Fujifilm Holdings records rise in operating profit in electronics business

Fujifilm Holdings Corp.’s (Tokyo) sales in its electronics business for the full fiscal year ended March 31 stood at Yen432.8 billion ($3 billion million), up by 20.7%, and operating income was also higher by 67.1% to Yen77.3 billion, as per Chemweek.

In the semiconductor materials business, in addition to growing demand for advanced semiconductors used in generative artificial intelligence, contributions from the semiconductor process chemicals business acquired from Entegris, Inc. (Billerica, Massachusetts) in 2023, among other factors, drove revenue higher.

It also posted strong orders for anti-reflection materials for OLEDs.

Fujifilm’s other businesses are healthcare, business innovation and imaging.

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Last week, ethylene prices down adjusted in some parts of Asia while quoting steady in other parts of Asian region, as per Polymerupdate.

An industry source in Asia, requesting to remain unidentified, informed a Polymerupdate team member, "The ethylene markets in Asia have exhibited a downward trajectory. This downturn was primarily influenced by a reduction in market activity and slowdown in discussions among participants, indicating a lack of buying interest or confidence. The main factors contributing to this downward trend included weakness in downstream sectors, particularly in industries such as plastics, packaging, and other derivatives, which faced decreased demand, thereby reducing the necessity for ethylene.

Furthermore, an oversupply of ethylene also played a role in the market's softness, as the presence of sufficient or excess stockpiles kept prices low and hindered more active negotiations. Consequently, the combination of sluggish demand from downstream industries and an abundance of supply resulted in a less vigorous ethylene market in Asia during this timeframe. In Taiwan, end users exhibited caution regarding their purchasing intentions for June shipments, largely due to the recent currency fluctuations that saw the Taiwan dollar significantly strengthen against the US dollar, leading to speculation that the US had requested this currency intervention as part of ongoing tariff discussions.

The source added, ?Overall selling indications were lower with some participants responding to the drop in FOB Korea prices.

On Friday, FOB Korea ethylene prices were assessed at the USD 735-745/mt levels while FOB Japan ethylene prices were assessed at the USD 730-740/mt levels, both lower by USD (-15/mt) from the previous week.

The FOB South Korea prices have seen a reduction, influenced by market signals, mainly due to the anticipated extended supply period for cargoes set for June loading. This extended supply forecast has likely enhanced market availability, exerting downward pressure on prices. The reduced pricing indicates traders' expectations of a higher supply volume and potentially weaker demand, leading to a decline in the usual pricing levels for shipments from South Korea during this timeframe.

CFR North East Asia ethylene prices were assessed at the USD 775-785/mt levels, a week on week drop of USD (-10/mt).

In China, purchase interest had softened, as several end-users had already finalized their recent acquisitions before the Labour Day holiday. Additionally, a significant influx of imports in the Yangtze River area sufficiently satisfied local demand. The selling pressure among producers varied, with some reports indicating that certain transactions or negotiations were completed at prices lower than the assessed range, although these reports could not be verified.

Meanwhile, CFR South East Asia ethylene prices were assessed stable at the USD 865-875/mt levels.

In Southeast Asia, polyethylene purchasing activity was also lacklustre due to weak sales in the main downstream markets. Market participants noted a sufficient supply of polyethylene, including some deep-sea shipments from the Middle East, which enhanced the overall material availability in the region. Despite the surplus supply and low purchasing interest, polyethylene prices remained stable. This price stability was linked to consistent selling indications in the region, implying that sellers upheld their price levels despite the weak demand and plentiful supply.

We remind, despite higher crude oil values, propylene prices quoted lower in Asia last Thursday. An industry source in Asia on condition of anonymity informed a Polymerupdate team member, "Prices were assessed lower on the back of a bearish purchase pulse in the Asian markets. On Thursday, FOB Korea propylene prices were assessed at the USD 765-775/mt levels, down USD (-10/mt) from Wednesday.

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Laxmi Organics Industries Ltd. (Mumbai) said it has received environmental clearance from Gujarat state for its synthetic organic chemicals manufacturing site at Dahej, as per Chemweek.

The company said the new site will offer its customers “a wide range of product portfolio across essentials and specialities chemicals.” Other details of the project were not disclosed.

Its business units — essential and speciality chemicals — cater to applications in industries such as pharmaceutical formulations, printing inks, adhesives, coatings, crop protection, and flavors and fragrances.

We remind, Fujifilm Holdings Corp.’s (Tokyo) sales in its electronics business for the full fiscal year ended March 31 stood at Yen432.8 billion ($3 billion million), up by 20.7%, and operating income was also higher by 67.1% to Yen77.3 billion.

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Epigral Ltd. (Mumbai), formerly known as Meghmani Finechem Ltd., has reported sales of 20% higher year over year to 6.3 billion Indian rupees ($74.5 million) for the fiscal fourth quarter ended March 31. Net profit rose by 13% on year to 770 million rupees, as per Chemweek.

Revenue contribution from the derivatives and specialty business stood at 52%, compared with 48% in the year-earlier period. Its other business unit is chlor-alkali.

The company in the fiscal fourth quarter reported improved prices of caustic soda and epichlorohydrin. Prices for other products remained flat, while the price of hydrogen peroxide dropped.

It said captive consumption of chlorine increased to 76% in the fiscal fourth quarter.

The company is one of India’s leading manufacturers of caustic soda, chlorine and hydrogen peroxide.

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Clariant AG has “firmly” rejected allegations by the European subsidiary of Dow Inc., Dow Europe, against four companies, including Clariant, for damages of €767 million related to infringements of EU competition law in the ethylene-purchasing market, which were punished with fines by the European Commission in 2020, according to a Clariant statement May 12.

Clariant said that it will “adamantly” defend its position in the proceedings. “Dow Europe was not a supplier of ethylene to Clariant and Clariant has substantiated economic evidence that the conduct of the parties did not produce any effect on the market,” the company said.

Dow Europe formally brought a claim for damages against the four companies with a court in Munich on May 9, Clariant said. Further details have not been disclosed. Clariant rejected similar claims by Shell PLC in 2023 and BASF SE earlier this year.

In 2020, the commission had fined Clariant €155.8 million for participating in the ethylene-purchasing cartel. Celanese Corp. and Orbia were also fined. Westlake Corp. was the fourth cartel member, but the company escaped a fine because it alerted the commission to the cartel’s existence.

Dow is one of the largest producers of ethylene in the world and was the largest one in Europe in 2023, according to the Ethylene Report that was published in July 2024 by S&P Global’s Chemical Economics Handbook.

The European ethylene spot price was assessed at €725.50/Mt FD NWE May 9, according to Platts data.

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