PC imports to Ukraine increased by 15% in 2013

MOSCOW (MRC) - Ukraine's imports of polycarbonate (PC) increased by 15% compared with 2012 to 4,300 tonnes, according MRC DataScope.

Last year Ukrainian converters purchased three PC grades: prime PC, PC compounds based on glass-fibre PC, anti flammable or diffusing agents, colourants (PC-compounds), and PC blends with acrylonitrile-butadiene-styrene (PC/ABS). All these PC grades are produced in the form of granules.

The largest imported PC volumes occurred for prime PC, with 80% delivered in 2013. Total imports of prime PC to Ukraine was 3,400 tonnes in 2013, down 3% from the level in 2012. Prime PC is used for PC processing by moulding, extrusion and blow moulding.

Prime PC imports in the sector of injection moulding decreased to 2,200 tonnes in 2013, down 18% from the level in 2012. Injection moulding prime PC is used mostly in the production of bottle closures, in a lesser extent it is used for production of electrical goods and car components.

Imports of blowmoulding PC grade, which is used for production of bottles larger than 10 litres, was 618 tonnes in 2013, up 11% from the level in 2012.

Last year's imports of extrusion PC grade, used for sheet extrusion, was almost equal to blowmoulding PC grades imports - 600 tonnes, up 125% from 2012 level.

The share of PC compounds imports was 13% from the total Ukraine's PC imports in 2013. Total imports of PC compounds to Ukraine was 560 tonnes in 2013, up four times from the level in 2012. PC compounds are mostly used in car production. Besides, it can be used for the sheet extrusion (compounds with light-scattering properties). Because of expensive price imports of PC compounds to Ukraine are relatively low.

PC/ABS, which is processed by injection moulding, is used in the automotive industry. This type of PC compounds has such properties as: impact resistance, resistance to temperature, water, acids, oils, sodium salts. PC/ABS is also an insulator and is resistant to prolonged exposure to atmospheric phenomena. The composition may be modified by glass fibre (for extra rigidity and heat resistance) or retardants (anti flammability). PC/ABS imports was a little more than 600 tonnes in 2013, which was almost three times more than in 2012.

The main increase in Ukrainian PC market last year occurred for prime PC grade for processing by extrusion. The leader importer to Ukraine in this sector with a share of 95% was Sabic Innovative Plastics.


MRC

Sabic extends plastics portfolio by introducing two PP grades for medicine purposes

MOSCOW (MRC) -- Sabic, Saudi Arabia's petrochemical major, has introduced two new pharmaceutical grades of polypropylene (PP) intended for syringes, other medical dosing application devices and also for packaging for healthcare applications, according to the company's press release.

The two grades, SABIC PP PCGR40 and a lubricated variant, SABIC PP PCGR40L, are high-flow random copolymers typically used for producing thin-walled products with high levels of clarity. These PP grades support the production of healthcare products that are highly reliable, very safe to use, and economic to produce.

SABIC PP PCGR40 is - amongst others - well suited to the production of three-piece syringes, in which an elastomeric seal on the plunger provides the required lubrication.

For two-piece syringes the second grade, SABIC PP PCGR40L, can be considered, since the lubrication is supplied by the plunger itself, providing a high level of dosing accuracy. The high levels of transparency of both grades are achieved by the inherent clarity of random PP copolymers plus the use of state-of-the-art clarifying technology.

Together, they provide an extra level of patient safety, since it is very easy to see the levels of liquid in the syringe, and to ensure there are no bubbles. Both new grades are reactor grades, which results in significantly pure materials.

Both new grades have a melt flow rate (MFR) of 40 g/min. This not only enables production of thin-walled medical devices and packaging, it also supports processors to reduce cycle times compared to grades with MFRs of between 30 and 35 g/min that are commonly used within the healthcare industry. This provides advantages for processors in terms of energy consumption, total conversion costs, and overall sustainability - an issue that is increasingly important for healthcare companies.

As MRC informed previously, in May 2013, started producing its new PP impact copolymer (ICP) grade PP77MK40T in China for the local market. PP77MK40T is suitable for production of garden furniture, household items, battery casings, containers, toys, crates and boxes, and enriches the polymers portfolio in Sabic.

