US makers file antidumping petition on ESBR from Brazil, Mexico, Poland and South Korea

MOSCOW (MRC) -- Two US emulsion styrene butadiene rubber producers have filed a petition to stop dumping from Brazil, Mexico, Poland and South Korea, one of the petitioners, Lion Elastomers, said, reported Apic-online.

The other ESBR producer is East West Copolymer of Baton Rouge, Louisiana.

The International Union of Operating Engineers and the United Steel Workers are supporting the petition, which has been filed with the US Department of Commerce and International Trade Commission.

"The petition covers ESBR grades in the IISRP [International Institute of Synthetic Rubber Producers] 1500 and 1700 series," Lion Elastomers, said in a statement.

"The estimated dumping margins for imports from these countries range from 30% to 80%."

ESBR is used mainly in the production of tires, but is also used to make conveyor belts, shoe soles, hoses, roller coverings and flooring.

In 2015, the US imported 15,090 mt of ESBR from Brazil, 17,013 mt from Mexico, 2,352 mt from Poland and 436 mt from South Korea, ITC data showed.

We remind that, as MRC informed previously, on 8 September 2014, China ended its anti-dumping duties on styrene-butadiene-rubber (SBR) imports from Russia, Japan, and South Korea. In 2009, China extended its 4-38% anti-dumping duties on SBR imported from the countries by five years.
MRC

MOSCOW (MRC) -- The Sumitomo Chemical Group reported a 64% decrease in its first-quarter net profit to yen (Y) 12.2bn from the previous year, said the company on its site.

Sales decreased by Yen100.0 billion compared with the same period of the previous fiscal year, to Yen456.6 billion.

The Group posted operating income of Yen25.3 billion, ordinary income of Yen25.8 billion and net income attributable to owners of the parent of Yen12.2 billion, all representing year-on-year decreases.

The Sumitomo Chemical Group’s financial results by business segment for the first quarter ended June 30, 2016 were as follows.

Market prices of petrochemical products and synthetic resins declined because of lower feedstock prices. Shipments of petrochemical products decreased due to the restructuring of the petrochemical business at the Chiba Works. The stronger yen had a negative effect on sales from overseas subsidiaries in yen terms. As a result, the segment’s sales decreased by Yen61.5 billion compared with the same period of the previous fiscal year, to Yen137.0 billion. Operating income declined by Yen5.2 billion, to Yen1.8 billion.

As MRC informed earlier, Sumitomo Chemical and Sekisui Chemical (Tokyo) in March 2016 combined their respective polyolefin films business under a new joint venture.

Sumitomo Chemical is a Japanese based manufacturer of a diverse range of products, including basic chemicals, petrochemicals and plastics, fine chemicals, agricultural chemicals, IT-related chemicals and pharmaceuticals.
MRC

MOSCOW (MRC) -- The chemicals company Solvay said for the second quarter of 2016, net income, Solvay share, on an IFRS basis was 185 million euros (USD203.1 million) compared with EUR138 million in 2015, as per the company's report.

On an underlying basis, net income, Solvay share, rose 4% to EUR223 million, with the higher operating profit more than offsetting the end of contributions from the discontinued European chlorovinyls activities, the company said.

Solvay however said net sales during the period fell 6% to EUR2.95 billion, as a result of a 4% drop net impact of foreign exchange fluctuations on conversion and a 2% price decrease in a context of lower raw material and energy costs.

"Solvay delivered strong results in the second quarter, with underlying Ebitda up 8% despite continued headwinds in some markets. This reflects the strength and breadth of the portfolio and the continued momentum of our excellence programs," CEO Jean-Pierre Clamadieu said.

Underlying earnings before interest taxes, depreciation and amortization or Ebitda during the period was EUR652 million.

Based on current market conditions, Solvay reaffirmed its full year 2016 guidance of high single-digit underlying Ebitda growth and free cash flow in excess of EUR650 million.

