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World: DuPont – TiO2
FOCUS concerted efforts to increase TiO2 pigment prices. Asian Chemical News, 11 Oct 2004, 10 (464), 23 & 13 Dec 2004, 11 (472), 23
Japanese TiO2 suppliers to stem the decline in sales to domestic customers? According to the Japan Titanium Dioxide Association (JTDA), Japanese producers increased their exports in the year to end-March 2004. However, their sales to Japanese customers fell by nearly 2%, partly due to increased competition from overseas suppliers. Imports of TiO2 into Japan increased by 1% to 64,807 tonnes. Domestic suppliers’ shipments to the paper industry fell by 11.2%, but there were slight increases in the offtake by the paint and printing ink sectors. Paint, ink and plastics still account for the bulk of commodity grades of TiO2, but Japanese suppliers have always been in the vanguard of developing high-performance TiO2 products. There are now 48 member companies in the Japanese Association of Photocatalyst Products and the photocatalyst market in Japan is now worth Yen 50 bn. Japan’s consumption of TiO2 for photocatalysts was 324 tonnes in 2003/04 and this is expected to grow rapidly. Sakai Chemical is one of the world’s leading suppliers of catalysts for the denitrification of power station exhaust gases. The global demand for this type of catalyst is currently estimated at 20,000 tonnes and there is considerable scope for growth as China, Korea and other Asian markets bring in tighter controls on air pollution. Ultra-fine TiO2 grades are increasingly used in special types of automotive paints, in cosmetics, in ultraviolet-blocking and anti-reflective films and toner additives. The global market for high-purity ultrafine grades is assessed at 2600 tonnes and the market for ultrafine general-purpose grades is assessed at 2000 tonnes. For fiscal year 2004/05, JTDA forecasts domestic shipments at 169,520 tonnes and exports at 89,210 tonnes. During the first half of the year, China accounted for 55% of Japanese exports, with other Asian markets accounting for more than 25%. Japanese suppliers have a combined market share in excess of
JANUARY 2005
ON
PIGMENTS
Japan: TiO2 Consumption, Fiscal Year 2003/04 tonnes Total shipments 255283 – Exports 86607 – Domestic 168676 Paints 74490 Inks & Pigments 35444 Other sectors 58742
Versus 2002/03 - 1.0% + 0.7% - 1.8% + 0.8% + 1.3% - 1.9%
Source: JTDA, Oct 2004
10% in the Chinese TiO2 market and preparations for the Olympic Games in 2008 are expected to substantially boost Chinese TiO2 consumption over the next few years. Japan Chemical Week, 14 Oct 2004, 45 (2290), 7-8
World paint consumption assessed at 26 M tonnes World consumption of paint is estimated at 26 M tonnes in 2004 and global spending on paint is estimated at between $65 bn and $83 bn. Volume is expected to grow at an average rate of 3.5% per annum over the next three years and average prices will be pushed up by increasing customer demands for high quality, environmentally friendly paint products. North America and Western Europe will still account for around 50% of the global market in 2007, but the fastest growing regions will Asia (especially China) and Eastern Europe. Chemical Week, 20 Oct 2004, 166 (34)
Turkish paint market to grow at 10% per annum According the country’s paint industry association, Turkey’s paint capacity is currently around 750,000 tonnes/y, but actual production is substantially below this level. The industry association estimates output at 340,000 tonnes in 2002 and 370,000 tonnes in 2003. The Government’s official figures are somewhat higher – 398,413 tonnes in 2002 and 442,937 tonnes in 2003. Turkish paint consumption is expected to increase by at least 10% per annum over the next few years, thanks to the general economic upswing and investment in house building. Nachrichten fuer Aussenhandel, 21 Oct 2004, 67 (205), 2 (in German)
Chinese demand for plastics masterbatch forecast to grow at 11% per annum According to a recent survey by Applied Market Information Ltd (AMI of Bristol), the consumption of plastics masterbatch in South Asia increased from 89,000 tonnes in 1990 to 550,000 tonnes in 2003 – representing annual growth at 15% per annum. Over the next five years, China will be the fastest growing market, with demand forecast to increase at 11% per annum. China currently accounts for 34% of total Asian masterbatch consumption. This will increase to 42% by 2008. China and Taiwan are significant net importers of masterbatch, whereas the Philippines, Singapore and South Korea are net exporters. Plastics and Rubber Asia, Oct 2004, 19 (129), 78-83
