Dow announces Polyols Price increases

MOSCOW (MRC) – Dow is announcing price increases for Europe, Middle-East, Africa and India for all polyols, with 100 Euro per metric ton, or equivalent in other currencies, effective February 2020 or as contracts allow, said the company.

The decision is driven by increasing margin compression across key market segments supplied by Dow, including Furniture and Bedding, Energy Efficiency & Construction, Industrial and Consumer markets.

Dow Polyurethanes develops and delivers a broad portfolio of technologies and customized solutions to customers in a variety of industries under its DurableScience, ComfortScience and InsulationScience category brands. Applications range from industrial and infrastructure solutions, to consumer comfort solutions in flooring, furniture, bedding and footwear, to automotive solutions for vehicle interior, and energy-efficient insulation materials. The business manufactures and sells key chemical components as well as fully-formulated polyurethane systems for rigid, semi-rigid and flexible foams, and coatings, adhesives, sealants, elastomers and composites. Dow is the world's largest producer of propylene oxide (PO), propylene glycol (PG), and polyether polyols, and is a leading producer of quality aromatic isocyanates, such as MDI.

Striving to meet the specific needs of its customers in their local geographic regions, Dow Polyurethanes operates a global network of production sites and systems houses, as well as innovation and service centers. The business has an ongoing initiative to lead the industry in providing high-performance products that meet critical market needs and contribute to a more comfortable, healthier and resilient society.

Dow combines one of the broadest technology sets in the industry with asset integration, focused innovation and global scale to achieve profitable growth and become the most innovative, customer centric, inclusive and sustainable materials science company. Dow’s portfolio of performance materials, industrial intermediates and plastics businesses delivers a broad range of differentiated science-based products and solutions for our customers in high-growth segments, such as packaging, infrastructure and consumer care. Dow operates 113 manufacturing sites in 31 countries and employs approximately 37,000 people. Dow delivered pro forma sales of approximately USD50 billion in 2018. References to Dow or the Company mean Dow Inc. and its subsidiaries.

As MRC informed earlier, Dow Chemical, the world's petrochemical major, has put order controls in place for vinyl acetate monomer (VAM). The letter dated January 8 said, effective immediately, volumes will be based on previous monthly averages of purchased volumes, or limited to monthly maximum volumes specified in contracts. The letter does not provide details about how long the order control will be in place.

VAM is the main feedstock for the production of ethylene-vinyl-acetate (EVA).

According to MRC's DataScope report, November EVA imports to Russia dropped by 8,9% year on year to 3,440 tonnes from 3,780 tonnes in November 2018, and overall imports of this grade of ethylene copolymer into the Russian Federation decreased in January-November 2019 by 18,9% year on year to 35,95 tonnes (44,330 tonnes in the first eleven months of 2018).

The Dow Chemical Company is an American multinational chemical corporation headquartered in Midland, Michigan, United States. Dow is a large producer of plastics, including polystyrene (PS), polyurethane, polyethylene, polypropylene, and synthetic rubber.
MRC

MOSCOW (MRC) -- Asahi Kasei Mitsubishi Chemical Ethylene Corp., a joint venture of Asahi Kasei Corp. and Mitsubishi Chemical Corp., has restarted its naphtha cracker in Mizushima, Japan, on 28 Jan. 2020, as per Apic-online.

Operations were suspended at the cracker on 14 Jan. 2020, due to a malfunction in its refrigeration system. On 17 Jan. 2020, the company said it would restart the cracker on 24 Jan. 2020. The restart was delayed because of a malfunction in its steam system for irregular operation.

The naphtha cracker has 496,000 t/y of production capacity with turnaround and 567,000 t/y of production capacity without turnaround.

Ethylene and propylene are feedstocks for producing polyethylene (PE) and polypropylene (PP).

According to MRC's ScanPlast report, Russia's estimated PE consumption totalled 1,904,410 tonnes in the first eleven months of 2019, up by 6% year on year. Shipments of all PE grades increased. PE shipments increased from both domestic producers and foreign suppliers. The PP consumption in the Russian market was 1,161,830 tonnes in January-November 2019, up by 7% year on year. Deliveries of all grades of propylene polymers increased, with the homopolymer PP segment accounting for the largest increase.
MRC

MOSCOW (MRC) -- Roehm has planned to take off-stream its Methyl methacrylate (MMA) plant in June 2020, said Polymerupdate.

