Lanxess raises 1,6-hexanediol prices

MOSCOW (MRC) -- Lanxess has raised its prices globally for 1,6-hexanediol (HDO) with immediate effect (from 4 December), due to a significant increase in raw material costs in recent months, reported Chemweek with reference to the company's statement.

The product price has been hiked by EUR350/metric ton (USD425/metric ton). HDO is an important precursor for high performance coatings, fibers, adhesives, polyurethanes, polycarbonate diols, and as a reactive diluent for epoxy resins.

The company raised its prices worldwide on 1 December for adipic acid by EUR90/metric ton for the same stated reason. Adipic acid is used in the production of polyamide (PA) 66–based fibers and polymers, and for the synthesis of polyester polyols for polyurethane systems and thermoplastic polyurethanes.

As MRC informed earlier, since January 2020, Vinmar Polymers America has been distributing Lanxess Corp.'s high-performance plastics to customers in North America.

We remind that Russia's output of chemical products rose in October 2020 by 7.2% year on year. At the same time, production of basic chemicals grew in the first ten months of 2020 by 6.3% year on year, according to Rosstat's data. According to the Federal State Statistics Service of the Russian Federation, polymers in primary form accounted for the greatest increase in the January-October output. October production of polymers in primary form grew to 857,000 tonnes from 852,000 tonnes in September. Overall output of polymers in primary form totalled 8,340,000 tonnes over the stated period, up by 17% year on year.

Lanxess is a leading specialty chemicals company with sales of EUR 7.2 billion in 2018. The company currently has about 15,500 employees in 33 countries and is represented at 60 production sites worldwide. The core business of Lanxess is the development, manufacturing and marketing of chemical intermediates, additives, specialty chemicals and plastics.
MRC

MOSCOW (MRC) -- SABIC, a global leader in the chemicals industry, announced that the company has been collaborating with Unilever and Greiner Packaging in the development of an innovative new Knorr® bouillon container using SABIC® PP FLOWPACT FPC45 certified circular impact polypropylene (PP) from its TRUCIRCLE™ portfolio, said the company.

The selected certified circular polymer grade SABIC PP FLOWPACT FPC45 impact copolymer from SABIC’s TRUCIRCLE portfolio is a phthalate-free product and compliant with various European food contact regulations. It is a drop-in solution that can replace fossil-based plastics in the packaging industry without compromising product purity and food safety. Additionally, the material offers very good flowability for ease of processing on standard injection molding equipment and robust performance for high stackability. Greiner Packaging produces the containers with lids molded in the same material and supplies them together with folded cardboard sleeves. The space-saving, stackable design of the containers and lids further supports their sustainability during transport and storage before filling.

SABIC’s certified circular polymers are produced through the feedstock recycling of used and mixed plastic that could otherwise be destined for incineration or landfill. Difficult to recycle used plastic is broken down and taken back to the molecular level by heating it at a high temperature in an oxygen-free environment, producing pyrolysis oil. The pyrolysis oil then enters SABIC’s production chain just like fossil-based feedstock to deliver new materials in compliance with strict quality requirements, such as the European food contact safety standards for food packaging.

The appearance, functionality and safety of the new Knorr® bouillon powder packaging is exactly the same as before and the quality is likewise as high as ever. Consumers can still simply remove the cardboard sleeve from the plastic container once it is empty before disposing and recycling of the two components as usual.

“SABIC’s complete TRUCIRCLE offering comprises design for recyclability services, mechanically recycled materials, certified circular products from chemical recycling of used plastics, and certified renewable polymers from bio-based feedstock.

