PU Industry Memorabilia in the Second Half of 2011
1. Polyurethane Hot News
BASF to Further Invest in Brazilian
Polyurethanes Business
BASF today announced that it will be investing
to expand its polyurethane (PU) systems and
specialties business in Brazil. The production
facilities for PU systems, polyols, TPU and
Cellasto® will be enlarged and established at
BASF’s Verbund site in Guaratinguetá. Also, a new development and technical service center will be
opened at BASF’s Demarchi site in order to create a world class facility to support the company's
customer and market development activities. Due to spacial restrictions these expansions cannot be
realized at the Mauá site.
"With this investment, BASF will secure the long term future of our Polyurethane business in
South America. It also underlines our leading position in the global polyurethanes market”, says
Wayne T. Smith, President of BASF’s polyurethanes division. “We will be in the position to better
serve our customers in the polyurethanes market in Brazil and to help make them more successful.”
Bayer Starts Up Shanghai TDI Plant
Bayer MaterialScience's (BMS) new toluene di-isocyanate
(TDI) plant in Caojing in Shanghai, China, has the flexibility to
run at reduced rates in line with market demand, CEO Patrick
Thomas said. The 250,000 tonne/year plant has reached
commercial production and the official inauguration will take
place on 16 November, he added.
The plant will be the first to use BMS's new gas-phase
phosgenation technology. "Our goal with this technology is to be
able to run at about 50% of full rate. Nobody has ever done that
before," Thomas said. "This means you can be far more responsive to market demand without
having to have multiple plants."
Normally, isocyanates plants have to be run at full rates because quality drops with a decline in
operating rate, he explained. The ability to run the new plant at reduced rates will give
Germany-headquartered BMS a commercial advantage at a time when TDI prices have dropped
because of new capacity coming on stream, Thomas added.
BorsodChem Inaugurates New TDI Plant
BorsodChem Zrt, the Hungarian subsidiary of Chinese Wanhua Industrial Group, has officially
inaugurated its new TDI plant at its site in Kazincbarcika in North-East Hungary. The new facility,
which is now in commercial operation, has a capacity of 160 kt/y. According to BorsodChem, this
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PU Industry Memorabilia in the Second Half of 2011
positions the company as Europe’s leading toluene diisocyanate manufacturer.
The company invested more than EUR 200 million in the construction of the new facility. The
new plant has an annual nameplate capacity of 160 kt, which can be increased by another 40 kt to
200 kt/y depending on future demand. The facility, which utilises BorsodChem’s proprietary
technology, operates considerably more efficiently than the company's existing TDI-1 plant. Due to
the current unfavourable market environment, full utilisation of the new facility is only expected at a
later stage.
COIM Completes Asian Polyol Expansion
COIM Asia Pacific,, a fully owned
subsidiary of COIM SpA, global polyurethane
chemicals producer, announces it has
successfully completed the expansion of its
polyester polyols production unit located in
Singapore and also announces an investment
for the production of Low Fogging Polyester in
the same site.
"With this investment, COIM Asia Pacific will be the first polyester polyols producer with a low
fogging treatment plant in Asia" said Vipul Rastogi, General Manager of COIM Asia Pacific "and
further enhances our commitment to the customers in this region".
Low Fogging polyester polyols are mainly required in the automotive industry for the
manufacture of slabstock foam used in roof headliners, head rest, internal door panels and seats.
s Prices in Europe Huntsman to Increase MDI and MDI-Based System
The Polyurethanes division of Huntsman
Corporation announced that it will increase the price of
all its MDI products and MDI-based systems by €100
(euro)/tonne in the European region (Europe, Africa,
Middle East, Former Soviet Union) from 1st January
2012.
Nick Webster, Vice President, Europe for
Polyurethanes, said: "This price increase is necessary
to address continuing inflationary pressures and the
need to secure long-term reinvestment economics.”
Huntsman to Increase MDI Price in Asia Pacific
Shanghai, China – The Polyurethanes division of Huntsman Corporation (HUN:NYSE)
announced today that it will increase the price of all its MDI products by 200 USD /ton in the Asia
Pacific region (APAC) from 1st January 2012. Vincent Wang, Vice President, APAC for
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PU Industry Memorabilia in the Second Half of 2011
Polyurethanes, said: "This price increase is necessary to address continuing inflationary pressures
and the need to secure long-term reinvestment economics.”
Perstorp in Thai Isocyanate Venture
Perstorp, Sweden - Perstorp and PTT Global
Chemical, Thailand’s largest chemical producer, plan to
launch a joint venture dedicated to the manufacturing
and sales of aromatic (TDI) and aliphatic (IPDI, HDI and
derivatives) isocyanates; serving the polyurethane
industry. The planned joint venture includes the former
Perstorp Business Group “Coating Additives” with its
manufacturing sites at Pont-de-Claix in France and
Freeport, TX. PTT Global Chemical will retain 51% of
the joint ventures shares and Perstorp 49%.
The joint venture plans to invest in new manufacturing capacities and facilities to capitalize on
the worldwide fast growing polyurethane market. In addition, the JV plans to invest further in
cutting-edge R&D as well as improving operations efficiency to strengthen competitiveness and
increase market offerings.
