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y of kaolin used for papermaking
PIG307
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F O C U S Carbon Black Capacity by Country (‘000 tonnes/y) Argentina Australia Brazil Canada China Colombia Croatia Czech Republic Egypt France Germany Hungary India Indonesia Iran Italy Japan Korea, South Malaysia Mexico Netherlands Poland Portugal Russia & Ukraine South Africa Spain Sweden Taiwan Thailand Turkey United Kingdom United States Venezuela
80 45 360 265 1800 60 35 100 200 245 290 65 575 150 80 245 712 530 135 120 155 40 35 850 65 60 45 100 360 40 175 1800 70
seven producers bringing in a total of 600,000 tonnes/y of new capacity, mainly in Asia and South America. Both information sources report that demand from Asia will be the major factor driving up world carbon black consumption over the next 5-6 years. ‘ERJ’ forecasts that world consumption will increase at nearly 4% per annum from 9.3 M tonnes in 2006 to 11.3 M tonnes in 2011. Notch Consulting forecasts that world consumption will increase at 3.6% per annum from 9.4 M tonnes in 2006 to just over 10.8 M tonnes in 2010. ‘CW’ quotes Mr Kim Pan (President of Continental Carbon of Houston) as stating: “China will have the highest growth-rate, followed closely by India. The automotive industries in both countries will continue to grow strongly, so the demand for tyre, automotive rubber and industrial rubber products should rise proportionally. The US is struggling with a slowing automotive industry and US carbon black demand declined
2
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during the second half of last year. The labour strike at Goodyear in early October 2006 significantly cut tyre production and dampened carbon black demand.” Although the global carbon black supply/demand balance has been fairly tight, price increases posted by suppliers over the past two years have failed to keep pace with sharp increases in the costs of carbon black feedstock and natural gas. As a result, most producers have seen erosion in their profit margins. Cabot, the world’s leading supplier, announced prompt action to remedy its position last October, scheduling 130 job redundancies to bring its total corporate workforce down to 4170. According to Mr Pan: “The ability to manage the volatility and high cost of raw materials remains highly challenging. Carbon black prices in world markets are likely to fall by 5-10% on average during 1Q 2007, reflecting lower feedstock and natural gas costs.” Typical contract prices for carbon black (ex-works) at the end of January 2007 were quoted by ‘CW’ as: $0.38-0.42 per pound in the US; €696-750 per tonne in Europe; and $750-930 per tonne in Asia/Pacific.
engineering refers to the deliberate modification of features such as particle shape, aspect ratio, average size and particle size distribution. In the 1980s, the main emphasis was on the size of the kaolin particle as a function of width and thickness. In the 1990s, the aspect ratio took on fundamental importance as a way of characterising kaolins for different roles in papermaking. In the current decade, the focus has been on the steepness of the particle size distribution curve, which correlates with improved opacity. Cornish kaolin is suited to European super-calendered (SC) papers and lightweight coated (LWC) papers. Kaolin from the Capim Basin region of northern Brazil offer high brightness and opacity. Georgia (US) produces kaolin for all types of coating applications in North American papermaking, while calcined kaolin from this source is used worldwide as an important opacifier. Over the next 10 years, new sources of kaolin – in Australia, China, Surinam and Ukraine – will be developed to challenge the current dominance of Brazil, the UK and the US. Industrial Minerals, Oct 2006, (469), 36-42
Reg Adams 1) European Rubber Journal, Nov/Dec 2006, 188 (6), 28-32 2) Chemical Week, 31 Jan 2007, 169 (4), 24 3) Focus on Pigments, June 2006, 1-2
MARKETS 12 M tonnes/y of kaolin used for papermaking According to Mr Ian Wilson (a kaolin industry consultant based in Cornwall), world kaolin consumption is of the order of 24 M tonnes/y, of which the paper industry accounts for about 12 M tonnes/y. Within the paper industry, coating applications account for 8 M tonnes/y and filler applications for 4 M tonnes/y. Kaolin as a filler has been displaced by precipitated calcium carbonate (PCC) in the United States and by ground calcium carbonate (GCC) in Europe. Kaolin suppliers have become increasingly adept at particle engineering to create new grades of kaolin to cater for the papermakers’ changing requirements. Particle
Omya, Imerys & Huber dominate US high-grade limestone supply The production of calcium carbonate pigment/filler is one of the principal outlets for limestone in the US, accounting for consumption of 1.13 M tonnes of high-grade material in 2005. Other outlets include: iron and steel manufacture (5.66 M tonnes); flue gas desulfurisation (3.47 M tonnes); road subgrade stabilisation (1.7 M tonnes); and road asphalt surfacing (0.45 M tonnes). The major producers of high quality limestone are Omya, Imerys and Huber, with respective market shares of 35%, 30% and 15%. Industrial Minerals, Jan 2007, (472), 6-7
China’s iron oxide pigments capacity climbs to 800,000 tonnes/y 800,000 tonnes/y at the end of 2005 and 720,000 tonnes/y at the end of 2004 were the consensus estimates of China’s iron oxide pigments capacity at the recent Intertech-Pira conference held in Shanghai. Virtually