PLANTS World: DuPont – TiO2 DuPont has five large TiO2 pigment plants – three in the US, one in Mexico and one in Taiwan. The company reports its current capacity as 1.09 M tonnes/y and it is currently working on a programme to improve production efficiency, which should increase its global capacity by 45,000 tonnes/y. DuPont currently generates about $2 bn per year from sales of TiO2 pigments and it plans to increase this by at least $50 M in 2005. In the medium- to long-term, DuPont Titanium Technologies wants to achieve annual sales growth of 6% per annum. The percentage of sales derived from new pigment grades (launched within the past five years) will be increased from 15% in 2004 to 20% by 2007. Dedicated spending on research and development will be increased by 35% over the next three years. TiO2 pigment consumption worldwide is said to have increased by 8% in 2004, partly thanks to a genuine recovery in demand and partly thanks to restocking of customer inventories. For 4Q 2004, average plant operating rates are estimated at 98% for major producers and 87% for small and medium-size
5
FOCUS producers. The average delivered price for TiO2 pigment in North American markets for full-year 2004 as a whole should be around 90 cents per pound (equivalent to $1984 per tonne). That compares against 85 cents per pound (equivalent to $1874 per tonne) in 2003. For full-year 2005, the average price is forecast at 99 cents per pound (equivalent to $2161 per tonne). Chemical Week, 17 Nov 2004, 166 (38)
China: Cabot & Shanghai Coking Chemical – carbon black Shanghai Cabot Co, which is owned 70% by Cabot Corp (of the US) and 30% by Shanghai Coking Chemical Co, completed a 50,000 tonnes/y expansion at its Shanghai carbon black last year. This brought the plant’s total capacity to 130,000 tonnes/y. (See also ‘Focus on Pigments’, Mar 2004, 3). Now Shanghai Cabot has confirmed its intention to build a second carbon black plant in Tianjin, due on-stream in early 2006. The plant’s initial capacity will be 50,000 tonnes/y, with provision for easy expansion, possibly towards the end of 2006. Chemical and Engineering News, 15 Nov 2004, 82 (46), 12-13 (Website: http://www.cen-online.org)
China: Degussa – carbon black Qingdao Degussa Chemical Co (QDCC) recently completed the expansion of its carbon black plant at Qingdao, raising capacity here from 50,000 tonnes/y to 70,000 tonnes/y. QDCC was established in 1993 and it is now owned 52% by Degussa, 15% by Deutsche Investitions & Entwicklungs (DEG, a German venture capital company) and 33% by the local partner, Zhenya. Meanwhile, Degussa has been continuing to negotiate with Sinopec regarding a second carbon black plant, to be installed at an undentified location. No further details have been released,
ON
PIGMENTS
November 2004 and it is now working at its rated capacity of 200 tonnes/y. The plant is highly automated, with integrated processes for pigment synthesis, finishing, filtration,drying, blending and packaging. Initially, it will produce five different pigment products based on DPP chemistry. The new DPP pigments will be used for automotive coatings, industrial coatings, plastics and special printing inks. In addition, Clariant will be using the new facilities to make two new rubine pigments with enhanced properties for coatings applications, namely Hostaperm Rubine D3B and Hostaperm Rubine D3B-WD. Clariant already employed 75 people at the existing pigment plant and the associated research and development unit on the FrankfurtHoechst site. The pigments workforce here has now been increased to 80. Investment in the DPP plant was around €13 M and the plant has been designed to facilitate further expansion in line with market demand. In August 2004, Clariant installed a plant for making halogenfree flame retardants at its Knapsack site. These investments underline Clariant’s ongoing commitment to manufacturing high-quality products in Germany. Chemical Engineering World, Nov 2004, 39 (11), 32 & Speciality Chemicals, Nov 2004, 24 (10), 10 & Double Liaison, Nov 2004, 5 (541), 54,56 (in French)
Germany: Schulman – plastics colorants Schulman has an annual global turnover of about $1 bn, a global workforce of 2400 and produces up to 500,000 tonnes/y of plastic masterbatches at 12 different plants in the US, Europe and the Asia/Pacific region. The Kerpen plant in Germany employs 472 people and, as a result of the most recent expansion in 2002, capacity here is now 60,000 tonnes/y. Major customers include API, BASF, Degussa and Vestolit.
