With a host of new plants coming online, average U.S. production of ethanol in the first quarter increased 37% compared with the same quarter a year ago. Market watcher Bentek said average daily production in the first quarter was 21.4 million gallons/day, up from 15.6 million a year ago.

“If this trend continues, 2008 will be another record-setting year for U.S. ethanol production,” said Jack Weixel, a Bentek senior analyst. Planned expansions and new plants this year could push total U.S. ethanol production to over 7.7 billion gallons, Bentek said. Total production of ethanol was approximately 6.5 billion gallons in 2007.

Cabot Corp. says the dramatic shift in tire production from the U.S. to overseas markets in the past 24 months led to its decision to shut down its Waverly, W.V. carbon black plant March 31.

According to a company statement, the decision came “as a result of tire capacity reductions throughout North America and the expansion of tire manufacturing facilities in China and other countries in the Asia Pacific and South America regions…as well as the projected growth of imported tires to the U.S.” which made it necessary for Cabot to reduce its carbon-black capacity in North America.

Cabot has been expanding in Asia. As reported by Purchasing last summer the company announced an expansion of its carbon- black facility in Tianjin, China. At the time, Cabot's CEO Kenneth Burnes said, “We are pleased to have continued strong volumes in our carbon-black product lines outside of North America and look forward to the added volume from our new performance products unit in China.”