Shell Completes Project to Strengthen Flexibility of Polyol Production at Pernis,
Netherlands
Shell Chemicals has completed a project to strengthen the flexibility of its polyol production
facility in Europe. A direct result of this will be an immediate increase in CASE (coatings, adhesives,
sealants and elastomers) polyol capacity from the site at Pernis in the Netherlands.
Modifications made to both the plant and process technology are enabling CASE-grade
CARADOL polyols to be made on a continuous production line for the first time in Shell’s history. This
is providing a boost in capacity, designed to enable Shell’s Propylene Oxide and Derivatives (PODer)
business to respond quickly to increasing demand from customers across Europe.
Thai IRPC to Shut All Plants for Major Maintenance for
Thailand's IRPC Pcl plans to shut all of its plants for major
maintenance for 40 days from mid-November to late
December, as per Reuters. The company operates Southeast
Asia's biggest integrated petrochemical complex, and
schedules a major shutdown for maintenance every three
years. The petrochem major plans gradual shut down of each
of its plants by restarting operations at one to offset loss of
production at the closed ones. Also, no major impact is
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40 days From Mid-November
PU Industry Memorabilia in the Second Half of 2011
expe
00-170,000 bpd in Q3. The petrochemical complex
has an annual capacity of about 924,000 tons.
cted on sales due to sufficient stockpiling by IRPC.
The plan that will effectively lead to an actual shutdown of 30 days, will reduce Q4 refining output
to an average of 140,000 bpd, down by 30,000 bpd from normal output levels for the
October-December period, and down from 160,0
Verdezyne Opens Pilot Plant for Production of Adipic Acid
Industrial biotechnology company, Verdezyne has launched its first pilot plant in Carlsbad
,
California for the commercial production of adipic acid, which is a primary component in nylon 6,6.
The plant will also produce thermoplastic polyurethane resins derived from renewable resources
like vegetable oils. Verdezyne employs non-food feedstocks that are plant-based for the production
of many commercial diacids through the yeast fermentation process. This method offers greater
advantages over traditional petroleum methods since they involve low production costs and generate
lesser CO2 emissions resulting in lesser pollution.
2. Leading Company Movements in 2011
BASF Faces Volume Growth Pressure and Declining
economic conditions, Bernstein Research said on
Thu
ped its target
.
ard of Executive
Dire
enior Vice
resident, Performance Chemicals North America, located in Florham Park, New Jersey.
Petrochemical Margins in 2012
German major BASF faces volume growth pressure and
declining petrochemical margins in 2012 because of
deteriorating
rsday.
Based on this outlook, Bernstein downgraded the company
to "market-perform" from "outperform" and drop
share price to EUR 56 (USD 80) from EUR 74
BASF Names New Head of Global PU
Ludwigshafen, Germany – December 16, 2011 – Raimar
Jahn (53), currently head of BASF’s Coatings division, will
become President of BASF’s Polyurethanes division, headquartered in Brussels, Belgium effective
March 1, 2012. He succeeds Wayne T. Smith who has been appointed to the Bo
ctors of BASF SE effective at the end of the Annual Meeting on April 27, 2012.
The Supervisory Board of BASF Coatings GmbH will be asked to appoint Dr. Markus Kamieth,
Senior Vice President, Performance Chemicals North America, N-EVP, BASF Corporation, Florham
Park, as successor of Raimar Jahn effective March 1, 2012. Kamieth is currently S
P
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Bayer Plans Further Expansion in Asia
The Bayer Group plans to further expand its production, distribution network and research
PU Industry Memorabilia in the Second Half of 2011
activities in Asia and considerably increase its sales in the region in the coming years. We aim to
achieve a more than 60 percent increase in our sales in Asia by 2015, Management Board Chairman
Dr. Marijn Dekkers said on Wednesday at Bayer’s international press conference Perspective on
Growth in Asia, held in Shanghai, China. This would mean annual sales of well over EUR 11 billion by
2015 at today's exchange rates. Of this figure, Greater China is planned to account for some EUR 6
billion. Dekkers officially inaugurated a new production facility for TDI–a raw material for the
production of flexible foams–at the Bayer Integrated Site Shanghai.
ls JV Between BASF, Total, Shell Change in Ownership Structure at Sabina Petrochemica
BASF Corporation and Total Petrochemicals USA, Inc.
have announced a change in ownership of the Sabina
Petrochemicals LLC joint venture that operates one of the
world's largest C4 complexes, located in Port Arthur, Texas.
With effect from August 1, 2011, Shell Chemical LP, will
exit the joint venture. As of this date, BASF and Total
Petrochemicals will be the sole partners in Sabina with 60:40
ownership shares. BASF will continue to operate the Sabina
plants. The terms of the agreement are confidential. "The
change in ownership of the Sabina joint venture marks a
milestone in its seven year history," said Heidi Alderman,
Senior Vice President, Petrochemicals, BASF Corporation.
"BASF and TPI remain firmly committed to the Port Arthur site and plan to continue to invest in the
site to optimize production capacity."
"This new structure provides a stronger partnership between TPI and BASF and allows us to
strengthen the synergies between the Total Port Arthur Refinery, the BFLP (BASF FINA
Petrochemicals Limited Partnership) and the C-4 Sabina operation," said Geoffroy Petit, Chief
Executive Officer, TPI Petrochemicals USA, Inc.
ign LOI to Strengthen Integration of Dow’s North American
tor in China and has
ann xpansion plans that would position it as the largest in the world.