Asian Chemical News, 29 Nov 2004, 11 (470), 6
Kunststof en Rubber, Dec 2004, 57 (12), 36-37 (in Dutch)
Germany: Clariant – DPP pigments
Germany: Steag & SMI – PCC
Clariant’s new diketo-pyrrolo-pyrrole (DPP) pigments plant at FrankfurtHoechst started-up on schedule in
About 55,000 tonnes/y of carbon dioxide is being extracted from fluegas streams at Steag’s power plant at
6
Walsum (near Duisburg) and this is one of the key raw material inputs for the new 125,000 tonnes/y precipitated calcium carbonate (PCC) plant here. The plant is run by Specialty Minerals Inc (SMI), producing Opacarb paper pigments, mainly for paper coating applications in graphic arts and highend magazine publication papers. In due course, SMI will double PCC capacity here to 250,000 tonnes/y and will then double capacity again, to 500,000 tonnes/y. (See also ‘Focus on Pigments’, Nov 2004, 5). Pulp and Paper International, Nov 2004, 46 (11), 45
India, China & Russia: Phillips – carbon black Phillips Carbon Black Ltd (part of the R.P.Goenka group) is India’s largest carbon black producer, with a capacity of 270,000 tonnes/y, derived from plants at Kochi, Vadodara and Durgapur. A 12 MW co-generation power plant was recently installed at the Vadodara site and Phillips signed a five-year contract with Adani Power Trading Corp to supply around 6.5 MW from this plant. A similar project has been outlined for the Durgapur site in West Bengal. Phillips is now looking for a partner to collaborate in the establishment of a 16 MW power plant here, which will cost about Rup 600 M. Phillips already has long-term contracts to supply carbon black to a number of multinational customers, as well as to local companies. It is keen to broaden its global presence and recently appointed two consultants charged with identifying opportunities for expanding its business in the form of greenfield projects or acquisitions in China and Russia. Business Line, 22 Nov 2004, 11 (323), 3
India: Daikaffil – optical brighteners & pigment intermediates Daikaffil Chemicals has emerged as a significant supplier of optical brighteners to domestic customers and to export markets in Europe, Southeast Asia and the US. The company has facilities for producing 420 tonnes/y of dinitrostilbenzene (DNS) and 300 tonnes/y of diaminostilbenzene (DAS). It also
JANUARY 2005
Japanese TiO2 suppliers to stem the decline in sales to domestic customers? According to the Japan Titanium Dioxide Association (JTDA), Japanese producers increased their exports in the year to end-March 2004. However, their sales to Japanese customers fell by nearly 2%, partly due to increased competition from overseas suppliers. Imports of TiO2 into Japan increased by 1% to 64,807 tonnes. Domestic suppliers’ shipments to the paper industry fell by 11.2%, but there were slight increases in the offtake by the paint and printing ink sectors. Paint, ink and plastics still account for the bulk of commodity grades of TiO2, but Japanese suppliers have always been in the vanguard of developing high-performance TiO2 products. There are now 48 member companies in the Japanese Association of Photocatalyst Products and the photocatalyst market in Japan is now worth Yen 50 bn. Japan’s consumption of TiO2 for photocatalysts was 324 tonnes in 2003/04 and this is expected to grow rapidly. Sakai Chemical is one of the world’s leading suppliers of catalysts for the denitrification of power station exhaust gases. The global demand for this type of catalyst is currently estimated at 20,000 tonnes and there is considerable scope for growth as China, Korea and other Asian markets bring in tighter controls on air pollution. Ultra-fine TiO2 grades are increasingly used in special types of automotive paints, in cosmetics, in ultraviolet-blocking and anti-reflective films and toner additives. The global market for high-purity ultrafine grades is assessed at 2600 tonnes and the market for ultrafine general-purpose grades is assessed at 2000 tonnes. For fiscal year 2004/05, JTDA forecasts domestic shipments at 169,520 tonnes and exports at 89,210 tonnes. During the first half of the year, China accounted for 55% of Japanese exports, with other Asian markets accounting for more than 25%. Japanese suppliers have a combined market share in excess of
JANUARY 2005
ON
PIGMENTS
Japan: TiO2 Consumption, Fiscal Year 2003/04 tonnes Total shipments 255283 – Exports 86607 – Domestic 168676 Paints 74490 Inks & Pigments 35444 Other sectors 58742
Versus 2002/03 - 1.0% + 0.7% - 1.8% + 0.8% + 1.3% - 1.9%
Source: JTDA, Oct 2004
10% in the Chinese TiO2 market and preparations for the Olympic Games in 2008 are expected to substantially boost Chinese TiO2 consumption over the next few years. Japan Chemical Week, 14 Oct 2004, 45 (2290), 7-8
