PP imports to Russia rise by 36% in Jan-Feb 2020

MOSCOW (MRC) -- Polypropylene (PP) imports into Russia grew in the first two months of 2019 by 36% year on year to 32,100 tonnes. All grades of propylene polymers accounted for the greatest increase in imports, according to MRC's DataScope report.


Russian companies reduced their PP imports in February: imports were 15,100 tonnes versus 17,000 tonnes a month earlier, shipments of propylene homopolymers (homopolymer PP) from Turkmenistan decreased. Thus, overall PP imports to Russia totalled 32,100 tonnes of propylene polymers in January-February 2020, compared to 23,500 tonnes a year earlier. The volume of purchasing of all grades of propylene polymers in foreign markets increased, with imports of homopolymer PP raffia accounting for the most noticeable increase.

Overall, the structure of PP imports by grades looked the following way over the stated period.


February imports of homopolymer PP were 4,800 tonnes, compared to 7,700 tonnes a month earlier, Russian companies reduced shipments of homopolymer PP raffia from Turkmenistan by several times after the surge in January. Thus, overall imports of homopolymer PP to Russia totalled about 12,600 tonnes in the first two months of 2020, compared to 7,000 tonnes a year earlier.

Last month's imports of propylene block-copolymers (PP block copolymers) were 5,300 tonnes versus 4,300 tonnes in February, demand for pipe grade PP increased from Russian companies. Imports of PP block copolymers into Russia reached 9,500 tonnes in January-February 2020, compared to 6,600 tonnes a year earlier.

February imports of statistical copolymers of propylene (PP random copolymers) dropped to 2,300 tonnes from 2,500 tonnes a month earlier, Russian companies reduced purchasing of film grade PP. Overall imports of this propylene copolymers grade were 4,900 tonnes in January-February 2020, compared to 4,400 tonnes a year earlier.

Imports of other propylene polymers totalled 5,100 tonnes over the stated period versus 5,500 tonnes a year earlier.

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Haldia Petrochemicals declares force majeure on supplies from its petchem complex in Haldia

MOSCOW (MRC) -- India's private-sector Haldia Petrochemicals (HPL) declared force majeure on supplies on 23 March, a day before the lockdown announcement in the country, reported Argus.

The Indian government announced a complete lockdown from midnight 25 March for 21 days

HPL's cracker complex is expected to close soon, and it is unclear when operations will resume. HPL's sister firm, purified terephthalic acid (PTA) producer MCPI, which has around 1.27mn t/yr of capacity in West Bengal, has also declared force majeure and is expected to completely shut down operations.

HPL operates a cracker with nameplate capacity of 700,000 t/yr of ethylene, 340,000 t/yr of propylene, 150,000 t/yr of benzene, 100,000 t/yr of butadiene and 98,000 t/yr of methyl tert-butyl ether (MTBE). The producer also has 350,000 t/yr polypropylene, 345,000 t/yr high-density polyethylene (HDPE) and swing 365,000 t/yr linear low-density polyethylene (LLDPE) production lines.

As MRC wrote before, on 20 September 2019, a major fire broke out at Haldia Petrochemicals’ cracker in India. The company's plant restarted operations in early October, 2019, after a nearly 10-day closure caused by a September 20 fire that had claimed the lives of two employees.

Ethylene and propylene are feedstocks for producing polyethylene (PE) and polypropylene (PP).

According to MRC's ScanPlast report, Russia's estimated PE consumption totalled 2,093,260 tonnes in 2019, up by 6% year on year. Shipments of all PE grades increased. PE shipments rose from both domestic producers and foreign suppliers. The estimated PP consumption in the Russian market was 1,260,400 tonnes in January-December 2019, up by 4% year on year. Supply of almost all grades of propylene polymers increased, except for statistical copolymers of propylene (PP random copolymers).

Haldia Petrochemicals Ltd is a modern naphtha based petrochemical complex at Haldia, West Bengal, India. Haldia has played the role of a catalyst in emergence of more than 500 downstream processing industries in West Bengal with a capacity to process more than 3,50,000 TPA of polymers, among which are PE and PP.
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Shandong Chambroad shuts No. 1 propylene unit for turnaround

MOSCOW (MRC) -- Shandong Chambroad Petrochemicals, has taken its No.1 propylene unit off-stream for a turnaround, according to Apic-online.

A Polymerupdate source in China informed that, the company has started maintenance at the plant on March 25, 2020. The plant is likely to resume production on May 8, 2020.

Located at Shandong province of China, the No. 1 plant has a production capacity of 125,000 mt/year.