Dow and Jilin Connell S
Polyurethanes Franchise
Dow Polyurethanes, a business group of The Dow Chemical Company (NYSE:DOW) and a
leading producer of methylene diphenyl diisocyanate (MDI), today announced the signing of a Letter
of Intent (LOI) with Jilin Connell Chemical Industry Co., Ltd., a subsidiary of Jilin Connell Group,
aimed at providing U.S. Gulf Coast aniline supply for growth in our Polyurethanes business. Jilin
Connell Group, a privately-held company, was formed in 1991. Its subsidiary, Jilin Connell Chemical
Company (Jilin Connell), is the top merchant aniline producer and distribu
ounced e
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PU Industry Memorabilia in the Second Half of 2011
First Plants of BASF-YPC Expansion in Nanjing, Ch
ionic
surf
ring. The bulk of the remaining plants are
xpected to come on-stream around the end of 2011.
ices, leaving Dow Chemical as the last producer fighting the
clas
. The BASF settlement leaves Dow
hemical as the last producer fighting the price-fixing lawsuit.
iliao, Yunlin County in ccordance with
indu
prawling Mailiao petrochemical complex,
also
ina, Come on Stream
The first production facilities in the
expansion of BASF-YPC Company Limited,
a 50:50 joint venture between BASF and
Sinopec, have begun operations. Along with
the successful completion of the steam
cracker expansion, the newly constructed
butadiene extraction plant and the non-
actants plant are now operational.
These plants are part of a USD 1.4
billion investment project which broke
ground in September 2009. The project
includes the expansion of the existing steam cracker, from 600,000 t/y to 740,000 t/y of ethylene, the
expansion of three existing plants, and the construction of ten new plants. The products of this
second phase will serve multiple industries such as agriculture, construction, electronics,
pharmaceutical, automotive, and chemical manufactu
e
Judge Approves BASF Isocyanate Settlement
HOUSTON--A US judge approved on Monday BASF's proposal to pay $51m (€38m) to settle
allegations that it fixed isocyanates pr
s-action lawsuit.
In settling the case, BASF denied that it fixed prices. Instead, BASF settled the case to avoid the
cost, inconvenience and distractions that would come with prolonging the litigation. The settlement
was approved by the US District Court, district of Kansas
C
Nan Ya Shuts Petrochemical Plant in Yunlin
The Formosa Plastics Group (FPG) has shut down the manufacturing operations of an isononyl
alcohol plant at the group's petrochemical complex in Ma
strial plant safety procedures, as per The China Post.
The isononyl alcohol plant is among the five petrochemical plants of Nan Ya Plastics Corp.
ordered to close for inspection following successive fires on May 12 and 18. Top administrators at
Yunlin County Government were on hand to see the machinery equipment eventually grind to a halt
at the plant, almost two months after the latest fire at the s
known as Taiwan's No. 6 naphtha cracking complex.
The local government agreed to give extra time of two months for Nan Ya Plastics to gradually
wind down the operations for safety reasons as suggested by the company. Executives of the
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PU Industry Memorabilia in the Second Half of 2011
company had asked for a measured and phased shutdown of the five plants considering the
complicated chemical process. They explained that production at the isononyl alcohol plant was
finally suspended because all the petrochemical materials at the factory were used up and the
quipment was not refilled with new materials.
bdulaziz City for Science and
Tech
sector operators in the country, as part of the Kingdom's national
technology and innovation plan.
● Sa
e
Saudi Arabia Aims to Invest USD 100 Billio
Saudi Arabia aims to invest USD 100 billion
in its petrochemical industry by 2015, and to
increase focus on advanced technologies
associated with the industry, according to Dr
Mohammed Ibrahim Al-Suwaiyel, president of
the King A
n in Its Petrochemical Industry By 2015
nology.
Speaking during the Saudi International
Petrochemical Technologies Conference, held in
Riyadh in early June, Dr Al-Suwaiyel said
petrochemical technologies are among 12
strategic technologies that the Kingdom aims to
develop in partnership with private
udi Aramco and Dow to Finalize Details of JV for Petrochemicals Complex in Saudi Arabia
Saudi Aramco and Dow Chemical Co plan to finalize the details of a joint venture to build one of
the world's largest petrochemicals complex in Saudi Arabia, as per Reuters. The joint venture will
give Dow access to cheap Saudi gas feedstock and proximity to customers in Asia, Africa and
Europe, while Saudi Aramco can execute part of its plan to expand its petrochemical industry and
diversify away from oil alone.
First announced in 2007, the project is expected to get a nod of approval by end of July-early
August, by a committee that will decide on the investment. Location of the project has been changed
from Ras Tanura, in a bid to cut costs and has moved closer to other oil and chemical plants in Jubail,
off the Gulf coast of Saudi Arabia.
