Briefs

Staff -- Purchasing, 10/6/2005

• Dow Chemical of Midland, Mich. recently unveiled some innovations in its elastomer business. The Specialty Plastics and Elastomers business of Dow, is investing in its TPU production facilities. A new desiccant dryer for pre-treating transfer air has been added to the drying system at Dow's TPU plant in LaPorte, Texas. "By allowing TPU pellets to transfer from product dryers to packaging and blending systems in desiccated air, Dow is able to reduce the moisture content of finished pellets by as much as 70-80%," said Tom Spicer, TPU production leader for Dow. In addition, Dow has converted to new foil packaging for bagged TPU products and a foil liner for boxed TPU products. The low moisture vapor transmission rate (MVTR) of the packaging minimizes the rate at which TPU pellets can absorb moisture during storage.
• "Across our entire portfolio, including TPUs, we are focused on the delivery of product in-novations and technology solutions that matter to our Elastomer customers," said Julie Fasone Holder, vice president, Dow Specialty Plastics and Elastomers. "The investments we are making in our TPU business are but one demonstration of our flexibility to apply specialized resources to help customers grow their markets."
• At a trade show in China, Dow released a new two-part silicone elastomer dispersion system to coat latex catheters for the healthcare industry. Dow Corning's Q7-2630 Dispersion and Q7-2640 Catalyst are combined to form the silicone elastomer dispersion. A third component, Q7-2650 Fluid, acts as a solvent for diluting the dispersion.
• Specialty chemical companies have started boosting prices of materials. BASF has increased selling prices for normal butanol, isobutanol, and 2-ethyl hexanol by 3¢/lb in the U.S., Canada and Mexico—and by 6¢/lb for its trademarked brands of styrene-butadiene copolymers. Eastman Chemical is increasing prices by 8¢/lb on TXIB-brand plasticizer (2,2,4-trimethyl-1,3-pentanediol diisobutyrate). Celanese Chemicals is boosting prices on such acetyl products as acetic acid and acetic anhydride by 5¢/lb and vinyl acetate by 8¢/lb.
• Cabot Corp. reports its two carbon black facilities in Louisiana weren't significantly damagedby Hurricane Katrina and have been operated at full capacity. Nonetheless, the Boston-based global specialty chemicals manufacturer may be forced to boost carbon-black prices, which are already up 9% this year, due to continued increases in raw material costs.
• The global market for terephthalates (TPA) and polyester is being shaped and driven by Asian demand. A new report from Chemical Market Associates (CMAI), says demand for TPA is regionally driven, with the majority coming from Asia. "Strong growth of TPA demand from China will continuously draw more TPA imports, exceeding 6 million metric tons in 2005 and 2006," the report says. Globally, growth for PET resin will be in the 7% range for the next five years, much faster growth than fiber, although fiber still accounts for nearly two-thirds of global polyester demand. The Americas will remain the larger market for PET resin demand, al-though the market is moving towards saturation, according to CMAI.
• Plastic resin supply may be affected by the close of GE Plastics and Wellman plants on Mississippi's Gulf Coast. GE's ABS plant, which produces resins and alloys in Bay St. Louis, Miss., closed August 27 and as of Sept 13, remained closed. Wellman, of Shewsbury, N.J., said it is supplying PET customers from a site in Darlington, S.C. until its Bay St. Louis plant reopens.
• Demand for specialty plastic additives is expected to increase 2.6% per year to 5.2 billion pounds in 2009 and consumption will increase 4.6% annually to $6.8 billion, according to a recent study from The Freedonia Group, a Cleveland-based industrial market research firm. Gains will result from increasing plastic demand, especially polyvinyl chloride (PVC), and improved markets such as nonresidential construction, electrical and electronics, and packaging. Plasticizers and flame retardants will experience a rebound after declining over the 1999-2004 period, while polypropylene will be the fastest growing outlet for plastic additives.
• Honeywell has sold its U.S. nylon carpet fibers business to Shaw Industries Group of Dalton, Ga., a subsidiary of Berkshire Hathaway. Honeywell will supply Shaw with caprolactam and nylon resin, two intermediate chemicals used in the production of nylon fibers for carpeting and other applications.
• Rhein Chemie is taking initiatives to improve its U.S. rubber business by closing its production facility in Trenton, N.J., by the end of 2006. Rhein Chemie will retain its warehouse facilities in Trenton. This restructuring comes as a result of changing customer demands in the U.S. automotive industry. In conjunction with the consolidation, Rhein Chemie will increase its business focus on improved application support.
• Specialty chemicals producer Cytec Industries of West Paterson, N.J. completed the sale of its Surface Specialties Amino Resins business to the INEOS Group Limited.
• Smurfit Stone Container of Chicago and EIJ Packaging teamed up to create a new business, EIJ-SSFP, that will produce coextruded flexible packaging and printed lamination products. The facility, adjacent to Smurfit Stone's plant in Milwaukee, will be equipped with a three-layer coextrusion machine, ancillary slitting equipment and a 10-color flexographic printing press.