Earthquakes in Japan to affect the world market of polymers

MOSCOW (MRC) -- Earthquakes in Japan resulted in deficit of some volume polymers in the world market, particularly, PET and PVC, according to MRC analysts. Under current circumstances MRC prepared Infographics, description of results of tragic events and their affect on petrochemistry.


In Infographics you will be able to see the structure of polymers exports from Japan to the external markets, placement of main capacities and zone of tsunami and earthquake. That will help to estimate the situation objectively and make corresponding conclusions. Such volume polymers, as PET and PVC, suffered the worst from nature disasters.


Japan is the biggest Asian exporter of paraxylene, main raw material for TPA production, and, in its turn, PET. Over 2010 Japan produced 3.2 mln t of paraxylene, 700 KT of which were converted within the country and about 2.5 mln were exported to the Asian and European countries.


The second in capacities is PVC, one of main polymers in the structure of Japanese exports. In 2010 PVC exports from Japan made about 680 KT. Suspension of separate PVC producers has already resulted in considerable growth of prices for Asian and North American resin.


MRC

US PP demand improved in March

(ICIS) -- US polypropylene (PP) demand has improved in March, but the rebound may be temporary as spot prices rise and buyers build inventory ahead of likely April price hikes, sources said on Thursday.


Buyers and sellers cited forecasts that feedstock propylene costs will rise by 5-10 cents/lb (USD 110-220/tonne, EUR 78-156/tonne) in April, driving PP contract prices up by an equal amount.


Buyers are generally operating with low inventories, and some have been hesitant to purchase spot material at higher prices than contract, a trader said.


Spot prices for prime homopolymer were heard at 80-83 cents/lb FOB (free on board) USG (US Gulf) in railcar. Traders said these prices were not workable to any export markets.


Major North American PP producers include LyondellBasell, ExxonMobil, INEOS, Total, Formosa, Phillips Sumika, Braskem Americas, Pinnacle Polymers, ConocoPhillips, Flint Hills Resources and Dow Chemical.


MRC

Japan will have to maintain higher refining rates

(ICIS) -- Japan will have to maintain higher refining rates and continue to allow the use of oil products from emergency reserves to mitigate the shortfall created by the continued shutdown of three refineries following the earthquake, industry sources said on Friday.


The three refineries totalling 617.500 bbl/day, or 14% of the overall country's refining capacity, remain shut following the devastating earthquake and tsunami of 11 March.


These include JX Nippon's 145.000 bbl/day Sendai refinery, which is located at Miyagi prefecture in northeast Japan, its 252.500 bbl/day Kashima refinery in Ibaraki prefecture, and Cosmo Oil's 220.000 bbl/day Chiba facility.


Authorities in Japan, which is the world's third-largest oil consumer, have moved to alleviate the country's shortfall in oil products by increasing the operating rates at other refineries and allowing the release of oil products from emergency industry reserves.


In addition, refiners have increased their oil product purchases from the international market.


MRC

Evian claims its new bottle uses less plastic

(Ceepackaging) -- Evian claims that its new 1.5 litre bottle is made of 50% recycled-PET and contains 11% less plastic to weigh 3.4 grams less than the previous design. Evian says the new bottle reduces the carbon footprint by 32% and remains 100% recyclable. Evian even touts that the new bottle is even easier to crush, taking up less space in recycling bins.


Evian is currently working towards a target of reducing its CO2 emissions 40% between 2008 and end of 2011.


MRC

Braskem launches Flexus 9212XP resin

(Braskem) -- Braskem has just released the resin Flexus 9212XP (extra performance), which was developed at its Technology and Innovation Center to meet the demand in the market for high performance laminated films for use in high-speed automatic packaging processes. The main advantages include high resistance to punctures and impacts, low sealing temperatures, excellent Hot Tack and more stable Kinetic Coefficient of Friction (CoF) values after rolling.


Flexus 9212XP is an innovative and patented solution from Braskem resulting from a robust formula capable of improving Kinetic CoF stability after the rolling, transport and storage of reels. CoF is a very important property for the flexible film chain, since it indicates the ease of unreeling on extrusion, printing and rolling lines and, especially, on automated packaging machines.


MRC