Polymers
Overview
Global polyethylene (PE) and polypropylene (PP) supply and demand dynamics are in transition. Supply is increasing much faster than demand and international trade is shifting due to political and economic events. About 40% of the US polyethylene production is exported, mainly to Asian markets, whereas only about 10% of the polypropylene production is exported, mainly to LATAM markets.
Ethylene prices in Asia and Europe are tied to naphtha whereas ethylene prices in the US are impacted by natural gas and ethane supply. Asia is also self-sufficient on PP whereas they must import 25% of their PE demand.
The impacts of other ethylene and propylene derivatives such as PVC or propylene oxide also require assessment.
Our polymer experts will help you determine what trends to track and how to stay competitive in today’s ever-changing global markets.
Latest polymers news
Browse the latest market moving news on the global polymers industry.
Brightmark to build Georgia pyrolysis plant
Brightmark to build Georgia pyrolysis plant
Houston, 24 April (Argus) — Chemical recycler Brightmark plans to build a 400,00t/yr pyrolysis plant in Thomaston, Georgia, two years after the company terminated its plan to build a similar plant in a nearby Georgia community. Pyrolysis is a form of chemical recycling that breaks down used plastic into pyrolysis oil, which can then be reprocessed into new plastics at virgin polymers facilities. The 2.5mn ft² plant will cost $950mn, including infrastructure such as roads and rail access, Brightmark said. A previous plan to build a chemical recycling facility in Macon, Georgia, ended in 2022 after Mayor Lester Miller withdrew his support, citing "long-term safety concerns" from Brightmark's "unproven process". The company finished construction of its first chemical recycling plant in Ashley, Indiana, in 2022. Brightmark said it has recycled 2,000t of plastic waste so far at its Indiana plant, well behind its anticipated volume of 100,000 t/yr. By Zach Kluver Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.
PU recycling to create opportunities: Industry
PU recycling to create opportunities: Industry
Amsterdam, 24 April (Argus) — Research into rigid polyurethane (PU) recycling in appliances will create opportunities in the sector, delegates told the Utech Europe conference this week in the Netherlands. "There are emerging technologies and innovations flourishing in the rigid PU foam industry," PU Europe secretary general Arnaud Duvielguerbigny said. A lot of the consideration for PU recycling is around the automotive [sector] but there is an opportunity in the appliances sector such as for fridges, BASF Director Technical Development Martin Baumert said. Consumer patterns are changing, with increasing demand for more sustainable alternatives, Duvielguerbigny said. "For appliances specifically there is a very clear plan," Baumert said. The parameters for energy efficiency labelling were changed in 2020 so that white goods previously rated A+++ became a D rating, and that continual increase of efficiency requirements is set to continue. As well as greater efficiency, EU regulations require industrial scale recycling. But current "best in class" insulation using vacuum insulation panels (VIP) that contain inorganic material such as glass fibre makes end-of-life appliance recycling more difficult. At present, the "majority of PU ends up in thermal recycling" meaning the waste is incinerated to generate energy, Baumert said. "Recycling of polyurethanes is possible, but more on the lab scale," he said. "We need processes that are large scale to enable this change," said Baumert. To facilitate recycling, BASF envisions that the inorganic material in VIP will eventually be phased out to include a PU filler, increasing demand for rigid PU foams. By Catherine Rabe Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.
European chemical industry policy 'failing': Huntsman
European chemical industry policy 'failing': Huntsman
Amsterdam, 23 April (Argus) — Chemical industry leaders criticised European legislative sustainability policies' effect on the region's competitiveness at this week's Utech Europe conference in the Netherlands. "Europe is failing when it comes to policy", polyurethane producer Huntsman's chief executive Peter Huntsman said today. He said the continent is experiencing massive deindustrialisation, and while emissions from chemical production have declined in recent years this is because chemical production has come offline. Most recently ExxonMobil said it will shut its Port Jerome petrochemical plant in France. In the current environment "why would you invest in new technology, new capacity" in Europe, Huntsman said. "If we get regulated out of the continent the [green] transformation will happen elsewhere, or maybe later or maybe not at all," German chemical producer Covestro's head of performance materials Herman-Josef Dorholt said. To move towards more sustainable production "we need to join forces… no player can reach full circularity on their own," he said. While many petrochemical producers are offering mass balance and bio alternatives, consumers are put off because these products typically attract higher prices, he said. Regarding when these sustainable alternatives will be competitive with current commercial products, "the markets are building and the demand is building," but commercial competitiveness is some way off. "It will take a few years but we are on the right track," he said. By Catherine Rabe Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.
Overseas companies get US FDA polymers certifications
Overseas companies get US FDA polymers certifications
Houston, 15 April (Argus) — European and Asian companies have received a spate of FDA no objection letters (NOL) this year, a growing indication of overseas interest in the US recycled polymers market. FDA no objection letters allow recyclers to sell their recycled plastic pellets for use in limited food and drink-grade applications. Ultra-Poly and Circulus Holdings are the only two US-based companies who have received NOLs so far in 2024, out of a total of 14 different companies. Circulus received approval to use recycled low density polyethylene (LDPE) from its Ardmore, Oklahoma, facility for food contact in January, and Ultra-Poly received approval to use its recycled injection-molded polypropylene for food contact in March. Austrian recycler Borealis received two NOLs this year from the FDA, for its polypropylene and its high-density polyethylene (HDPE), and German recycler Gneuss Kunststofftechnik has received three, for HDPE, polyethylene terephthalate (PET), and polystyrene (PS). Italian chemicals company Versalis received approval for its recycled PS. Recyclers from East and Southeast Asia made up the rest of this year's approvals so far, for PP, PS, and HDPE. Recipients include the Pashupati Group from India, China-based Shanghai SmartLoop Industrial, and the Japan-based DIC Coporation. Growing imports from overseas greatly increased supply of recycled material in 2023 and 2024, but some domestic producers fear that the lower pricing from some overseas manufacturers will threaten their ability to stay in business. By Zach Kluver Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.
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Under Pressure: Weather Extremes Take Toll on Chemicals Industry
The fire at the Dow Glycol II unit, the INEOS pipeline explosion, or the olefin unit fire at Shell’s Deer Park, are just a few of the 100 chemical accidents in the USA thus far in 2023. Texas holds the largest share with 27 incidents according to the Coalition to Prevent Chemical Disasters. On average a chemical fire, explosion, or toxic release occurs every two days in the USA.
Podcast - 24/04/24