A Polymerupdate source in Germany informed that the company is likely to start turnaround at the plant on June 5, 2020. The plant is expected to remain under maintenance for about 10 days.

Located in Wesseling, Germany, the plant has a production capacity of 95,000 mt/year.

As it was written earlier, in August 2019, Rohm GmbH successfully completed the carve-out from Evonik Industries. Evonik Industries’ Methacrylate Verbund is thus transferred to its new owner, Advent International, as an independent company.

Acrylonitrile is one of the main raw materials for the production of acrylonitrile butadiene styrene (ABS).

According to the ICIS-MRC Price Report, in November ABS imports to Russia amounted to 3,300 tonnes against 3,500 tonnes a month earlier and 4,100 tonnes in November last year. Following the results of eleven months, ABS import into the country slightly decreased compared to the same period last year and amounted to 31,300 tonnes.

Rohm GmbH’s product portfolio includes acrylic glass which is used in cars, airplane windows, screens or displays, as building glazing, noise protection, and in the advertising industry. The indispensable precursor for it is methyl methacrylate.
MRC

MOSCOW (MRC) -- Imports of expandable polystyrene (EPS) into Belarus dropped in the first eleven months of 2019 by 2% year on year, totalling 12,000 tonnes, according to MRC's DataScope report.

November EPS imports into the country fell by 12% from October to 1,120 tonnes from 1,280 tonnes. Imports of material into the Republic of Belarus were 1,030 tonnes in November 2018.

Russia is the main EPS importer to Belarus.

Imports of Russian material to the Belarusian market decreased in the first eleven months of 2019 by 16% year on year: to 7,400 tonnes from 8,800 tonnes in January-November 2018.

The share of EPS imports from Russia in the total shipments to the country also decreased last year to 62% from 72% in 2018.

November shipments of Russian EPS to the region were 537 tonnes versus 755 tonnes in October, whereas imports of material were 789 tonnes in November 2018.

MRC

MOSCOW (MRC) -- UK waste management company Biffa announced the formal opening of its 27.5 million pound sterling (about USD35.7 million) facility in Seaham, County Durham, in northern England, reported Plastics Recycling Update.

Biffa called the facility, capable of recycling 57,000 metric tons of PET annually, "among the most modern and technically advanced of its kind in the world."

To start, the plant will produce flakes. Getting to that point has required a roughly USD19.5 million investment. According to a press release, over the next 12 months, another USD16.2 million will be spent expanding the facility’s capabilities to include compounding and palletizing.

"This facility will help the UK address two of its most pressing issues - plastic waste and the climate emergency," Michael Topham, Biffa’s chief executive, stated in the press release. "Whilst we must work towards reducing overall plastic consumption as a society, the fact remains that plastic has a vital role as a lightweight, durable, low energy-intensity material, that if recycled properly can have a sustainable role in modern life. Facilities like ours at Seaham will help ensure that we can recycle our own plastic waste here in the UK, creating jobs in the green economy and stimulating the development of more sustainable packaging."

According to the release, the facility will sell RPET into a variety of markets, including food and drink packaging and clothing. It is expected to generate about USD52 million in revenue a year.

A publicly traded company, Biffa collects garbage and recyclables, sorts and sells recyclables at materials recovery facilities (MRFs), recycles plastics, burns material for energy recovery and landfills waste. The company collects over 4 million metric tons of garbage and recyclables from UK households and businesses each year.

In terms of plastics recycling, Biffa already runs an HDPE recycling facility in Redcar, North Yorkshire. That plant produces food-grade recycled HDPE for use in milk bottles and other products.

"We have a significant opportunity to grow our Biffa Polymers business, with strong demand for the closed loop food grade recycled plastic we produce," according to a half-year financial report released in November. An accompanying presentation noted that demand for offtake at the Seaham plant was already exceeding capacity there.

Biffa also announced it will build a new plastics processing facility in Washington, a town in northern England not far from Seaham. That USD9 million facility will recycle up to 44 million pounds of plastic pots and trays per year. It will be built over the next year.

As per MRC's ScanPlast report, imports of PET chips into Russia increased by 13% year on year in the first eleven months of 2019, reaching 130,800 tonnes, compared to 116,100 tonnes a year earlier (excluding shipments from Belarus). Russia's PET imports almost doubled in November 2019, totalling 12,300 tonnes, versus 6,300 tonnes in October; imports of material were 8,200 tonnes in November 2018. The share of Chinese material was 78% (9,600 tonnes) in November versus 92% (5,800 tonnes) a month earlier.
MRC