3. Force Majeure
As Formosa Prepares to Restart, Another Fire Breaks out at Mailiao Petrochemical
Complex
A fire, the eight this year, broke out at a refinery on Tuesday at Formosa Plastics Group (FPG)'s
Mailiao petrochemical complex, that was put out in about 20 minutes, without affecting any
manufacturing equipment, inflicting no harm to any person and posing no other threats. As per the
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PU Industry Memorabilia in the Second Half of 2011
management, the blaze started when transporting alkylate. Certain amount of alkymer ended up in a
ditch
at alkymer is
part of gasoline, but not toxic and will not release any toxic substance after burning.
nois A
e, and xylene production
cap
it, extracts benzene, toluene,
and
for comment, a Citgo spokesperson said he was not aware
f any force majeure declarations Wednesday.
soil hydrogenation unit, 2-mil-mt/yr
cata tic reformer and 280,000-mt/yr gas fractionation unit, etc.
at the plant because of the leak.
Water and chemical foams were immediately used to contain and snuff out the fire. The incident
occurred when the manufacturing and processing operations at the petrochemical complex were
temporarily closed for inspection and equipment maintenance. FPG executives state th
a
Citgo Delcares Force Majeure at Illi romatics Plant
Citgo has declared force majeure on toluene,
xylene, heptane, special lactolite, and blends containing
these products at their facility in Lemont, Illinois,
sources told Platts Wednesday. The Lemont facility has
a combined benzene, toluen
acity of 6,000 barrels/day
The force majeure was said to be the result of a
shutdown of the plant's boiler unit, which feeds steam to
the UDEX unit, for emergency repairs. The UDEX unit,
also known as the BTX un
xylene from gasoline.
Market participants reported that Citgo is repairing
the boiler unit and aims to get the UDEX unit back
online by the end of June. When reached
o
CNOOC Shuts 2-mil-mt/yr Catalytic Reformer at Huizhou Refinery on Blast
A 2-mil-mt/yr catalytic reformer at CNOOC Huizhou refinery exploded after catching a fire at
4:10 Monday; the fire which has been extinguished by 9:00 caused no death or injury, CNOOC
announced. CNOOC has lowered run rates of some units at the refinery, a refinery source revealed,
adding chemical units of CNOOC and Shell Petrochemicals were in normal operations. Whether
Huizhou refinery would go into overall turnaround ahead of scheduled is unknown, which was
expected to start this October. Located in South China’s Guangdong Province, Huizhou refinery is
equipped with a 12-mil-mt/yr crude distillate unit, the largest one in China. It also has 1.2-mil-mt/yr
fluid catalytic cracker, 4.2-mil-mt/yr delayed coker, 4-mil-mt/yr high-pressure hydrocracker,
3.6-mil-mt/yr mid-pressure hydrocracker, 2-mil-mt/yr gasoline/ga
ly
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PU Industry Memorabilia in the Second Half of 2011
Dow Continues Force Majeure on Cau
de 50% declared last week out of its Freeport,
Tex
0 mt/year Freeport plant
October 4, citing circumstances beyond its control in a letter to customers.
stic Soda Membrane Out of Texas Site
US petrochemical producer Dow Chemical Tuesday
said it continues the force majeure on caustic soda
membrane gra
as, facility.
"In spite of the rumors that were heard in the market
Dow continues its force majeure for caustic soda as
announced on October 4 with an allocation of 7 to 10 days,"
company spokeswoman Amy Ahlich said. Dow initially
declared force majeure at its 500,00
Fire at a PetroChina Subsidiary Dalian Petrochemical
As fire broke out at a major petrochemical refinery in the northeastern Chinese city of Dalian.
This is the second fire in two months at PetroChina subsidiary Dalian Petrochemical. The fire is
reported to have occurred in a diesel tank containing 800 tons of fuel. The blaze was caused by an
explosion in a pipeline linking two fuel tanks. TAs per another report, the fire was triggered by leak in
a distillation device at the Dalian Petrochemical Company. No one died or was injured in the accident,
which the company said had not caused pollution to the sea or the air. Dalian was the site of China's
biggest known oil spill, when a pipeline explosion put at least 1,500 tons (461,790 gallons) of oil into
the sea in July 2010.
hemical industry zone in Pudong's
Gao
the Gaoqiao oil refinery, which is
affili
se high into the air. The fire might have begun in a coking
nit, according to a refinery spokesman.
2.53 am on Sunday, which was
extin
Fire Sweeps Through Shanghai Gao-Qiao Refinery
FIRE swept through an oil refinery in Shanghai's key c
qiao area late September 23. No casualties was reported.
The blaze was spotted at about 10:27pm in a tower inside
ated to the Sinopec Shanghai Gaoqiao Petrochemical Corp.
Witnesses said they saw flames soon after a loud explosion. Some residents near the factory
said the smell was pungent and smoke ro
u
Formosa President Quits After Another Fire; Mailiao Ordered to Shut Down for Inspection
Two senior Formosa Plastics' executives have resigned following another fire at the company's
giant Mailiao, Taiwan petrochemical complex, on Sunday, the seventh at Mailiao within a year and the
second within a week. Formosa Plastics notified the Taiwan Stock Exchange today that president Su
Chi-yi and Wilfred Wang, chairman of Formosa Petrochemicals have resigned. The resignation came
after the fire at Formosa Plastics' 540,000 bbl/day refinery at 1
guished after two hours. There were no casualties reported.
