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Chemours building first full-scale plant for production of low GWP foaming agent
STRATEGIES
GCR to increase masterbatch and PP compound capacity
S
pain’s GCR Group, based in La Bisbal del Penedès in Tarragona, is increasing its annual production capacity of mineral masterbatches and polypropylene (PP) compounds to 320 000 tonnes in 2016 from its previous level of 255 000 tonnes. The company is installing a new production line for its Granic calcium carbonate and talc masterbatches, which it expects to commence operating in mid-summer 2016. This will raise its Granic masterbatch capacity from 220 000 tonnes/year to nearly 300 000 tonnes/ year, GCR says. The firm also reports that it has developed new products in its Ciclic range of recycled talcfilled PP compounds in response to the growing demand for sustainable materials in the automotive sector. The PP is sourced from process scrap and petrochemical plant scrap material. GCR expects to produce 15 000 tonnes of these automotive grades in 2016, and forecasts that production of the new grades will increase to around 25 000 tonnes in 2017. GCR’s investment in 2016 also includes the construction of a new 10 000 m2 logistics warehouse, which it says will enable it to supply Granic and Ciclic products at short notice. The new warehouse is scheduled to be completed by the end of 2016. With customers in more than 100 countries worldwide, GCR reports that exports account for 85% of its sales. In addition, the company is investing in more R&D staff and new pilot plant equipment to assist in its continuing development of new products with a lower environmental impact. Contact: GCR Group, La Bisbal del Penedès, Tarragona, Spain. Tel: +34 977 166 950, Web: www.granic.es or www.gcrgroup.es
Chemours building first full-scale plant for production of low GWP foaming agent
P
erformance chemicals company Chemours, in partnership with Changshu 3F Zhonghao, is building its first full-scale production facility for hydrofluoroolefin product HFO-1336mzz
8
Additives for Polymers
(1,1,1,4,4,4-hexafluorobut-2-ene) in Changshu, Jiangsu Province, China. The companies broke ground in November and the site is expected to begin production mid-year in 2017, providing increased capacity for low global warming potential (GWP) foam expansion agents and refrigerants. Foam expansion agents based on HFO-1336mzz, sold by Chemours as Formacel™ 1100 [ADPO, June 2014], are reported to offer excellent environmental properties across a variety of applications, including appliances, spray foam and board stock. In addition to its zero ozone depletion potential (ODP) and an extremely low GWP of less than two, the product can further reduce energy consumption and greenhouse gas emissions ‘with better thermal insulation performance than incumbent products’, the company claims. Formacel 1100 also provides ‘superior stability’ compared to other olefin-based blowing agents, and its shelf life of up to 12 months allows customers ‘to use the product with confidence over an extended period’, according to Chemours. HFO1336mzz is also the basis of a number of Chemours’ existing and developmental refrigerant fluids. ‘The Changshu facility shows our continued commitment to meeting the needs of our customers for high-performance, environmentally friendly solutions that enable them to meet growing regulatory and sustainability demands’, comments Thierry F.J. Vanlancker, president, Chemours Fluoroproducts. Chemours reports that it has invested ‘hundreds of millions of dollars’ to offer customers new sustainable foam, refrigerant and aerosol propellant products with no ozone depletion and low global warming potential. In addition, the company and its suppliers ‘have plans to invest hundreds of millions more’ in the next five years to bring online additional capacity for these more-sustainable, high-performance products, it reveals. Newly formed as a spin-off from DuPont [ibid., August 2015], Chemours is a leading global provider of titanium technologies, fluoroproducts and chemical solutions with approximately 8400 employees across 36 manufacturing sites. Shortly after its establishment as an independent company, it announced a five-point transformation plan with the aim of becoming ‘a higher-value chemistry company’. The plan focuses on five strategic elements – reducing structural costs, growing market positions, refocusing investments, optimizing the portfolio and enhancing the organization – and aims to cut costs by US$350
January 2016
STRATEGIES
million. As a result, the company has already closed its Edge Moor, DE, USA, titanium dioxide (TiO2) manufacturing site and shut down one TiO2 line at its plant in New Johnsonville, TN, thereby eliminating roughly 150 000 tonnes of TiO2 capacity while refocusing TiO2 production at four manufacturing sites – in Mississippi, Tennessee, Mexico and Taiwan – that ‘enjoy industryleading productivity, as well as the ability to use ore feedstock across the quality spectrum’, the company says. The closures will entail total costs of around $185 million (of which $110 million was incurred in 3Q 2015) but are expected to result in a $45 million annual net cost reduction. Subsequently, among other actions relating to the transformation plan, Chemours has announced a global workforce reduction of approximately 400 positions, or around 5% of its total employee and contractor base, affecting all business lines and functions, which it expects to complete during 2016. This action incurred a charge of about $45 million in 4Q 2015 but is estimated to save the company approximately $50 million annually. For 3Q 2015, Chemours reported net sales of $1.5 billion, a decrease of 9% from $1.6 billion achieved by the same businesses in 3Q 2014. The company posted a net loss of $29 million for the quarter, versus net income of $107 million in 3Q 2014. The Titanium Technologies segment had sales of $616 million and adjusted EBITDA of $78 million in 3Q 2015, year-on-year declines of 18% and 59%, respectively. Lower pricing and unfavourable currency effects reduced net sales by 13% and 7%, respectively, with slightly higher year-on-year volumes partially offsetting the lower prices. Contact: The Chemours Company, Wilmington, DE, USA. Tel: +1 302 773 1000, Web: www.chemours.com
Carolina Color to expand headquarters site
U
S colour concentrates specialist Carolina Color Corp (CCC) has purchased two buildings adjacent to its longstanding headquarters site in Salisbury, NC, USA, to allow for expansion without necessitating a move to another location. The investment will allow it to increase its manufacturing footprint at the site and create a customer collaboration centre.