As MRC informed before, SABIC introduced two new radar absorbing LNP STAT-KON compounds for automotive radar sensors, significantly expanding its portfolio of these specialty materials. The new grades, based on polybutylene terephthalate (PBT) resin, may be used for integration with radomes manufactured using PBT material, which can provide superior resistance to automotive chemicals. They complement and extend SABIC’s existing radar absorbing LNP STAT-KON compounds, which are based on polyetherimide (PEI) resin for withstanding higher processing temperatures or on polycarbonate (PC) resin for general applications that require high durability and a balance of physical properties. The high radio frequency (RF) absorption of these compounds can help increase detection range and improve signal resolution. Through materials innovation, SABIC is contributing to the growth of automotive radar and the design of next-generation sensors.

According to MRC's ScanPlast report, Russia's estimated PE consumption totalled 1,760,950 tonnes in the first ten months of 2020, up by 3% year on year. Only high density polyethylene (HDPE) and linear low density polyethylene (LLDPE) shipments increased. At the same time, PP shipments to the Russian market reached 978,870 tonnes in January-October 2020 (calculated using the formula: production minus exports plus imports minus producers' inventories as of 1 January, 2020). Supply of exclusively of PP random copolymer increased.
MRC

MOSCOW (MRC) -- Kemira announces exclusive partnership with Danimer Scientific to develop biodegradable coating for paper and board industry, said the company.

Partners evaluate Danimer Scientific’s NodaxTM PHA as commercial, fully biobased alternative for polyethylene to manufacture recyclable paper and board products from renewable sources. Kemira, a global leader in sustainable chemical solutions for water intensive industries and Danimer Scientific, a leading developer and manufacturer of biodegradable materials, today announced a partnership to develop biodegradable aqueous barrier coatings for more sustainable paper and board products.

The companies aim to manufacture coatings for limited commercial applications in 2021 before exploring broader production options. Coating in a paper or board product such as a coffee cup forms a barrier to keep moisture and grease from leaking through the cup material. The global barrier market is expected to grow by around 8% annually. The Kemira relevant dispersion barrier market size is currently EUR 500 million and growth rate around 10% per annum.

As the brand owner’s and consumer’s demand for sustainable paper and board products increases, this coating and surface treatment will ensure paper and board items are fully biodegradable in soil and water. Danimer Scientific’s biopolymer, Nodax™ (polyhydroxyalkanoate, PHA), is renewably sourced from the seeds of plants, such as canola and soy and is 100% biobased. Majority of paper and board products from cups to food packaging are currently coated with fossil fuel-based polyethylene which hinders the recyclability of the products and creates plastic waste.

"Evaluating PHA is one step in realizing our biobased strategy to deliver high quality, sustainable and circular packaging solutions. Sustainability is one of the main drivers of Kemira’s long-term growth and Kemira’s target is to reach biobased revenue of over 500 million euros by 2030. We are dedicated to our customer’s success as we increase the value of their end-products. This partnership with Danimer Scientific will bring new biobased and circular products to markets and is an important milestone in reaching our biobased growth targets,” says Antti Matula, SVP, Global Product Lines & Business Development for Kemira Pulp & Paper.

"PHA is a proven biodegradable alternative to fossil fuel-based materials. Partnering with Kemira will enable us to expand to paper applications, delivering a repulpable and biodegradable material without sacrificing the product quality that brands and consumers expect,” says John Moore, Senior Vice President of business development at Danimer Scientific. Danimer is producing its Nodax-brand PHA at a facility in Winchester, Kentucky.

It has also partnered with plastics manufacturers and consumer products companies which plan to transition a variety of plastic applications to renewables - including straws, food and beverage containers, flexible packaging, agricultural and medical applications.

The PHA biopolymer was originally developed by Procter & Gamble.

As MRC informed earlier, Kemira has signed a multi year extension of its polymer supply agreement with Ithaca Energy. Kemira says it has signed a multiyear extension to its polymer supply agreement with Ithaca Energy (Aberdeen, UK). The agreement extends the contract between the two companies, signed in 2018, covering the supply of polymers to enhance oil extraction performance at one of the assets operated by Ithaca Energy in the UK North Sea.

