Toyo Ink to double laminating adhesives production capacity in Asia

Toyo Ink SC Holdings Co Ltd has announced plans to double the laminating adhesives production capacity from the current level at its Malaysia-based subsidiary Toyochem Specialty Chemical Sdn Bhd, said Polymerspaintcolourjournal.

By strengthening its global supply chain, the Toyo Ink Group plans to expand sales of high-functionality and environmentally friendly solutions such as solvent-free adhesives, the demand for which is expected to grow worldwide. Expansion work is now under way at the Malaysian site with full operation slated to begin in Q3 of 2023. Once in operation, Toyochem Specialty Chemical is expected to serve as the mother factory of laminating adhesives to the Asian region, especially high-performance products, an area of core competency for the Group.

At present, the demand for laminating adhesives, which are mainly used to coat multilayered films in flexible packaging structures, is expanding in use for retort food pouches and pharmaceutical packaging primarily in Asia. This includes applications such as PTP (press through package) sheets, a common form of blister packing for drug tablets. Rising populations in countries across Asia are expected to further propel the growth of the retort pouch sector by about 10% over the next five years.

"The Toyo Ink Group has long been a pioneer in developing high-performance adhesive solutions together with our subsidiary Toyo-Morton, who is Japan’s largest producer of laminating adhesives,” said Toshinori Machida, Executive Operating Officer of Toyo Ink SC Holdings. “We’re now looking to bring our unique brand of packaging adhesives, coatings and inks to other regions of the world, in line with our global expansion plan. In addition to Malaysia, we’ve recently bolstered our production infrastructure in China and Turkey. And our Turkish facility is set to serve as the supply hub for markets in the Middle East and North Africa, Central Asia, and Eastern Europe. To ensure a stable supply to meet future demand, we’ve set a target to increase our global production capacity for laminating adhesives by one-and-a-half times the current level by the end of 2027."

We remind, Toyo Engineering India Private Limited, a wholly owned subsidiary of Toyo Engineering Corporation, has been awarded a contract by Indian Oil Corporation Limited for the Engineering, Procurement, Construction and Commissioning of a new 2.5 MMTPA Vacuum Distillation Unit planned by Indian Oil Corporation Limited in Vadodara, Gujarat, Western India. IOCL is a largest Public Sector Undertaking governed by the Ministry of Petroleum and Natural Gas, and Gujarat Refinery is one of India's largest oil refineries. The refinery is currently planning to expand its existing refinery from 13.7 MMTPA to 18 MMTPA, the total investment in this expansion project is more than 300 billion yen, aiming for more efficient refinery operation and high-value-added product production. This project is expected to be completed in the first half of FY 2024.
mrchub.com

Austrian plastics producer Greiner said its packaging division has taken over Serbian polyethylene terephthalate (PET) flake producer ALWAG - a deal that gives Greiner its first recycling plant and its third company in Serbia, said Seenews.

"Taking this step makes recycling an integral part of our business model. At the same time, the acquisition consolidates our position as a pioneer of sustainability on the international market," Manfred Stanek, CEO of Greiner Packaging and COO-elect of Greiner AG, said in a press release last week.

Greiner did not elaborate on the value of the deal and the name of the sellers, but its legal advisor in the transaction, law company Schoenherr, the sellers are Serbian company Aling-Conel and Austrian REIWAG Facility Services. The Nova Gajdobra-based ALWAG will be renamed Greiner Recycling d.o.o. It will be Greiner Packaging's third location in Serbia and will operate as a separate unit directly under Greiner Packaging International. It will continue to focus on recycling PET - the most common thermoplastic polymer resin, and other materials, used in the form of flakes for the production of plastic packaging.

With the acquisition of 100% of ALWAG, Greiner is expanding its business model across the value chain and has now added the reprocessing of recyclable materials to its areas of operation, the legal advisor said. Some recycled materials, all of which previously had to be bought from external suppliers, will now be produced in-house. The Greiner group is also adding to its expertise in the recycling sector and will be able to gradually prolong the life cycles of its products.

To ensure that the plant can serve not only Greiner Packaging production but also customers all over Europe in the future, there are plans to expand capacity at the site significantly, Greiner said. The first step will involve investing in the infrastructure and obtaining ISO certifications. Over the coming years, output of recycled materials is to grow from the current level or around 4,000 metric tonnes per year to 7,000. This expansion in capacity will entail the recruitment of additional employees.

Greiner has two other manufacturing companies in Serbia - Greiner Packaging in Odzaci and Greiner I JP Packaging in Nova Pazova.

We remind, Greiner Packaging UK & Ireland (GPUK) has joined RECOUP, the UK charity and leading authority providing expertise and guidance across the plastics recycling value chain.
mrchub.com

VSIP, a joint venture between Singapore's Sembcorp and Vietnam's Becamex, is planning to develop its second industrial park in Quang Ngai province next year, said Theinvestor.

In a meeting with the central province's authorities this week, Kelvin Teo, CEO of the Singapore-based Sembcorp Development and co-chairman of VSIP Group, said they hoped to receive support from Quang Ngai for the new plan.