MARCH 2007
3/23/07
11:36 AM
Page 2
F O C U S Carbon Black Capacity by Country (‘000 tonnes/y) Argentina Australia Brazil Canada China Colombia Croatia Czech Republic Egypt France Germany Hungary India Indonesia Iran Italy Japan Korea, South Malaysia Mexico Netherlands Poland Portugal Russia & Ukraine South Africa Spain Sweden Taiwan Thailand Turkey United Kingdom United States Venezuela
80 45 360 265 1800 60 35 100 200 245 290 65 575 150 80 245 712 530 135 120 155 40 35 850 65 60 45 100 360 40 175 1800 70
seven producers bringing in a total of 600,000 tonnes/y of new capacity, mainly in Asia and South America. Both information sources report that demand from Asia will be the major factor driving up world carbon black consumption over the next 5-6 years. ‘ERJ’ forecasts that world consumption will increase at nearly 4% per annum from 9.3 M tonnes in 2006 to 11.3 M tonnes in 2011. Notch Consulting forecasts that world consumption will increase at 3.6% per annum from 9.4 M tonnes in 2006 to just over 10.8 M tonnes in 2010. ‘CW’ quotes Mr Kim Pan (President of Continental Carbon of Houston) as stating: “China will have the highest growth-rate, followed closely by India. The automotive industries in both countries will continue to grow strongly, so the demand for tyre, automotive rubber and industrial rubber products should rise proportionally. The US is struggling with a slowing automotive industry and US carbon black demand declined
2
ON
PIGMENTS
during the second half of last year. The labour strike at Goodyear in early October 2006 significantly cut tyre production and dampened carbon black demand.” Although the global carbon black supply/demand balance has been fairly tight, price increases posted by suppliers over the past two years have failed to keep pace with sharp increases in the costs of carbon black feedstock and natural gas. As a result, most producers have seen erosion in their profit margins. Cabot, the world’s leading supplier, announced prompt action to remedy its position last October, scheduling 130 job redundancies to bring its total corporate workforce down to 4170. According to Mr Pan: “The ability to manage the volatility and high cost of raw materials remains highly challenging. Carbon black prices in world markets are likely to fall by 5-10% on average during 1Q 2007, reflecting lower feedstock and natural gas costs.” Typical contract prices for carbon black (ex-works) at the end of January 2007 were quoted by ‘CW’ as: $0.38-0.42 per pound in the US; €696-750 per tonne in Europe; and $750-930 per tonne in Asia/Pacific.
engineering refers to the deliberate modification of features such as particle shape, aspect ratio, average size and particle size distribution. In the 1980s, the main emphasis was on the size of the kaolin particle as a function of width and thickness. In the 1990s, the aspect ratio took on fundamental importance as a way of characterising kaolins for different roles in papermaking. In the current decade, the focus has been on the steepness of the particle size distribution curve, which correlates with improved opacity. Cornish kaolin is suited to European super-calendered (SC) papers and lightweight coated (LWC) papers. Kaolin from the Capim Basin region of northern Brazil offer high brightness and opacity. Georgia (US) produces kaolin for all types of coating applications in North American papermaking, while calcined kaolin from this source is used worldwide as an important opacifier. Over the next 10 years, new sources of kaolin – in Australia, China, Surinam and Ukraine – will be developed to challenge the current dominance of Brazil, the UK and the US. Industrial Minerals, Oct 2006, (469), 36-42
Reg Adams 1) European Rubber Journal, Nov/Dec 2006, 188 (6), 28-32 2) Chemical Week, 31 Jan 2007, 169 (4), 24 3) Focus on Pigments, June 2006, 1-2
MARKETS 12 M tonnes/y of kaolin used for papermaking According to Mr Ian Wilson (a kaolin industry consultant based in Cornwall), world kaolin consumption is of the order of 24 M tonnes/y, of which the paper industry accounts for about 12 M tonnes/y. Within the paper industry, coating applications account for 8 M tonnes/y and filler applications for 4 M tonnes/y. Kaolin as a filler has been displaced by precipitated calcium carbonate (PCC) in the United States and by ground calcium carbonate (GCC) in Europe. Kaolin suppliers have become increasingly adept at particle engineering to create new grades of kaolin to cater for the papermakers’ changing requirements. Particle
Omya, Imerys & Huber dominate US high-grade limestone supply The production of calcium carbonate pigment/filler is one of the principal outlets for limestone in the US, accounting for consumption of 1.13 M tonnes of high-grade material in 2005. Other outlets include: iron and steel manufacture (5.66 M tonnes); flue gas desulfurisation (3.47 M tonnes); road subgrade stabilisation (1.7 M tonnes); and road asphalt surfacing (0.45 M tonnes). The major producers of high quality limestone are Omya, Imerys and Huber, with respective market shares of 35%, 30% and 15%. Industrial Minerals, Jan 2007, (472), 6-7
China’s iron oxide pigments capacity climbs to 800,000 tonnes/y 800,000 tonnes/y at the end of 2005 and 720,000 tonnes/y at the end of 2004 were the consensus estimates of China’s iron oxide pigments capacity at the recent Intertech-Pira conference held in Shanghai. Virtually
MARCH 2007