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PU Industry Memorabilia in the Second Half of 2011
A Fomosa Plastics manager says that following the Cabinet's request, about 30 plants, just fewer
than half the 66 facilities at the Mailiao idustrial zone, will be suspended. All of Formosa Plastics' four
ajor subsidiaries will be affected. m
Tosoh Shuts all Monomer Plants After Fire at No.2 VCM Plant
Tosoh Corp has shut three vinyl chloride monomer plants at its Nanyo complex in Yamaguchi
prefecture, after a fire at its No 2 VCM plant, as per Reuters. The fire lasted for around a day in which
a male employee is missing.
Tosoh's Nanyo complex has a total annual capacity to produce 1.2 mln tpa - a third of the
nation's total capacity of 3.52 mln tpa.
4. Anti-dumping News from June to December in 2011
An Increase in Number of Anti Dumping Cases Likely as Petrochem Prices Dip in
ident and CEO of
Kuw
ayan will begin
mov
2010, India
imposed a range of antidumping duties on polypropylene producers in the Middle East.
.
Global Major MDI Manufacturers' Capacity & Capacity Involved in This Anti-Du
Manufacturer MDI Capacity (Excluding MDI Splitter Facility)
lved in
Investigation
2012
Lowering of petrochemical prices in 2012 could see a spate of antidumping proposals initiated
against petrochemical producers in the Middle East, as per Hamad Al Terkait, Pres
ait Equate Petrochemical Company ahead of the GPCA meet, as per Platts.
2012 is likely to see strong competition between producers in the Middle East and Asia as
products from newly started up plants hit the
complexes like Saudi K
Asian markets. At the same time, products from new
ing into the markets.
Over the past year, producers in the
Middle East have been the target of
antidumping penalties from several
countries, including India and Turkey. In
2010, Turkey levied an antidumping duty
of 6% on monoethylene glycol imports
from Equate and Sabic, and another
antidumping fee of 20% on imports from Saudi Arabia. Meanwhile in November of
Brazil Initiates Anti-Dumping Investigation on Crude MDI
PUdaily, Shanghai-On June 8, 2011, Brazil Ministry of Development Industry and Foreign Trade
announced to initiate anti-dumping investigation on Crude MDI from America, Belgium and China
mping (Unit: 10KT)
Capacity InvoLeading
BASF Belgium:56, America:29, China:12, South Korea: 97
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PU Industry Memorabilia in the Second Half of 2011
rBayer
6, Spain:15, America:30, China:35, BGermany:3
4.5, 65
Japan:13
Dow Portugal&Germany:28, America:34 34
Huntsman Netherlands:40, America:45, China:12 57
Yantai Wanhua Hungary:18, China: 80 80
China Practices Anti-Dumping and Countervailing Duty to Imported Off-Road
o
m December 15,
201
rvailing duties are varied
from 0% to 12.9%.
visional antidumping duty rates on US imports of viny
acet
yondellBasell Acetyls and 13.8% against Dow
Che
ker Chemie. The two companies represent more than 25% of
the
material injury suffered by
the
he investigation period covered October 1, 2009 to September 30, 2010.
Vehicle and Sedans from America
f the People’s Republic of China, on December
14, 2011, released its Announcement No. 84,
deciding to levy antidumping and countervailing
duties on imported off-Road vehicle and sedans
(exhausting volume higher than 2.5 liter)
originated from the USA fro
PUdaily, Shanghai-The Ministry of Commerce
1 to December 14, 2013.
According to the Announcement, the
anti-dumping rates are ranged from 2.0% to
21.5% while counte
EU Imposes Provisional Antidumping Duty on US Vinyl Acetate Imports
The European Union has imposed pro
ate, it said in a statement Wednesday.
The duties, which are due to take effect Thursday and apply for a period of six months, have
been set at 12.1% against Celanese, 13% against L
mical and any other US vinyl-acetate producers.
The EU said the move aims "to re-establish a fair level playing field" in the EU market for vinyl
acetate following a complaint lodged on October 22, 2010 by the UK's Ineos Oxide, which was
supported by German company Wac
total EU output of vinyl acetate.
Analysis of the effects of all known factors on the situation [the EU] provisionally concluded that
there is a causal link between the dumped imports from the USA and the
Union industry during the investigation period," the EU said.
T
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PU Industry Memorabilia in the Second Half of 2011
ina and
chem
Duty on
Res
effective from July 22, 2006 to July 22, 2011.
res, like
anti-
hina's electric wire, steel, textile and clothing products and other
prod cts are under investigation.
yl Chloride Paste Resin) from China, Japan, South Korea,
Malaysia, Russia, Taiwan and Thailand.
merica and EU. This decision shall
enter into force since from May 10, 2011 with period of 5 years.
announced to
initiate anti-dumping investigation on Crude MDI from America, Belgium and China.
ti-dumping Measures against Spandex Imports from
Japa
Events Focus: Anti-Dumping Roads in 20
PUdaily, Shanghai-In recent years, more
and more chemical enterprises suffer from
anti-dumping from other countries when
exporting. Meanwhile, large amounts of
foreign products are dumped into Ch
11
ical industry is of worst-hit area.