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

According to MRC"s ScanPlast report, Russia's estimated PE consumption totalled 1,594,510 tonnes in the first nine months of 2020, up by 1% year on year. Only high density polyethylene (HDPE) shipments increased. At the same time, PP shipments to the Russian market reached 880,130 tonnes in the nine months of 2020 (calculated using the formula: production minus exports plus imports, excluding producers' inventories as of 1 January, 2020). Supply increased exclusively of PP random copolymer.
MRC

MOSCOW (MRC) -- Covestro says it now expects full-year 2020 EBITDA to total EUR1.44-1.50 billion (USD1.74-1.82 billion), compared with previous guidance of EUR1.2 billion, due to better-than-expected business conditions in the fourth quarter, according to Chemweek.

Relatively strong margins in the polyurethanes and polycarbonates (PC) businesses, in particular, are behind the improved guidance.

Covestro also expects full-year free operating cash flow to total EUR400-550 million, compared with guidance of EUR0-300 million previously, in line with the higher EBITDA guidance. Core volumes are expected to decline 5-6% year-on-year (YOY) for the full-year, unchanged from the previous forecast.

The company has increased its full-year guidance twice since economic conditions began to improve from the sharp COVID-19 downturn in June. The most recent increase in guidance came in October. Covestro reported improving sequential demand trends for the third-quarter.

In 2019, Covestro generated full-year revenue of EUR12.4 billion, and EBITDA of EUR1.6 billion.

As MRC reported earlier, Covestro has closed the sale of its European PC sheets business to the Munich-based Serafin Group effective January 2, 2020. This includes key management and sales functions throughout Europe as well as production sites in Belgium and Italy.

According to MRC's ScanPlast report, Russia's estimated consumption of polycarbonate (PC) granules (excluding imports and exports to/from Belarus) rose in the first three quarters of 2020 by 32% year on year to 75,600 tonnes (57,200 tonnes a year earlier).

Covestro (formerly Bayer MaterialScience) is an independent subgroup within Bayer. It was created as part of the restructuring of Bayer AG from the former business group Bayer Polymers, with certain of its activities being spun off to Lanxess AG. Covestro manufactures and develops materials such as coatings, adhesives and sealants, polycarbonates (CDs, DVDs), polyurethanes (automotive seating, insulation for refrigerating appliances) etc. With 2019 sales of EUR12.4 billion, Covestro has 30 production sites worldwide and employs approximately 17,200 people (calculated as full-time equivalents) at the end of 2019.
MRC

MOSCOW (MRC) -- Azelis says it has named Eduardo Salinas to the post of managing director/Latin America, with responsibility for leading the company’s further expansion into Latin America, reported Chemweek.

Salinas was previously a co-founder of High Chem Specialties Mexico, a specialty chemicals distributor in Mexico. He will report to Frank Bergonzi, CEO/Americas at Azelis.

Azelis entered the Mexican market in January with the acquisition of Megafarma, giving the company a foothold in the home and personal care, industrial cleaning, and plastic additives markets, among others. Megafarma general director Martin Hernandez will remain with Azelis and lead the company’s operations in Mexico, reporting into Salinas.

As MRC informed earlier, in October 2020, Azelis opened a new application and training center in Istanbul, Turkey. This center will service the Turkish food, personal care and pharma markets and will offer product advice, formulation development and technical research. Next to that, it will host customer meetings, interactive formulation workshops, supplier meetings and internal technical trainings.

We remind that Russia's output of chemical products rose in October 2020 by 7.2% year on year. At the same time, production of basic chemicals grew in the first ten months of 2020 by 6.3% year on year, according to Rosstat's data. According to the Federal State Statistics Service of the Russian Federation, polymers in primary form accounted for the greatest increase in the January-October output. October production of polymers in primary form grew to 857,000 tonnes from 852,000 tonnes in September. Overall output of polymers in primary form totalled 8,340,000 tonnes over the stated period, up by 17% year on year.
MRC