Sabic is a diversified manufacturing company, active in chemicals and intermediates, industrial polymers, fertilizers and metals. It is the largest public company in Saudi Arabia. It is the largest company in the Middle East.
Sabic is currently the second largest global ethylene glycol producer and is expected to become number one after the introduction of these new projects. SABIC is the third largest polyethylene manufacturer, the fourth largest polyolefins manufacturer and the fourth largest polypropylene manufacturer. It is also the world's largest producer of mono-ethylene glycol, MTBE, granular urea, polyphenylene and polyether imide.
MRC

Sinopec Hubei Chemical Fertilizer to start a new MEG plant in China

MOSCOW (MRC) -- Sinopec Hubei Chemical Fertilizer has started a new monoethylene glycol (MEG) plant, reported Polyestertime.

A Polymerupdate source in China informed that the plant started operations on February 8, 2014.

As MRC wrote previously, initially the plant was scheduled to start commercial production in late 2013.

Located at Zhejiang in Hubei province of China, the plant has a production capacity of 200,000 mt/year.

Another Chinese petrochemical producer Xinjiang Tianye Group is in plans to start a new MEG plant in August 2014. To be located in Xinjiang province, China, the plant will have a production capacity of 250,000 mt/year.

We remind that on 10 November 2013, CNOOC and Shell Petrochemicals Co (CSPC) shut down a MEG plant owing to mechanical issues. A restart date for the plant could not be ascertained. Located in Guangdong province, China, the plant has a production capacity of 320,000 mt/year.
MRC

INEOS announces a new agreement with CONSOL for US ethane

MOSCOW (MRC) -- INEOS Europe has announced a new ethane purchase agreement with CONSOL Energy in the United States, said Hydrocarbonprocessing.

Ethane will be transported through the Mariner East infrastructure and imported by sea for use in INEOS’ European cracker complexes. Supplies will start from 2015.

"This contract adds to our supply portfolio providing for long term sourcing of advantageously priced US ethane for our European crackers. It will allow us to continue to consolidate the competitiveness of INEOS’ ethylene production in Europe. We are excited about our new business relationship with CONSOL Energy and look forward to future opportunities between our companies" commented David Thompson, INEOS Procurement & Supply Chain Director.

INEOS is the first company to establish seaborne intercontinental ethane transportation, having earlier announced the completion of agreements with Sunoco Logistics for capacity in the Mariner East pipeline and terminal system, with Range Resources for the purchase of ethane, with Evergas for the construction of new customised vessels and with TGE Engineering for the construction of a new tank in its Rafnes cracker. INEOS is presently conducting engineering studies for the construction of an ethane terminal in Grangemouth.

INEOS Group Limited is a privately owned multinational chemicals company consisting of 15 standalone business units, headquartered in Rolle, Switzerland and with its registered office in Lyndhurst, United Kingdom. It is the fourth largest chemicals company in the world measured by revenues (after BASF, Dow Chemical and LyondellBasell) and the largest privately owned company in the United Kingdom.
MRC

Braskem announces 4Q13 and FY2013 results

MOSCOW (MRC) -- In 2013, Braskem's resin sales totaled 3.7 million tons, with market share of 68%, said the producer in its press-release.

The average cracker capacity utilization rate was 90%. PP sales volume at Braskem America grew by 7% in 4Q13 and 3% in 2013, affected by the production growth, the highest since 2011.

Consolidated EBITDA in the last quarter of the year was Real1,175 million. In U.S. dollar, EBITDA was USD521 million, growing approximately 20% from 4Q12 recurring EBITDA.

In 2013, Braskem recorded EBITDA of Real4,813 million. In U.S. dollar, EBITDA was USD2,217 million, increasing by 11% from 2012.

The construction of the Mexico project continued to advance, with the complex's physical completion reaching 58%. In November, the subsidiary Braskem-Idesa withdrew the second installment of the project finance in the amount of USS547 million. In 2013, withdrawals amounted to USD2,031 million.

Braskem announced the expansion of one of its polyethylene production lines and the signing of a memorandum of understanding (MOU) with Styrolution for the production of styrenics specialties.

Braskem announced that it entered into an agreement with Solvay for the acquisition of the controlling interest in Solvay Indupa, which has 4 plants producing PVC and caustic soda in Brazil and Argentina. With the acquisition, which is still subject to approval by the countries' regulatory agencies.

Braskem is the leading producer of thermoplastic resins in Latin America and the US, following its purchase of polypropylene assets of Dow Chemical. The company serves 70% of Brazilian demand in PP, PE and PVC resins, but foreign resin imports have gained Brazilian market share in recent years. Brazil's annual consumption of PP is estimated at 1.4 million tons this year.
MRC