ⅰChina Imposes Anti-dumping
in Origin from Japan and Taiwan
On January, 22, 2011, China decided to
levy anti-dumping rates for the imported PBT
resin from Japan and Taiwan areas. It will be
ⅱ Indonesia Imposes Anti-dumping Duty on China's Textile and Clothing
April 12, 2011, Indonesia government began to carry out all kinds of protection measu
dumping duty to avoid Chinese low-priced commodities swarming into the local market.
According to Mari Elka Pangestu, Trade Minister of Indonesia, for the moment, Indonesia has
imposed anti-dumping duties on C
u
ⅲIndia Publishes Anti-Dumping Investigation on PVC From China
On April 21, 2011, Indian Ministry of Commerce & Industry released the anti-dumping
investigation on imports of PVC (Poly Vin
ⅳChina Continues to Impose Anti-dumping Duty on Imported Chloroprene Rubber
On May 9, 2011, China Commercial Ministry issued review decision to continue to impose
anti-dumping duty on chloroprene rubber imports from Japan, A
ⅴ Brazil Initiates Anti-Dumping Investigation on Crude MDI
On June 8, 2011, Brazil Ministry of Development Industry and Foreign Trade
ⅵ MOFCOM to Start Final Review on An
n, Singapore, ROK, Taiwan and the U.S.
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PU Industry Memorabilia in the Second Half of 2011
MOFCOM released announcement on October 13, 2011, deciding to start final review on
anti-dumping measures against spandex imports from Japan, Singapore, ROK, Taiwan and the U.S.
According to the Regulations of the People’s Republic of China on Anti-dumping, spandex
imports from the said country and region will continue to be levied anti-dumping duties in accordance
with
The imports subject to final review, which shall be completed before October 13, 2012, is the
agreement in previously held bilateral
neg
istry of Finance, Department of Revenue stated
at the duty tariff will be levied for a period of five years from the start of the provisional anti-dumping
m South Korea
rea now
incu
estigation had found that the domestic industry
to th
t date unless revoked,
the anti-dumping tax scope and tax rate as released in MOFCOM Announcement No. 74 of 2006,
No. 39 of 2008, No. 68 of 2008, and No. 6 of 2010.
same as that subject to anti-dumping investigation.
India and Saudi Arabia to Resume Talks on PP Anti-Dumping Levies
Saudi Arabia and India plan to resume talks in
September to discuss lifting of an anti-dumping levy
imposed on the kingdom's polypropylene (PP) exports.
Failure to reach an
otiations has attached increased importance to the
next round of talks.
India decided on anti-dumping duties on PP imports
from Saudi Arabia, Oman and Singapore. A notification by
India's Min
th
duty imposed by the government on 30 July 2009.
India Imposes Antidumping Duties on Caustic Soda fro
The Indian government has imposed antidumping duties on caustic soda imported and
originating from South Korea that came into effect on Monday.
Caustic soda lye and caustic soda solid/flakes exported and originating from South Ko
r an antidumping duty of $366/dry mt. The duty will be levied until December 25, 2013, and is
payable in Indian currency, the customs department sa
A department inv
id in a notification issued October 3.
had suffered material injury due
e dumping of caustic soda from South Korea,
the notification said.
The Indian government on August 23 imposed
antidumping duties of $379/ dry mt on caustic soda
from Thailand and Norway and $361/dry mt on
caustic soda from Taiwan. Those duties will be
levied for five years from tha
superseded or amended earlier, and are also
payable in Indian currency.
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PU Industry Memorabilia in the Second Half of 2011
e to be levied anti-dumping duties in accordance
w
10.
The imports subject to final review, which shall be completed before October 13, 2012, is the same
MOFCOM to Start Final Review on Anti-dumping Measures against Spandex
Imports from Japan, Singapore, ROK, Taiwan and the U.S.
MOFCOM released announcement on October 13, 2011, deciding to start final review on
anti-dumping measures against spandex imports from Japan, Singapore, ROK, Taiwan and the U.S.
According to the Regulations of the People’s Republic of China on Anti-dumping, spandex
imports from the said country and region will continu
ith the anti-dumping tax scope and tax rate as released in MOFCOM Announcement No. 74 of 2006,
No. 39 of 2008, No. 68 of 2008, and No. 6 of 20
as that subject to anti-dumping investigation.
5. D
rupt?
e most
r
ave severe shortage and 25% enterprises
dare
ffer from the half work suspension. However, Federation of Industry
and
is in 2008. Currently, such enterprises encounter five living pressures: labor shortage,
salary increase tide, appreciation of the RMB, energy saving & emission reduction and structural
ocked by
water-based paints with shrinking market sizes and shares. Besides, the newly-emerged coating
prod lvent-free coatings.
ownstream Industries Dynamics in Polyurethane Field
Will 20% Shoes and Clothes Enterprises in Wenzhou Go Bank
PUdaily, Shanghai-Luwan District is th
middle & small sized shoes and clothes ente
developed region in Wenzhou, Zhejiang and many
prises concentrate here.
According to Economy and Trade Bureau in
Luwan District, 74.5% enterprises are faced with the
shortage of labor. Among which, shoes, clothes,
glasses, lighter, lockset and other labor-intensive
industries h
not to accept the orders due to insufficient
production.
