China's Liansu Group establishes extrusion joint venture in Canada

(canplastics) -- China Liansu Group Holdings Ltd., said to be one of the largest manufacturers of extruded plastic products in China, is establishing a joint venture in Canada with Pickering, Ont.-based extrusion technology supplier Skyreach Group Inc.

The new company, called Skyreach L&S Extrusions Corp., will operate two divisions: the first providing vinyl profiles to the window and door industry, and the second supplying standard and custom-finished vinyl patio doors and basement windows, as well as decking, railing and fencing materials.

China Liansu Group, headquartered in Shunde, Guangdong, has over 3,800 employees worldwide, with operations in China, North America and over 20 other countries. The company develops, manufactures and distributes pipes, pipe fittings, valves, window and door profiles, window and door hardware, bathroom and kitchen faucets and plastic extrusion equipment.

Founded in 1991, Skyreach Group supplies vinyl extrusion production lines, such as extruders, extrusion tooling, and downstream equipment, and also manufactures extruded profile and window and door assembling equipment.

The new joint venture will be located in Vaughan, Ont.

Asian ethylene makers amend plant shutdown schedules

(plastemart) -- Ethylene producers in Taiwan and Japan have made changes in their schedules for plant shutdowns.

CPC Corp. (CPC) will permanently shut its No. 3 permanently shut its No. 3 naphtha cracker at Kaohsiung, with capacity to produce 230,000 tpa of ethylene, at the end of May.

This is a delay of atleast two months from the originally planned schedule, to ensure steady supplies while it completes work on a new plant. Show Denko has delayed the restart of its ethylene plant in Oita, Japan, to the end of May from March 30. Production lines at the plant were shut for maintenance last month, and the company has extended the shutdown after it discovered a fault in cooling equipment on March 18.


High export duties for gasoline, naphtha to stay in Russia

(plastemart) -- The Russian government has no plans to change the export duty on crude oil and products, including high export duties for gasoline and naphtha.

In May 2011, the government introduced export duties for gasoline and naphtha at 90% of that for Urals to limit export of the products and resolve fuel shortages on the domestic market.


Cargo flow limited despite opening of South East Asia polyethylene arbitrage window

(plastemart) -- The arbitrage opportunity to move polyethylene cargoes from China to Southeast Asia is open, but cargo flow is still limited.

Traders are mainly moving linear low density polyethylene (LLDPE) from Chinese bonded warehouses to Southeast Asia, in a practice called "re-exporting." The main factor behind this has largely been slow PE demand in China due to lower-than-usual orders for finished products. Concurrently, this is the conventionally low demand season between April and May for the PE market.

This has caused a big gap between prices of ex-warehouse cargoes and shipment cargoes. China has been closed for a public holiday Monday to Wednesday, preventing any price movements.

PE in Southeast Asia has been on an uptrend due to tight local supply, particularly in Indonesia where domestic production has been low, especially of LLDPE, due to poor margins. Market sources were unable to pinpoint exactly when the arbitrage window opened, but have seen movements over the last two weeks. Traders in China prefer to hold on to their lower cost cargo.

Octal sets up the world's largest reactor for PET production

(polyestertime) -- Octal Petrochemicals has installed the world's largest reactors of melt-to resin technology (MTR) for the production of highperformance PET as the fourth and fifth manufacturing facilities remain firmly on track for completion in May 2012. To date, one million manhours have been completed without a single lost-time-injury (LTI) that reflects Octal's strong commitment to safety standards.

The expansion will add an additional 527,000 tonne a year of PET bottle grade resin to Octal's current production capacity of 400,000 tonne per annum, making it the largest producer in the world on one site. The highly energy-efficient reactors have proven successful for the production of high viscous melts, enabling Octal to set the global benchmark for superior product quality and sustainability through the application of the most advanced technology available.

The PET resin and sheets produced are acclaimed by international experts to have the lowest carbon footprint, paving the way for others in the industry to follow the company's pioneering footsteps.