January 2016
The two buildings purchased by CCC are an existing manufacturing site and an older, derelict house, which has already been demolished to make room for the customer centre. The manufacturing site will be renovated and refitted with new equipment, adding about 45 000 ft2 (c. 4200 m2) of new space to increase the footprint of the Salisbury plant to more than 110 000 ft2. The company is investing around US$2 million in these developments. This is on top of almost $10 million already spent in the past five years on R&D, upgrades at the plant and new equipment as CCC experienced ‘hypergrowth’, it reports. According to CEO Matt Barr, the company has benefited greatly from the Salisbury and local communities’ dedicated work force for nearly 50 years, as well as the site’s strategic location with respect to key cities in the Southeast corridor, and it therefore ‘didn’t make sense [] to relocate or expand anywhere else’. CCC also operates a plant in Delaware, OH, USA, with a combined capacity across both sites of about 11 300 tonnes/year. The company’s headcount stands at 110, of which 65 are employed at the Salisbury site. The firm reported annual sales of around $50 million in 2014, up 5% versus 2013. Contact: Carolina Color Corp, Salisbury, NC, USA. Tel: +1 704 637 7000, Web: www.carolinacolor.com
Oxea reorganizes German business operations to secure future competitiveness
O
xo chemicals manufacturer Oxea GmbH is reorganizing its business operations in Germany. To streamline business processes and improve communications, the management team, business functions and additional administrative functions are to be relocated to Monheim. The production and services activities, with approximately 1040 employees, will remain in Oberhausen and Marl and will be separated into independent companies. Oxea says it is currently operating in a ‘highly challenging’ business environment. The chemical industry in Germany is experiencing very slow growth. Meanwhile, Oxea faces much higher energy, gas and commodity
Additives for Polymers
9
GCR to increase masterbatch and PP compound capacity
S
pain’s GCR Group, based in La Bisbal del Penedès in Tarragona, is increasing its annual production capacity of mineral masterbatches and polypropylene (PP) compounds to 320 000 tonnes in 2016 from its previous level of 255 000 tonnes. The company is installing a new production line for its Granic calcium carbonate and talc masterbatches, which it expects to commence operating in mid-summer 2016. This will raise its Granic masterbatch capacity from 220 000 tonnes/year to nearly 300 000 tonnes/ year, GCR says. The firm also reports that it has developed new products in its Ciclic range of recycled talcfilled PP compounds in response to the growing demand for sustainable materials in the automotive sector. The PP is sourced from process scrap and petrochemical plant scrap material. GCR expects to produce 15 000 tonnes of these automotive grades in 2016, and forecasts that production of the new grades will increase to around 25 000 tonnes in 2017. GCR’s investment in 2016 also includes the construction of a new 10 000 m2 logistics warehouse, which it says will enable it to supply Granic and Ciclic products at short notice. The new warehouse is scheduled to be completed by the end of 2016. With customers in more than 100 countries worldwide, GCR reports that exports account for 85% of its sales. In addition, the company is investing in more R&D staff and new pilot plant equipment to assist in its continuing development of new products with a lower environmental impact. Contact: GCR Group, La Bisbal del Penedès, Tarragona, Spain. Tel: +34 977 166 950, Web: www.granic.es or www.gcrgroup.es
Chemours building first full-scale plant for production of low GWP foaming agent
P
erformance chemicals company Chemours, in partnership with Changshu 3F Zhonghao, is building its first full-scale production facility for hydrofluoroolefin product HFO-1336mzz
8
Additives for Polymers
(1,1,1,4,4,4-hexafluorobut-2-ene) in Changshu, Jiangsu Province, China. The companies broke ground in November and the site is expected to begin production mid-year in 2017, providing increased capacity for low global warming potential (GWP) foam expansion agents and refrigerants. Foam expansion agents based on HFO-1336mzz, sold by Chemours as Formacel™ 1100 [ADPO, June 2014], are reported to offer excellent environmental properties across a variety of applications, including appliances, spray foam and board stock. In addition to its zero ozone depletion potential (ODP) and an extremely low GWP of less than two, the product can further reduce energy consumption and greenhouse gas emissions ‘with better thermal insulation performance than incumbent products’, the company claims. Formacel 1100 also provides ‘superior stability’ compared to other olefin-based blowing agents, and its shelf life of up to 12 months allows customers ‘to use the product with confidence over an extended period’, according to Chemours. HFO1336mzz is also the basis of a number of Chemours’ existing and developmental refrigerant fluids. ‘The Changshu facility shows our continued commitment to meeting the needs of our customers for high-performance, environmentally friendly solutions that enable them to meet growing regulatory and sustainability demands’, comments