As MRC wrote before, in early June 2016, Solvay completed the purchase of Eastman Chemical Company's share in their former US joint venture Primester. As the sole owner of the cellulose acetate flake plant, Solvay had secured the most economical long term supply for its own tow businesses while adapting capacity to demand. Eastman will provide the long-term supply of basic utilities and raw materials to the Kingsport, Tennessee-based plant.

Solvay S.A. is a Belgian chemical company founded in 1863, with its head office in Neder-Over-Heembeek, Brussels, Belgium. The company has diversified into two major sectors of activity: chemicals and plastics. Solvay supplies over 1500 products across 35 brands of high-performance polymers - fluoropolymers, fluoroelastomers, fluorinated fluids, semi-aromatic polyamides, sulfone polymers, aromatic ultra polymers, high-barrier polymers and cross-linked high-performance compounds.
MRC

MOSCOW (MRC) -- ExxonMobil reported its quarterly profit fell nearly 60 percent from a year ago as commodity prices remained low and its refining margins were weak, said Cnbc.

The world's largest publicly traded integrated oil company earned an adjusted 41 cents per share in the second quarter, compared with USD1 per share, in the year ago period.

Analysts polled by Thomson Reuters had expected earnings per share of 64 cents. The stock was lower in premarket trading.

"While our financial results reflect a volatile industry environment, ExxonMobil remains focused on business fundamentals, cost discipline and advancing selective new investments across the value chain to extend our competitive advantage," CEO Rex Tillerson said in a statement.

Revenues were USD57.694 billion, versus USD74.11 billion in the second quarter of 2015.

ExxonMobil left its quarterly dividend unchanged at 75 cents per share ahead of earnings on Wednesday. The company hasn't raised its dividend since the second quarter of 2014.
MRC

MOSCOW (MRC) -- Eastman Chemical Company announced reported earnings of USD1.71 per diluted share for second quarter 2016 versus USD1.98 per diluted share for second quarter 2015, said the company on its site.

Earnings excluding non-core items were USD1.68 per diluted share for second quarter 2016 versus USD2.01 per diluted share for second quarter 2015.

Eastman generated USD494 million in cash from operating activities during second quarter 2016 primarily due to strong net earnings. In addition, the company sold 1.5% notes due 2023 in the principal amount of EUR550 million (USD614 million), with net proceeds used to repay USD500 million of the USD1 billion 2.4% notes due June 2017 and other borrowings. Priorities for uses of available cash include payment of the quarterly dividend, repayment of debt, funding targeted growth initiatives, and repurchasing shares. Total borrowings decreased USD274 million, and net debt, defined as total borrowings minus cash and cash equivalents, declined by USD312 million during the second quarter.

Commenting on the outlook for full-year 2016, Costa said: "During the first half of the year, we delivered strong growth of high value, innovative specialty products and we expect that to continue. We are also benefitting from the actions we have taken to accelerate our innovation and market development activities and to significantly increase our cost reduction efforts. However, the challenges we face have intensified including increasing competitive pressures particularly from the Asia Pacific region and compressing olefin spreads. As a result, we expect a decline in adjusted 2016 earnings per share that approaches 10 percent below adjusted 2015 earnings per share compared with our previous expectation of a decline of approximately 5 percent."

As MRC informed earlier, Eastman Chemical is seeking options to off-load its excess ethylene excess ethylene and other olefin intermediates in the US. Eastman has four crackers in Longview, Texas, which are able to produce ethylene and propylene. The company is seeking to monetize its excess ethylene as well as olefin intermediates, according to Eastman CEO Mark Costa.

Eastman (headquartered in Kingsport, Tennessee, USA) is a global specialty chemical company that produces a broad range of products found in items people use every day. With a portfolio of specialty businesses, Eastman works with customers to deliver innovative products and solutions while maintaining a commitment to safety and sustainability. Its market-driven approaches take advantage of world-class technology platforms and leading positions in attractive end-markets such as transportation, building and construction, and consumables. Eastman is a global specialty chemicals company with 15,000 employees worldwide.
MRC