Zhou Dewen told the reporter, "At present, about
20% enterprises in Wenzhou su
Commerce claims that about twenty percent of the companies close down. It seems to be more
serious than my investigation."
"The shoes and clothes enterprises in Wenzhou are faced with more difficulties than the period
of financial cris
adjustment.
Economy Rebounds May Push Forward America Coating Market
PUdaily, Shanghai-According to latest reports for coating market, America's demands for coating
and painting products will march on with an annual growth rate of 3.1%.
Meanwhile, the traditional solvent-based coating products will be continuously sh
ucts also include high-solid coatings, power coatings and other so
Suntower Consulting Limited 14
PU Industry Memorabilia in the Second Half of 2011
ⅰ Real Estate Industry Pulls Up Demands for Building Materials
As the biggest consumption sector with largest share in the coating market, building coating
demands account for almost 50% of the total amounts, and thus America's real estate and residence
indu
arket will rebound before 2012 and this will promote
the building coating market obviously as well.
w materials will increase and this will definitely
nds for Other Building Coatings Ascend
Cea
automotive coatings will mount up
acc
production quantities of metal building materials
coat
dge industries in
America, demands for corrosion proof and special coatings will blossom to match.
urrently, domestic coat
pres
et, the coating quality has jagged
standards.
ⅱ Increasing Requires from Consumers
stries play a vital role on the coating market.
It is predicted that America's real estate m
ⅱ Demands from Interior Wall Decoration Sector Will Augment
The data also shows that demands for coating from interior wall decoration sector will exceed
that from outer wall field. Additionally, as coatings used in outer wall field will be gradually restricted
by the newly emerging materials, the application of ne
lift growth of coating demands from outer wall field.
ⅲ Dema
selessly
Along with the global revival of automobile industry,
demands for
ordingly.
As a rapidly developed industry, metal processing
and surface treatment will also propel America's
ings.
Lastly but not the least, coupled with the fast developed freeway, railway and bri
Four Reasons on China Impotent Coating Market
PUdaily, Shanghai-Since this year, building materials enterprises suffer huge pressures along
with the publishment of a series of real estate policy and continuously increasing prices of raw
materials. Consequently, consumers' purchasing power drops as well as the sales volumes of
building raw materials. C ing industry in home building materials market
ents to be in frigidity.
ⅰStandard Shortage in Coating Market
Selecting coating, majority people care about
most is the environmental protection problems while in
current mark
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PU Industry Memorabilia in the Second Half of 2011
In the former years, consumers paied more attention to the product quality, durability and price
when purchasing building materials while coupled with the developing new types of building materials,
coatings fail to satisfy consumers' requires for wall surfacing decoration. Hence, fashionable
wallpaper becomes the tide while according to coating suppliers; the popularization of this soft
decoration material still needs a long time.
Besides, some famous coating companies claim they have launched the wallpaper planning
project to meet consumers' improving demands on wall surfacing decoration in terms of price, quality
and even taste, sense of art and decorations convenience.
ⅲ Erosion of Big-brand Wallpaper
Coupled with the establishment of high-end brands of ROEN and Power Dekor, more and more
consumers begin to purchase specific wallpaper.
ⅳ Ascending Market Prices of Raw Materials
As oil is the feedstock of coatings, the price hike of oil influences coating prices directly while
according to insiders from leading coating companies, domestic famous coating enterprises can
afford to the price fluctuation of raw materials and their prices regulation is planned.
However, as for the coatings used in engineering building, the prices will be revised up due to
the low pricing and small profits.
Japan Facing Rubber, Polypropylene Shortage on Rising Automobile Output
Japanese automakers are set to increase their production between October 2011 and March
2012, the Nikkei reported Monday.
Japanese tire maker Bridgestone has notified automakers that orders for passenger car tires will
likely exceed its domestic output capacity, the Nikkei said. The company is expected to face a
shortage of an estimated 500,000 tires, or
roughly 5% of orders received, this year.
Bridgestone's seven domestic plants
making passenger car tires are operating
around the clock and have no room to raise
output. Procuring tires from plants overseas
appears to be difficult due to strong demand
there, the Nikkei said.
Japan Polypropylene is having trouble
keeping up with demand for PP. Inventories are running low at its 640,000 mt/year PP plant in
Kashima, which shut down for about two months following the March 11 earthquake. In addition,
regular maintenance is scheduled at the plant from the end of this month through mid-October, the
Japan's leading financial daily said.
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PU Industry Memorabilia in the Second Half of 2011
PP is a main feedstock to produce autoparts and bumpers
Toyota Motor and seven other major manufacturers of passenger cars project a 2% year-on-year
increase in global output in the six months to end-March 2012, with major hikes planned in Japan.
Ningbo Has Exported 1551000 Pairs of Leather Shoes to EU from January to
October
PUdaily.Shanghai-According to Ningbo
Custom, from January to October Ningbo has
exported 1551000 pairs of leather shoes to EU,
38.4% more than last year. The total value is 13.67
million dollars, with an 86.9% increase year on
year. The export volume to EU accounts for 25.1%
of the total.