As MRC informed before, in September 2018, LyondellBasell announced that Shandong Chambroad Petrochemicals Co. Ltd., (Shandong Chambroad), had selected the LyondellBasell Hostalen "Advance Cascade Process" (Hostalen ACP) technology. The low-pressure slurry process technology will be used for a 350KTA high-density polyethylene (HDPE) unit to be built in their petrochemical complex in Binzhou city, Shandong province, P.R. China.

Propylene is the main feedstock for producing polypropylene (PP).

According to MRC's ScanPlast report, PP shipments to the Russian market were 127,240 tonnes in January 2020, up by 33% year on year. ZapSibNeftekhim's homopolymer PP accounted for the main increase in shipments.

Shandong Chambroad Petrochemicals Co.,Ltd is founded in 1988,whose predecessor is Boxing lubricating oil factory.After more than 20 years of trails and hardships,Chambroad has now developed into a large-scale private petrochamical enterprise intergrating petroleum refining and chemical industry. Besides, Chambroad has successively been awarded "one of top 500 manufacturing enterprise of China" and "one of top 500 chemical enterprise of China".
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Sinopec Mitsui cuts run rates at BPA plant in Shanghai

MOSCOW (MRC) -- Sinopec Mitsui Chemicals, is presently running its Bisphenol A (BPA) plant at curtailed capacity levels, according to Apic-online.

A Polymerupdate source in China informed that, the company cut down run rates at its plant, to around 80-85% of production capacity levels on March 18, 2020. The lower run rates has been attributed to shortage of feedstock.

Located at Shanghai, China, the plant has a production capacity of 120,000 mt/year.

As MRC reported earlier, Sinopec Mitsui Chemicals Co undertook a planned shutdown for maintenance at its BPA plant in China on August 16, 2018. The plant remained shut until mid-September 2018. Located in Shanghai, China the plant has a production capacity of 120.000 mt/year.

BPA is the main feedstock for the production of polycarbonate (PC).

According to MRC's ScanPlast report, Russia's overall consumption of PC granules (excluding exports from Belarus) totalled 6,700 tonnes in January 2020, up by 43% year on year (4,300 tonnes a year earlier).

Shanghai Sinopec Mitsui Chemicals Co. Ltd. manufactures and distributes chemical products. The company produces and sells bisphenol A and other related chemical products.
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MOL Group starts producing hand, surface sanitizers to offer protection against COVD-19

MOSCOW (MRC) -- Hungarian MOL Group has started production of hand and surface sanitizers to offer protection against the coronavirus, Trend reports citing the company.

'Lubricants producer and MOL Group member MOL Lub Ltd. has shifted production of a windshield washer production line at its Almasfuzito plant in only one week. The unit is operating 24/7, in three shifts, producing a daily volume of around 50,000 liters – allowing MOL to contribute to the global fight against COVID-19,' the company said.

The formulas for the two new products have been created on the basis of WHO recommendations, and have been tested and approved by the National Institute of Pharmacy and Nutrition in record time in light of the COVID-19 situation. The ethanol for producing the hand sanitizer has been sourced from Hungary. These new hygienic products are thus being sourced from, and manufactured by, Hungarian firms.

MOL Lub has already shipped the first manufactured volumes to state institutions playing a key role in the fight against coronavirus (e.g., hospitals, waste management companies, public utilities) as directed by the Operative Group set up by the Hungarian government. Production and shipping will be continuous.

MOL Lub is also working to make these products available at its retail outlets to all Hungarians to help ease current shortages.

MOL Hygi is available in 2-liter recyclable plastic bottles for the time being but will also come in smaller sizes as of next month.

MOL Group is also starting production of the sanitizers in Slovakia and Croatia. INA, the Croatian member of the Group, will be producing 50,000 liters of sanitizer for now. In Slovakia, production of the sanitizer was launched at VURUP, also a member of MOL Group.

As MRC informed before, MOL Petrochemicals Company (formerly known as TVK, part of the MOL Group), the only Hungarian producer of olefins and polyolefins, announced force majeure on the supply of polypropylene (PP) from plant No. 4 at the petrochemical complex in Tiszaujvaros (Tiszaujvaros, Hungary) on 23 September 2019.

According to MRC's ScanPlast report, PP shipments to the Russian market were 127,240 tonnes in January 2020, up by 33% year on year. ZapSibNeftekhim's homopolymer PP accounted for the main increase in shipments.

MOL Hungarian Oil and Gas PLC is an integrated oil and gas company. The Company produces crude oil, petroleum products, bitumens, lubricants and natural gas. MOL owns and operates refineries, oil and gas pipelines, service stations, and natural gas storage facilities.
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