Production of polymer goods from polymers in Russia dropped by 5.1% from January to August 2015

MOSCOW (MRC) -- Production of finished goods from polymers in Russia decreased over the first eight months of 2015 by 5.1% year on year. The construction sector has been accounting for the greatest fall in the output for several months, reported MRC analysts.

The August output of products from polymers accelerated and reached 5.1% year on year, whereas this figure was 3.3% over the first six months of the year. Production of polymer products was affected both the overall economy and a shortage, as well as record high prices of certain polymers amid high-cost credit financing. Only local films producers showed a positive growth in production.

According to the Federal State Statistics Service of the Russian Federation, the August production of plastic pipes, hoses and fittings rose to 50,200 tonnes from 48,900 tonnes in July. The overall output of these products from polymers totalled 295,400 tonnes over the first eight months of 2015, down by 16.7% year on year.

The last month's output of non-combined and non-reinforced films increased to 84,400 tonnes, whereas the July figure was 82,700 tonnes. The overall production of these products totalled 733,500 tonnes over the stated period, up by 4,6% year on year.

The August production of plates and porous sheets reached 21,400 tonnes, up by only 400 tonnes from July. The overall output of plastic plates and porous sheets totalled 157,600 tonnes from January to August 2015, down by 2.1% year on year.
MRC

MOSCOW (MRC) - Kazanorgsintez (KOS, Group TAIF), Russia's largest producer of polyethylene (PE), shut its production capacities for high-density polyethylene (HDPE) for the scheduled maintenance works, said ICIS-MRC Price Report, citing the company's customers.

According to the company's customers, the company began gradual shutdown of its HDPE production on 14, September. In particular, it was shut one of the three reactors.

The producer completely shut down HDPE production on 19, September. The turnaround will last until 10, October.

Kazanorgsintez (TAIF) is one of the largest chemical companies in Russia. The company produces more than 40% of all Russian polyethylene, and also produces polyethylene pipes. The company is Russia's largest producer of high density polyethylene (HDPE). The producer's annual production capacity of HDPE is 540,000 tonnes and 217,000 tonnes of low density polyethylene (LDPE).

MRC

MOSCOW (MRC) -- Russia's polypropylene (PP) exports exceeded 247,500 tonnes in the first eight months of the year, up 112% year on year, with key exports volumes occurred for homopolymer PP, according to MRC DataScope.

Russian producers decreased PP exports significantly in July - August because of the series of scheduled maintenance works. In the last two months of summer exports shipments were 22,600 tonnes and 22,400 tonnes respectively, while in June, export sales exceeded 34,500 tonnes of PP. Total PP exports from Russia grew to 247,500 tonnes in January - August this year on the back of increased production at Russian plants compared with 116,700 tonnes year on year.

The largest volumes of exports, and that was more than 66%, occurred for the markets of China, Turkey, Belarus, Ukraine and Belgium. The main export product was homopolymer PP. Key exporters of propylene polymers were Tobolsk-Polymer, Poliom Stavrolen, with the share of each in the total exports at 49%, 29% and 7% respectively.

Other producers also increased export PP sales significantly in the current year: Ufaorgsintez, Neftekhimiya and Nizhnekamskneftekhim.
The geography of Russian PP exports was quite wide, except the above mentioned countries it is worth noting some European countries (Poland, Serbia, Lithuania) and Uzbekistan. In the total exports more than 93% occurred for homopolymer PP.

About 6% occurred for PP block copolymers, and only 1% for PP random copolymers.


MRC

MOSCOW (MRC) - Production of basic chemicals in Russia for the first eight months of the year increased by 3.8%.
The largest increase in output occurred for ethylene, while the output of chemical fertilizers decreased, as per Rosstat data.

According to the Federal State Statistics Service of the Russian Federation, Russia's ethylene production in August was 208,000 tonnes, compared with 236,000 tonnes in July. The decline in production resulted from the scheduled maintenance works at the facilities of Angarsk ZP. Total production of ethylene in Russia in the first eight months of the year was 1.86 m tonnes, up 18.3% year on year.

Such a significant growth resulted from the resumption of ethylene production at Stavrolen. Production of benzene in August remained at the level of July at 92,400 tonnes. Total benzene production over the first eight months of the year was 801,500 tonnes, up 3.7% from the same period in 2014.

Russia's production of xylol in August increased to 46,500 tonnes, compared with 45,700 tonnes in July 2015. Production of xylols in January-August 2015 totalled 369,500 tonnes, up 3.7% year on year.

August production of sodium hydroxide (caustic soda) declined to 85,300 tonnes (100% of the basic substance) compared with 96,600 in July because of the turnarounds at SayanskKhimPlast and Bashkir Soda Company. Russia's production of caustic soda grew to 742,200 tonnes in the first eight months of the year, up 6.4% year on year.

August production of mineral fertilizers was 1.59 mln tonnes (in terms of 100% nutrients), up 6.3% compared with the July level. Russia's production of mineral fertilizers in the first eight months of the year was about 13,200 tonnes, down 2% than in the same time a year earlier. The largest decline occurred in the production of potash fertilizers.
MRC

MOSCOW (MRC) - Imports of polypropylene (PP) into Ukraine decreased to 58,800 tonnes in January-August 2015, down 18% year on year.
The greatest decrease in imports occurred for propylene copolymers, according to MRC DataScope.

August PP imports into the country remained practically at the level of July and reached about 8,300 tonnes. Total PP imports in Ukraine decreased to 58,800 tonnes in January - August 2015, compared with 71,700 tonnes in the same time a year earlier. The largest decline in imports occurred for injection moulding PP block copolymers, the smallest reduction in supply occurred for PP random copolymers.

Structure of PP imports over the reported period was as follows.

August homopolymer PP imports into the country decreased to 6,000 tonnes, compared with 6,400 tonnes in July because of stronger supply of raffia from Slovakia and Russia. Imports of homopolymer PP decreased to 45,400 tonnes in the first eight months of 2015, down 18% year on year. The main decrease in demand occurred for homopolymer PP raffia grade.

August imports of PP block copolymers exceeded 1,000 tonnes, compared with 900 tonnes, with a slight increase in demand occurred for the producers of injection moulding goods. Total imports of PP block copolymers into the country fell to 6,100 tonnes in the first eight months of the year, compared with 7,900 tonnes year on year. The largest drop in demand occurred in the sector of extrusion of pipes and sheet - more than 60% ; demand in the sector of injection moulding decreased by 20%.

August imports of PP random copolymers into Ukraine slightly exceeded 1,000 tonnes, compared with 600 tonnes in July, on the back of an increase in the purchases from the local producers of pressure pipes. Total imports of PP random copolymers into Ukraine were about 5,600 tonnes in January - August 2015, compared with 6,200 tonnes year on year. Demand for PP random copolymers decreased in all sectors of consumption, the exception was the local producers of injection moulding products.

Total imports of other propylene copolymers over the reporting period were about 1,800 tonnes, compared with 2,300 tonnes in the same time a year earlier.


MRC