Global recycled thermoplastic market to surpass US$104 bln by 2026

MOSCOW (MRC) -- Rising demand for thermoplastic materials for various applications in electrical & electronics, automotive and manufacturing industries is expected to propel the global recycled thermoplastics market, said Plastemart.

The market is expected to grow from USD48.93 bln in 2018 to USD104.76 bln by 2026, at a CAGR of 9.98% during the forecast period from 2019-2026, according to a report published by Fior Markets.

Thermoplastics are widely used across all the industries due to their ideal properties of corrosion resistance, low density, high strength, and user-friendly design. They are gradually replacing the aluminium and other similar metals in various applications. Most of the thermoplastics belong to the non- biodegradable category. It does not rot, decompose, break down or is in any other way affected by the micro-organisms that are normally responsible for breaking down the organic materials. Also, majority of thermoplastics are derivatives of petroleum products. Thus, threat of petroleum products getting exhausted is progressively leading to increased recycling of the thermoplastic materials. Rising demand for the thermoplastic materials for the various applications in electrical & electronics, automotive and manufacturing industries is expected to propel the global recycled thermoplastics market.

Even though the factors such as growing institutional support for the plastic recycling activities, wide-ranging use in the agricultural sector as well as growth of automotive and construction sector in the Asia Pacific region are driving the global recycled thermoplastics market. The unsuitability of recycled thermoplastics for food and beverages applications and threat of contamination from the chemical and microbiological sources are expected to dampen the growth of the market overt the forecast period. However, increasing use of bio-degradable thermoplastic as well as rising awareness among people pertaining importance of plastic recycling is expected to drive the market in upcoming years.

Key players operating in the global recycled thermoplastic market are KW Plastics, Plastipak Holdings, Inc., PARC Corporation, Clear Path recycling, B. Schoenberg and Co., Custom Polymers Inc., RJM International Inc., Suez SA, Merlin Plastics Alberta Inc., Ricova International Inc., JP Industrial, Revital Polymers, MRC, Replas, Veolia, B&B Plastics, United plastic recycling, Arkema, APC recycling, Maine plastics incorporation, Toho Tenax Co., Ltd., Envision Plastics, and Fresh Pak Corporation among others. Key players active in the market are involved in collaborative agreements and expansion to bolster the growth of the market. To align themselves with the latest plastic recycling norms within European Union, major players are specifically focusing research and development activities. For instance, in 2017, Toho Tenax Europe GmbH announced that it has developed a new compound, based on recycled thermoplastic carbon fiber material and PEEK (polyetheretherketone) thermoplastic. TENAX-E COMPOUND rPEEK CF30 is a reinforced material combination of waste materials generated during processing of TENAX ThermoPlastics and recycled semi crystalline PEEK polymer, which contains 30% of carbon fiber by weight and offers a high performance in strength and stiffness for injection molding applications.
MRC

MOSCOW (MRC) -- Covestro is expanding offerings and capabilities in continuous fiber-reinforced thermoplastic (CFRTP) composites in response to market trends and a growing demand from customers, said Plastemart.

Its Maezio™ brand of CFRTP composites are based on continuous carbon fibers impregnated with thermoplastics like polycarbonates. A new tape line is now commissioned in its Leverkusen laboratory to develop new products with different fiber and resin combinations. Their manufacture will in turn be scaled and commercialized at the production site in Markt Bibart in South Germany.

"We’re witnessing strong market demand for thinner, lighter, and aesthetically competitive products where thermoplastic composites like Maezio™ are making a difference,” says Lisa Ketelsen, head of the thermoplastic composite business of Covestro. “To meet the needs of a growing range of applications we need a broader base of portfolio with different matrix materials and properties. The new tape line in combination with our mass production lines will allow us to do quick iterations and scaling based on market demand."

One such product under development is thermoplastic polyurethane (TPU) -based CFRTP, which boasts excellent chemical resistance properties and superior flexibility in a wide temperature range. There’s a strong demand especially from the footwear and sports equipment industries for such a strong and versatile product. “Thermoplastic composites enable significant increases in production speed for mass production, and their ability to be molded with features and produced to near net shape eliminates the need for many secondary operations,” says Dr.-Ing. Christian Wilms, Head of Technology of the thermoplastic composite business of Covestro. “Also, they are inherently recyclable, making them a genuine answer to the growing need for scalable and sustainable material solutions."

At the same time, new hybrid injection molding machines are commissioned in Covestro’s CFRTP locations in Germany and China to build on processing know-how of complex, three-dimensional composite parts in support of application development across industries. A hybrid injection molding machine combines the thermoforming of semi-finished composite parts with in-mold injection molding – a fully automated one-step processing technology which reduces cycle times and improved productivity of mass produced composite parts.