Output of Spandex in China
Increased By 22.8pct Year-on-Year to
274,000 Tons in 2010
Driven by the recovery of textile industry, spandex industry of China saw boom in both
production and sales in 2010, with the apparent consumption hitting 259,000 tons, up 18.1%
year-on-year. Meanwhile, the output of spandex increased by 22.8% year-on-year to 274,000 tons,
with the industrial operating rate soaring to 74.2%.
And the spandex capacity rose by 9.8% year-on-year to 369,600 tons, an increase of 33,000
tons. It can be seen that the growth in demand and output was far ahead of the growth in capacity.
However, some 27,000 tons of new spandex capacity had been put into operation as of May 2011,
with the annually increased capacity expecting to surpass 100,000 tons.
In 2010, the spandex industry of China maintained high-speed growth, leading to domestic
heavyweights to make intensified investment grasping market shares, thus accelerated the
improvement of industrial concentration.
In 2010, the top 10 spandex manufacturers in China made up 75.8% of the total capacity, up 2.1
percentage points comparing to that in 2009. And it is
estimated that the industrial concentration in upcoming
years will see further improvement.
In 2010, foreign companies registered 20.8% in the
spandex market of China in terms of capacity. Moreover,
they are still accelerating the layout in Chinese spandex
market by virtue of strength in economy and technology.
A case in point was the phase IV project of Hyosung´s
Zhuhai plant, which was put into operation in May 2010.
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PU Industry Memorabilia in the Second Half of 2011
With the spandex capacity totaling 46,000 tons/year, Hyosung China became the largest spandex
manufacturer in China in 2010.
In April 2011, with the 12,500 tons/year phase II project of Invista Foshan put into operation, the
total spandex capacity of Invista China hit 41,000 tons/year.
Compared with foreign companies, China-based spandex manufacturers expand their capacity
more rapidly, with the capacity proportion of the domestic top 5 spandex producers totaling 42.5% in
2010, up 2.5 percentage points over 2009.
Meanwhile, major domestic spandex enterprises are accelerating their steps to realize
function-oriented differentiated development so as to improve their profitability. For example, Huafon
Spandex and Yantai Spandex realized the product differentiation rate above 50%.
Huafon Spandex´s 15,000-ton high-temperature resistant thin fabric spandex project with the
investment of RMB480 million is under construction, expecting to be put into operation in July 2011,
by then, the company will achieve a product differentiation rate over 60%, and regain the status as
China´s largest spandex manufacturer from Hyosung.
In 2010, the capacity of Yantai Spandex hit 27,000 tons, including 5,000 tons of increased
capacity for medical use. Additionally, there is 7,000-ton comfort spandex capacity under
construction expected to be put into operation in June 2011. By then, the product differentiation rate
of the company is estimated to realize 60%, approximately.
Values of Shoes Exports in Fujian Reached to US$ 5.89 Billion In the First Eight Months
PUdaily, Shanghai-Updated statistics from Fuzhou Customs indicate that in the first eight
months, the foreign trade volumes has totaled US$ 88.03 billion, up 27.3% compared with the same
period of last year.
Among which, imports reached to US$31.11 billion, up 32.6%
year-on-year (YOY) while exports came to US$56.92 billion, up
24.5% YOY.
Most traditional commodities keep robust trends in exports.
Take the following commodities for example: Export of textile
clothes was valued at US$10.87 billion, up 44.6% YOY; Export of
shoes was valued at US$ 5.89 billion, up 28.4% YOY; Export of
bags was valued at US$1.54 billion, up 29.4% YOY.
Among the imports commodities, primary commodities are kept
rapid growth with imports being valued at US$9.79 billion, up 58.9%
from the same period of last year.
Will Spandex Market Bounce off from the Bottom?
PUdaily, Shanghai-Since the beginning of this year, the market price of spandex has been in the
downtrend. Currently, the 20D spandex products are quoted at RMB65000/ton, down by
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PU Industry Memorabilia in the Second Half of 2011
Suntower Consulting Limited 19
RMB17000/ton compared with the early year and totally drop by 20.7%; the 40D spandex products
are offered at RMB46500/ton, declines by RMB15500/ton (down by 25%) compared with the early
year.
Thereby, will the later spandex market bounce off from the bottom? The writer deems the
possibility is increasing step by step.
ⅰThe money-losing enterprises begin to stabilize the price.
Along with the downslide of spandex products in prices, many spandex suppliers choose to
stand on the sidelines and stabilize the market price. Meanwhile, the price of cotton yarn tends to be
stable and terylene market begins to rebound, thereby, lots of spandex traders and weaving mills
seem to touch the bottom of the price.
ⅱ Upstream feedstock gives certain supports.
As for raw materials, pure MDI, PTMEG and BDO markets present to be different trends.
Although the price of pure MDI is revised down, PTMEG market quotations stay firmly at high levels.
Besides, BDO market price begins to rebound. Therefore, the declining space of spandex market is
limited.
ⅲ Market supplies tend to be tight.
Since this year, some spandex traders and dealers hold bearish sentiments and thus they have
low inventories. Besides, along with the restriction of the electricity and poor profits, most spandex
plants begin to reduce production or even shut down. If downstream demands recover in later period,
the market will be in short supply.
To sum up, spandex quotation has no improvement recently but along with high upstream sales
prices and decreasing supplies, it is predicted that the spandex price is expected to rebound after
touching the bottom.