strength, better surface quality, less product rejection, high rigidity at elevated and sub-zero temperature, creep resistance under severe environments and constant load have made thermoplastic market more lucrative than the thermoset and metals. A price-to-performance advantage has made thermoplastic composite more attractive in aerospace & defense, transportation, electrical & electronics industries.

Due to rapid industrialization and economic upturn in countries like India, Brazil, China, the demand for thermoplastic composites is increasing due to high demand from transportation, consumer goods, and electrical & electronics industry. The application of thermoplastic composites are growing at a significant rate in transportation, electrical & electronics, consumer goods and aerospace & defense industries in emerging nations due to rapid urbanization and growth in middle and upper middle class population.

Asia-Pacific is expected to register the highest growth rate in the next five years due to the growing economies of China, India, and other countries which would result in increased demand for thermoplastic composites. Increase in demand from automobiles, aerospace and electric & electronics are the major drivers responsible for the growth of composites market throughout the globe.

China is expected to drive Asia-Pacific's market in the coming five years. China's Thermoplastic Composites Market has witnessed growth due to robustly growing manufacturing sector in the country.

India offers huge scope and opportunities for the growth of thermoplastic composites due to rapid growth in middle class population and industrialization in the country. In 2014, the transportation applications dominated the overall Thermoplastic Composites Market size.

The demand for thermoplastic composites from transportation and aerospace & defense industry is expected to increase in next five years, due to the increasing penetration of thermoplastic composites into commercial aircraft. As automakers in the U.S. work to meet Corporate Average Fuel Efficiency (CAFE) standards of 36.6 mpg by 2017 and 54.5 mpg by 2025, vehicle weight reduction has become a major strategy. The use of thermoplastic composites in automobiles can help the manufacturers to achieve the target with improved mileage. An increase in the use of thermoplastic composite materials in racing and high-performance vehicle components, such as chassis, hoods, wheels and roofs, is one of the driving factors for the increase in thermoplastic composites penetration in the transportation industry. Very fast part forming cycle time and high impact strength are boosting the penetration of thermoplastic in these applications.
MRC

MOSCOW (MRC) -- ExxonMobil Chemical has lifted its polyethylene allocation for grades produced at its Baton Rouge, Louisiana, plastics facilities, as per Plastemart.

The allocations, which had been in effect since late January, were lifted this week after feedstock ethylene supply improved following last week's restart of the Evangeline Ethylene Pipeline, sources said. ExxonMobil could not immediately be reached for comment.

The 176 mile Evangeline pipeline is capable of transporting more than 1 mln tpa of ethylene from Texas to Louisiana. ExxonMobil operates a 988,000 tpa ethylene cracker in Baton Rouge, but also receives ethylene through the Evangeline Pipeline that is used for its polyethylene production, market sources have said.

The Baton Rouge Polyolefins Plant has an HDPE capacity of 397,000 tpa, with an industry source noting that the plant is a large producer of HDPE blow molding. The Baton Rouge Plastic Plant has an LDPE capacity of more than 467,000 tpa.

As MRC informed earlier, the American Fuel & Petrochemical Manufacturers (AFPM) trade group presented the platinum version of its Distinguished Safety Award on Monday to ExxonMobil Chemical’s polyolefins plant at its complex in Baton Rouge, Louisiana.

ExxonMobil is the largest non-government owned company in the energy industry and produces about 3% of the world's oil and about 2% of the world's energy.
MRC

MOSCOW (MRC) -- HEXPOL Compounding, a leading global provider of elastomer compounds, continues its commitment to rubber compounding in Mexico with the installation of a new, advanced 135 L rubber mixing line, said the company in its press release.

The line will include significant building and infrastructure extensions to the current HEXPOL facility in Queretaro, Mexico, and will cost approximately 9.2M USD. Anticipating customer growth and expanding production needs, HEXPOL is planning ahead. This investment in rubber compounding capacity will support the growing demand from HEXPOL's automotive and engineering customers in Mexico's automotive production corridor, which also includes HEXPOL's plant in Aguascalientes.

"When the new line is operational, we will have six advanced mixing lines with Best-in-Class equipment and technology," explained Tracy Garrison, President and Chief Executive Officer of HEXPOL Compounding. "As our customers grow, we will be prepared to support their continued success."

The new 135 L line is scheduled to be commissioned and on stream sometime in the second half of 2016, and will increase HEXPOL's rubber compounding capacity in Mexico to more than 70,000 tons, strengthening HEXPOL's continued commitment to the Mexican market.

Impressive production growth in the automotive corridor during the past few years has increased compounding demand and strong volume is expected to continue. The new line planned for 2016 is in addition to the second mixing line commissioned at Queretaro this past November, when the facility celebrated 15 years of service to its customers. HEXPOL has been in operation in Mexico longer than any other rubber compounder – since 2000.