“We’re working closely with our machinery and processing partners such as Krauss Maffei and Engel to offer customers full support in their product development process,” says Dr.-Ing. Olaf Zoellner, head of application development Europe at the Polycarbonates business unit at Covestro. “A fully functional and supportive value chain with the know-how for mass production of composite parts is critical to bringing such solutions to the mainstream market."
MRC

MOSCOW (MRC) -- Valero Energy Corp shut a hydrocracking unit (HCU) and sulfur recovery unit (SRU) at its 335,000-barrel-per-day (bpd) Port Arthur, Texas, refinery on Monday, said sources familiar with plant operations, said Reuters.

The 45,000-bpd 942 HCU is scheduled to be shut until mid-September while the 545 SRU will be out of production for about 25 days, the sources said.

As MRC reported before, in early May 2018, CB&I has announced that its CDAlky technology had been selected by Valero Refining - New Orleans LLC for its St. Charles Alkylation Project located in Norco, Louisiana.
MRC

MOSCOW (MRC) -- August contract price of ethylene in Europe was agreed up by EUR10/tonne from July level.
However, some European producers announced a decrease in export PE prices for August shipments to the CIS markets, according to ICIS-MRC Price report.

Negotiations on August prices of European PE began last week. All market participants said that European producers have actually kept export prices of ethylene polymers for shipments in the current month at the level of July despite the increase in the price of monomer in the region.

At the same time, some producers, on the contrary, cut their export prices by EUR20/tonne, and in some cases, the price reduction reached EUR35/tonne. Deals for August LDPE were negotiated in the range of EUR950 -1,020/tonne FCA. July deals were agreed in the range of EUR970 -1,020 per tonne, FCA.

Deals for August deliveries of high density polyethylene (HDPE) were done in the range of EUR975-1,040/tonne FCA, for film and blow moulding polyethylene, while in the first half of July prices were in the range of EUR1,010 -1,060/tonne FCA.

August prices for injection moulding HDPE decreased to EUR970-1,000/tonne FCA, versus EUR995-1,020/tonne FCA, a month earlier.

Because of current and upcoming scheduled maintenance shutdowns, export quotas for some producers were limited, but these restrictions were not critical for most buyers.
MRC

MOSCOW (MRC) -- Asian jet fuel buyers are paying the highest cash premiums for this time of year since 2013 amid a short-term supply shortage, but the values are likely to fade as late summer travel demand slumps in coming weeks and refiners ramp production back up, said Hydrocarbonprocessing.

The premium for jet fuel cargoes in the Asian trading hub of Singapore JET-SIN-DIF rose to as high as 38 cents a barrel above benchmark quotes last week, taking the differentials to their strongest levels for July-August since 2013. The premiums were at 23 cents a barrel on Tuesday.

Asian refiners cut output during the second quarter as usual for scheduled plant maintenance, while heavy demand for summer air travel provided a seasonal boost to the region’s already-thriving aviation market, trade sources said.

“We had around 2.5 months of heavy (refinery) run cuts from May. Runs were still recovering in July ... (and) refineries are not likely to be on max runs until (later in) August,” said Nevyn Nah, an analyst at consulting firm Energy Aspects.

Lower runs at refineries in Europe and the United States also helped to tighten jet fuel supplies, he said. “The tightening of supplies in the second quarter prior to the uptick in (air travel) demand in the third quarter means Europe, for instance, is not going to get its re-supply from the East until late-August.”

This has resulted in a supply-driven jet fuel market as demand growth is taking a hit amid the increasing signs of a global economic slowdown, traders and analysts said.

Most of the remaining summer air travel demand will come from Europe and the United States as Asia’s major festivals, such as Ramadan, and its school holidays are over, said a Singapore-based jet fuel trader.

“We also need to take note of the flight cancellations that are happening in Hong Kong and ... the latest status on the Japan-Korea relationship,” she said, with both having at least a short-term effect on jet demand.

More than 200 flights have been canceled in Hong Kong amid the escalating anti-government protests in the Asian financial center, while South Korea and Japan are currently in the middle of a deepening trade dispute that is disrupting business ties.

The Asia-Pacific region accounts for about 37% of the global aviation market. Its contribution has grown in recent years due to expanding economic growth, new airports and terminals, cheap fares and increased development of airlines’ flight networks.

Asia-Pacific airlines carried 1.6 billion passengers in 2018, up 9.2% from the preceding year, the latest data from the International Air Transport Association (IATA) showed last week.
MRC