Vencorex seeks options for TDI business

Spanish Market: Petrochemicals
26/03/14

French chemicals group Vencorex is looking at either reducing or ending toluene diisocyanate (TDI) production at its Pont-de-Claix site in France as part of planned strategic reforms.

It is targeting an increase in production of specialty isocyanates, including hexamethylene diisocyanate (HDI) and isophorone dilsocyanate (IPDI) and their derivatives in Europe, as part of the changes.

The shift in focus is a “decisive turning point and a measure of sustainability in an extremely competitive environment,” Vencorex said.

“Our strategy is to focus on specialties. This is our future. But we have not made a decision whether this will mean we will switch everything to HDI or just reduce our TDI production,” a company spokeswoman said.

She added that the company is continuing to explore options for the site, which produces around 126,000 t/yr of TDI and 25,000 t/yr of HDI.

The planned changes, which will also involve the modernisation of chlorine production and bolstering research and development work, will be “progressively” carried out until the end of 2016.

Plans will go through a consultation process with the Works Council next month.

Vencorex is 49pc owned by Swedish chemical maker Perstorp and 51pc by PTT Global Chemical of Thailand. It is constructing a new 12,000 t/yr HDI plant in Thailand which is expected to be on stream in 2015.

Germany's BASF and Bayer are building two new TDI plants in Europe with a combined output of 600,000 t/yr. These plants will be up and running next year.

TDI is mainly used to make flexible polyurethane foams for the automotive industry and household applications. HDI is a specialised compound which accounts for a small portion of the global diisocynate market.

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Vencorex seeks options for TDI business

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