As MRC informed earlier, HEXPOL has acquired the US-based rubber compounderPortage Precision Polymers Inc from the founder Doug Hartley and his family in a deal worth about USD13.2 million on a cash and debt free basis.

HEXPOL is a world-leading polymers group with strong global market positions in advanced polymer compounds (Compounding), gaskets for plate heat exchangers (Gaskets) and wheels made of plastic and rubber materials for forklifts and castor wheel applications (Wheels).
MRC

MOSCOW (MRC) -- Indian Oil Corporation has rescheduled its Rs 34,555 crore worth refinery project and has set winter deadline for the full-fledged commissioning of the project which is located close in close vicinity off Paradip sea coast, said Odishachannel.

"The project work has reached its fag end stage with over 98% construction coming to an end. Ongoing construction work, which is highly skilled in nature, is fast progressing on a war-footing. Engineers, technical consultants from oil refineries across the country are on the job round-the-clock. Various vital components of the refinery have already been subjected to successful trial run. In all likelihood, the project would be fully commissioned next winter", said General Manager, Paradip refinery, W. R. Barbara.

Construction of Atmospheric Vacuum Unit (AVU), the central component of the refinery, has already been completed. It has been successfully put under trial test. Crude processing was started in the AVU last month. Other ancillary project components are well on their way to completion stage. The commissioning of the project is progressing in a phased manner.

Though the shortage of skilled manpower had posed hindrances for acceleration of project in the past, work is fast progressing at present and the refinery is certainly going to be commissioned full-fledged by October, informed company officials.

The oil refinery complex would become a major petro-chemical hub. Apart from the oil refinery, the proposed projects like for Rs 3,150 crore worth polypropylene unit and plastic park would act as catalyst in the socio economic development of the state, the official observed.

The 15 million tonnes per annum capacity refinery project is valued at estimated cost of Rs 34,555 crore of which nearly Rs 32,000 crore has already been used up for the project construction. Initially the refinery worth Rs 29,000 crore was scheduled for commissioning by 2012-13 year.

Delay in the commissioning has led to cost escalation of the project. Shortage of skilled manpower, labour unrest, recurring lawlessness and troublesome activities by trade unions and organized and unorganized groups had led to the delay in the commissioning of the project.

The 15 million tonnes per annum refinery project is designed to operate on a broad basket of crude oils, including cheaper, high sulphur and heavy grades and is configured to perform with high energy efficiency.

The project was announced in March 2006, with an initial installed refining capacity of 9 million tonnes per annum. Later its capacity was enhanced to 15 MTPA.

The company engineers are working round the clock so that the project is commissioned on rescheduled deadline, added the company officials.

Indian Oil Corporation Limited, or IndianOil, is an Indian state-owned oil and gas corporation with its headquarters in New Delhi, India.
MRC

MOSCOW (MRC) -- A. Schulman, Inc., a leading international supplier of high-performance plastics compounds and resins, has announced the appointment of Tony Daponte as the company's first Research & Development Director Masterbatch for the Asia-Pacificregion, reported the producer in its press release.

In this capacity, he will collaborate with the existing application centers in the region and assist in the development of a R&D facility dedicated to harnessing the technical know-how in APAC.

Since 2001, Daponte has served as the company's R&D Director Masterbatch for Europe, Middle East and Africa (EMEA). In this role, he has contributed to the ongoing development of innovative products and value-adding properties that support A. Schulman's diverse solutions portfolio. In 2012, he also was named the Managing Director for the company's facility in Bornem, Belgium.

Bernard Rzepka, President and Chief Executive Officer of A. Schulman stated, "This action aligns with our aim to further develop our R&D capabilities with global and local reach. Our network of Innovation & Collaboration Centers is essential in providing our customers with market-leading technologies thus providing differentiation and value for them."

As MRC wrote before, A. Schulman Inc. plans to spend 5 million to EUR7 mln (USD5.5 mln to USD7.7 mln) on a new masterbatch facility in Turkey, to tap into market growth in the region. The facility, in the greater Istanbul area, will have annual production capacity of about 40 million pounds of the company’s additive, white and breathable masterbatches for the food and industrial packaging markets, the company said. It’s expected to be in production at the end of the Fairlawn, Ohio-based company’s 2016 fiscal year, which closes Aug. 31, 2016.

A. Schulman is a global plastics supplier, headquartered in Akron, Ohio, and a leading international supplier of high-performance plastic compounds and resins, which are used as raw materials in a variety of markets. A. Schulman has 33 manufacturing facilities globally. A. Schulman's fiscal third-quarter earnings fell 69% amid continued sluggishness in European markets and higher-than-expected costs in Latin America, where the company has been consolidating its Brazilian operations. A. Schulman reported net sales of approximately USD2.5 billion for the fiscal year ended August 31, 2014.
MRC