FOCUS prospects. The ‘ERJ’ survey showed global carbon black consumption at 9.3 M tonnes for 2006, representing 85% of estimated effective capacity. The Notch Consulting survey showed global carbon black consumption at 9.4 M tonnes, representing 93% of estimated effective capacity. ‘ERJ’ envisaged global consumption rising at nearly 4% per annum to reach 11.3 M tonnes in 2011, while Notch Consulting forecast global consumption rising at 3.6% per annum to reach 10.8 M tonnes in 2010. Extending the Notch Consulting forecast by a year at the same rate would yield just under 11.2 M tonnes for 2011. A third survey of the carbon black industry has just been published: Freedonia (of Cleveland, OH) shows global consumption at 7.245 M tonnes for 2001 and at 8.935 M tonnes for 2006, rising at 4.2% per annum to reach 11 M tonnes by 2011. Growth in the Asia/Pacific region will be the main driver and by 2011, this region will account for more than one-half of total world consumption. China will eclipse Japan as the largest carbon black market in the Asia/Pacific region. Japanese carbon black demand is forecast to increase at 1.7% per annum to reach just over 1 M tonnes/y by 2011. North American carbon black demand is forecast to increase at 1.4% per annum from about 1.5 M tonnes in 2006 to 1.6 M tonnes in 2011. Demand in Western Europe has declined in recent years. It is expected to recover during the second half of this decade, but growth rates in this region will be well below the global average. Forecast Carbon Black Demand, 2011 (‘000 tonnes & % of world total) Total World 11.00 Asia/Pacific 5.63 North America 1.91 Western Europe 1.58 Rest of World 1.87
100.0% 51.2% 17.4% 14.4% 17.0%
Source: Freedonia, May 2007 Freedonia states: “In most developed markets, carbon black plant capacity utilisation rates will remain at 95% or higher, because new plant construction activity has reached a standstill in the light of limited and uncertain market growth prospects.” By contrast, capacity in
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Asia will increase substantially. Over the five years 2001-2006, China added 2.2 M tonnes/y of carbon black capacity, while India added 580,000 tonnes/y. These two countries will be in the forefront of future capacity expansion too. The Freedonia survey includes company profiles for the top 17 carbon black suppliers in the world. The survey also discusses market environment factors, details industry structure and evaluates company market share within the industry. World Carbon Black to 2011 (Report 2186) published by: Freedonia Group Inc, 767 Beta Drive, Cleveland, OH 44143-2326, USA. Tel: +1 440 684 9600. E-mail:
[email protected]. 285 pp. Price: $5400 (1 May 2007)
World spending on hair colorants approaching $4 bn per annum Global spending on hair colorants (at manufacturers’ prices) was about $3.69 bn in 2006, representing 41% of the total $9 bn spent on hair-care products. Shampoos, conditioners, curling, straightening and styling products account for most of the balance. L’Oréal has a 30% market share in the world market for hair-care products, Procter & Gamble 24% and Henkel 7%. ICIS Chemical Business Americas, 25 Jun 2007 (Website: http://www.icbamericas.com)
PLANTS Brazil: Degussa – carbon black Degussa (a wholly-owned subsidiary within the RAG group) has completed a project to raise its carbon black capacity at Paulinia (120 km northwest of Sao Paulo) from 55,000 tonnes/y to 100,000 tonnes/y. This raises its global capacity to 1.4 M tonnes/y, consolidating Degussa’s status as second only to Cabot as the world’s largest carbon black supplier. Most of the output from the Paulinia plant is sold to Brazilian customers. Tyres and other rubber products account for 90% of Brazilian carbon black consumption. All of Degussa’s business units are active in Brazil, notably Catalysts, Flavours, Bleaching and Water Treatment Chemicals, as well as Advanced Fillers & Pigments (which supervises the carbon black
business). To date, Degussa has invested a total of €65 M in its Brazilian operations. Chemische Rundschau, 10 Jul 2007, 60 (7), 8 (in German) & Press Release from: Degussa, Germany, Tel: +49 201 177 3167. Website: http://www.degussa.com (27 Jun 2007)
Germany: Degussa – carbon black As part of a corporate drive to improve environmental measures, Degussa last year installed a new central stack for all exhaust gases from its 160,000 tonnes/y carbon black plant at Kalscheuren. The new stack also incorporates various integrated noise abatement features. Degussa Corporate Citizen Report, 18 Jun 2007, 51 (Available from: Degussa AG, PO Box 302043, 40402 Dusseldorf, Germany. Website: http://www.degussa.com)
Germany: Tronox – TiO2 Tronox declared that it was inviting offers for the purchase of its last sulfate-route TiO2 pigment plant in March 2007. The plant, originally acquired from Bayer in January 1998, has a nameplate capacity of 107,000 tonnes/y and is located at the edge of the Krefeld-Uerdingen Industry Park. Various site services, utilities and commodity chemicals (such as sulfuric acid) are supplied by Bayer Industry Services (BIS). In fact, Tronox was one of the first partners for the three BIS industry parks in Germany (at Leverkusen, Uerdingen and Dormagen): there are now more than 60 different BIS partners at these sites. On 17 May, Tronox stated that it had shortlisted potential purchasers for the Uerdingen TiO2 plant. But, six weeks later the company declared that it had waived the deadline for bids and would still consider late offers. ‘ICB’ believes that Apollo/Hexion might be interested in submitting an offer for the Uerdingen plant. Apollo/Hexion is on the point of taking over Huntsman Tioxide’s business as part of a full takeover of the Huntsman portfolio. (See ‘Focus on Pigments’, Aug 2007, 4). Huntsman Tioxide currently has a global TiO2 pigment capacity of 550,000 tonnes/y, including 380,000 tonnes/y of sulfateroute capacity at plants in France, Italy, Malaysia, South Africa, Spain and the UK. ICIS Chemical Business, 6 Aug 2007, (Website: http://icischemicalbusiness.com)
SEPTEMBER 2007