Thierry F.J. Vanlancker, president, Chemours Fluoroproducts. Chemours reports that it has invested ‘hundreds of millions of dollars’ to offer customers new sustainable foam, refrigerant and aerosol propellant products with no ozone depletion and low global warming potential. In addition, the company and its suppliers ‘have plans to invest hundreds of millions more’ in the next five years to bring online additional capacity for these more-sustainable, high-performance products, it reveals. Newly formed as a spin-off from DuPont [ibid., August 2015], Chemours is a leading global provider of titanium technologies, fluoroproducts and chemical solutions with approximately 8400 employees across 36 manufacturing sites. Shortly after its establishment as an independent company, it announced a five-point transformation plan with the aim of becoming ‘a higher-value chemistry company’. The plan focuses on five strategic elements – reducing structural costs, growing market positions, refocusing investments, optimizing the portfolio and enhancing the organization – and aims to cut costs by US$350
January 2016
STRATEGIES
million. As a result, the company has already closed its Edge Moor, DE, USA, titanium dioxide (TiO2) manufacturing site and shut down one TiO2 line at its plant in New Johnsonville, TN, thereby eliminating roughly 150 000 tonnes of TiO2 capacity while refocusing TiO2 production at four manufacturing sites – in Mississippi, Tennessee, Mexico and Taiwan – that ‘enjoy industryleading productivity, as well as the ability to use ore feedstock across the quality spectrum’, the company says. The closures will entail total costs of around $185 million (of which $110 million was incurred in 3Q 2015) but are expected to result in a $45 million annual net cost reduction. Subsequently, among other actions relating to the transformation plan, Chemours has announced a global workforce reduction of approximately 400 positions, or around 5% of its total employee and contractor base, affecting all business lines and functions, which it expects to complete during 2016. This action incurred a charge of about $45 million in 4Q 2015 but is estimated to save the company approximately $50 million annually. For 3Q 2015, Chemours reported net sales of $1.5 billion, a decrease of 9% from $1.6 billion achieved by the same businesses in 3Q 2014. The company posted a net loss of $29 million for the quarter, versus net income of $107 million in 3Q 2014. The Titanium Technologies segment had sales of $616 million and adjusted EBITDA of $78 million in 3Q 2015, year-on-year declines of 18% and 59%, respectively. Lower pricing and unfavourable currency effects reduced net sales by 13% and 7%, respectively, with slightly higher year-on-year volumes partially offsetting the lower prices. Contact: The Chemours Company, Wilmington, DE, USA. Tel: +1 302 773 1000, Web: www.chemours.com
Carolina Color to expand headquarters site
U
S colour concentrates specialist Carolina Color Corp (CCC) has purchased two buildings adjacent to its longstanding headquarters site in Salisbury, NC, USA, to allow for expansion without necessitating a move to another location. The investment will allow it to increase its manufacturing footprint at the site and create a customer collaboration centre.
January 2016
The two buildings purchased by CCC are an existing manufacturing site and an older, derelict house, which has already been demolished to make room for the customer centre. The manufacturing site will be renovated and refitted with new equipment, adding about 45 000 ft2 (c. 4200 m2) of new space to increase the footprint of the Salisbury plant to more than 110 000 ft2. The company is investing around US$2 million in these developments. This is on top of almost $10 million already spent in the past five years on R&D, upgrades at the plant and new equipment as CCC experienced ‘hypergrowth’, it reports. According to CEO Matt Barr, the company has benefited greatly from the Salisbury and local communities’ dedicated work force for nearly 50 years, as well as the site’s strategic location with respect to key cities in the Southeast corridor, and it therefore ‘didn’t make sense [] to relocate or expand anywhere else’. CCC also operates a plant in Delaware, OH, USA, with a combined capacity across both sites of about 11 300 tonnes/year. The company’s headcount stands at 110, of which 65 are employed at the Salisbury site. The firm reported annual sales of around $50 million in 2014, up 5% versus 2013. Contact: Carolina Color Corp, Salisbury, NC, USA. Tel: +1 704 637 7000, Web: www.carolinacolor.com
Oxea reorganizes German business operations to secure future competitiveness
O
xo chemicals manufacturer Oxea GmbH is reorganizing its business operations in Germany. To streamline business processes and improve communications, the management team, business functions and additional administrative functions are to be relocated to Monheim. The production and services activities, with approximately 1040 employees, will remain in Oberhausen and Marl and will be separated into independent companies. Oxea says it is currently operating in a ‘highly challenging’ business environment. The chemical industry in Germany is experiencing very slow growth. Meanwhile, Oxea faces much higher energy, gas and commodity
Additives for Polymers
9