2023 will mark 50 years of diplomatic ties between Singapore and Vietnam and the 10th anniversary of the VSIP Quang Ngai, he noted. VSIP Quang Ngai 2 will have a green, clean and smart design and built to new standards, making it different from other facilities and fit the province’s development requirements, Teo said.

VSIP Quang Ngai 1 has so far attracted 31 investors, including 22 in manufacturing with 28,000 employees. Dang Van Minh, chairman of the provincial People’s Committee, said Quang Ngai was submitting to the government a proposal on planning amendments for the Dung Quat Economic Zone until 2035 with vision until 2050.

As soon as the proposal is approved, the province will assist VSIP in applying for an investment certificate for the VSIP 2 project, Minh said.VSIP currently runs 11 industrial parks across Vietnam covering 10,000 hectares. Together they have attracted USD17 billion from 860 investors from 30 nations and territories and employed 300,000 people.

Vietnam attracted USD31.15 billion of registered foreign direct investment (FDI) in 2021, up by 9.2% year-on-year. Singapore was the biggest investor with USD10.7 billion, up 19.1%. In the first eight months of this year, Quang Ngai attracted three FDI projects worth USD73.9 million, according to provincial data.

The central coastal province currently operates five seaports, including Dung Quat seaport with a capacity of handling ships of up to 100,000 deadweight tonnage. As an emerging industrial hub in Vietnam, it is well-known for Dung Quat Economic Zone and VSIP Quang Ngai.

VSIP Quang Ngai 1 focuses on food-beverage, fast-moving consumer goods (FMCG), assembly of electronic items, apparel, bags, footwear, weaving, among others. Major business lines in Dung Quat Economic Zone include oil refining, energy, metallurgy, shipbuilding, food, packaging, automobile component, and high-tech processing of farm produce.

We remind, Thai Oil PLC (TOP), Thailand’s largest oil refining company by capacity, will select Vietnam as one of three destinations for its investment expansion, along with Indonesia and India. TOP will invest in the fields of oil refinery, lube oil, and high-value petrochemical products, according to the newswire Bangkok Post. The total investment capital for these projects has yet to be disclosed. The expansion of its operations overseas is to meet the growing demand for energy and petrochemical products.

mrchub.com

Henkel & Co has raised its full-year sales guidance, citing strong performance in its adhesive technologies division, said the company.

In a statement, the chemicals and consumer goods company said it now expects organic sales to grow by 5.5% to 7.5% in 2022, up from the prior outlook of 4.5% to 6.5%.

Organic sales are also seen expanding by 10% to 12% at its adhesive technologies unit, which provides sealants and coatings to households and businesses.

Chief executive officer Carsten Knobel added that the group is working to pare down the impact of a recent spike in raw material, logistics, and energy costs on income.

Henkel left its expectation for adjusted earnings before interest and tax margin unchanged at 9% to 11%, adding that adjusted earnings per share will also fall between 35% and 15%.

We remind, Henkel Korea has completed work on its Songdo Plant, a production facility for electronics solutions in Korea. The project is expected to become the firm’s production hub in the Asia-Pacific region for high-impact electronics solutions.
mrchub.com

China’s Billion Industrial Holdings to build PET plant in Vietnam, said the company.

The Further Investment will include purchase of land of a gross floor area of approximately 200,000 square meters, purchase of equipment for manufacturing of polyester bottle chips, and construction of new factory with a total construction area of approximately 14,000 square meters with an expected annual production capacity of approximately 300,000 tons.

The Company expect that the new manufacturing facilities for the polyester bottle chips production business will be put into commercial production gradually from June 2023.

As of the date of this announcement, the Group has not entered into any legally binding agreement in relation to the Further Investment. The Company will make further announcement(s) and will comply with the applicable provisions under the Listing Rules in relation to the Further Investment if and when appropriate.

The Board considers that the development of a new polyester bottle chips production facility in Vietnam will benefit the Group and generate good financial returns, primarily because (i) Vietnam’s advantageous location in the region provides convenient conditions for procurement and transportation of raw and auxiliary materials; (ii) a huge market space exists in neighbouring markets; and (iii) the polyester bottle chips markets are expanding and the Group may capture the growing market demand through the Further Investment.

We remind, Koch Technology Solutions (KTS), a Koch Engineered Solutions company, and Ioniqa Technologies announced a partnership to scale up and commercialize Ioniqa’s advanced Polyethylene Terephthalate (PET) recycle technology in the plastics industry. As part of this collaboration, KTS has committed to invest up to €30 MM in Ioniqa. Ioniqa has developed an innovative process that utilizes low-grade post-consumer PET to infinitely produce a feedstock that displaces virgin raw materials used in the production of polyester products.

Billion Industrial Holdings Limited is an investment holding company principally engaged in the manufacture and sale of polyester filament yarn products. The Company is also engaged in the manufacture and sale of polyester thin films products. Through its subsidiaries, the Company is engaged in the sales of raw materials.

mrchub.com