World paint consumption assessed at 26 M tonnes World consumption of paint is estimated at 26 M tonnes in 2004 and global spending on paint is estimated at between $65 bn and $83 bn. Volume is expected to grow at an average rate of 3.5% per annum over the next three years and average prices will be pushed up by increasing customer demands for high quality, environmentally friendly paint products. North America and Western Europe will still account for around 50% of the global market in 2007, but the fastest growing regions will Asia (especially China) and Eastern Europe. Chemical Week, 20 Oct 2004, 166 (34)
Turkish paint market to grow at 10% per annum According the country’s paint industry association, Turkey’s paint capacity is currently around 750,000 tonnes/y, but actual production is substantially below this level. The industry association estimates output at 340,000 tonnes in 2002 and 370,000 tonnes in 2003. The Government’s official figures are somewhat higher – 398,413 tonnes in 2002 and 442,937 tonnes in 2003. Turkish paint consumption is expected to increase by at least 10% per annum over the next few years, thanks to the general economic upswing and investment in house building. Nachrichten fuer Aussenhandel, 21 Oct 2004, 67 (205), 2 (in German)
Chinese demand for plastics masterbatch forecast to grow at 11% per annum According to a recent survey by Applied Market Information Ltd (AMI of Bristol), the consumption of plastics masterbatch in South Asia increased from 89,000 tonnes in 1990 to 550,000 tonnes in 2003 – representing annual growth at 15% per annum. Over the next five years, China will be the fastest growing market, with demand forecast to increase at 11% per annum. China currently accounts for 34% of total Asian masterbatch consumption. This will increase to 42% by 2008. China and Taiwan are significant net importers of masterbatch, whereas the Philippines, Singapore and South Korea are net exporters. Plastics and Rubber Asia, Oct 2004, 19 (129), 78-83
PLANTS World: DuPont – TiO2 DuPont has five large TiO2 pigment plants – three in the US, one in Mexico and one in Taiwan. The company reports its current capacity as 1.09 M tonnes/y and it is currently working on a programme to improve production efficiency, which should increase its global capacity by 45,000 tonnes/y. DuPont currently generates about $2 bn per year from sales of TiO2 pigments and it plans to increase this by at least $50 M in 2005. In the medium- to long-term, DuPont Titanium Technologies wants to achieve annual sales growth of 6% per annum. The percentage of sales derived from new pigment grades (launched within the past five years) will be increased from 15% in 2004 to 20% by 2007. Dedicated spending on research and development will be increased by 35% over the next three years. TiO2 pigment consumption worldwide is said to have increased by 8% in 2004, partly thanks to a genuine recovery in demand and partly thanks to restocking of customer inventories. For 4Q 2004, average plant operating rates are estimated at 98% for major producers and 87% for small and medium-size
5
FOCUS producers. The average delivered price for TiO2 pigment in North American markets for full-year 2004 as a whole should be around 90 cents per pound (equivalent to $1984 per tonne). That compares against 85 cents per pound (equivalent to $1874 per tonne) in 2003. For full-year 2005, the average price is forecast at 99 cents per pound (equivalent to $2161 per tonne). Chemical Week, 17 Nov 2004, 166 (38)
China: Cabot & Shanghai Coking Chemical – carbon black Shanghai Cabot Co, which is owned 70% by Cabot Corp (of the US) and 30% by Shanghai Coking Chemical Co, completed a 50,000 tonnes/y expansion at its Shanghai carbon black last year. This brought the plant’s total capacity to 130,000 tonnes/y. (See also ‘Focus on Pigments’, Mar 2004, 3). Now Shanghai Cabot has confirmed its intention to build a second carbon black plant in Tianjin, due on-stream in early 2006. The plant’s initial capacity will be 50,000 tonnes/y, with provision for easy expansion, possibly towards the end of 2006. Chemical and Engineering News, 15 Nov 2004, 82 (46), 12-13 (Website: http://www.cen-online.org)
China: Degussa – carbon black Qingdao Degussa Chemical Co (QDCC) recently completed the expansion of its carbon black plant at Qingdao, raising capacity here from 50,000 tonnes/y to 70,000 tonnes/y. QDCC was established in 1993 and it is now owned 52% by Degussa, 15% by Deutsche Investitions & Entwicklungs (DEG, a German venture capital company) and 33% by the local partner, Zhenya. Meanwhile, Degussa has been continuing to negotiate with Sinopec regarding a second carbon black plant, to be installed at an undentified location. No further details have been released,
ON
PIGMENTS
November 2004 and it is now working at its rated capacity of 200 tonnes/y. The plant is highly automated, with integrated processes for pigment synthesis, finishing, filtration,drying, blending and packaging. Initially, it will produce five different pigment products based on DPP chemistry. The new DPP pigments will be used for automotive coatings, industrial coatings, plastics and special printing inks. In addition, Clariant will be using the new facilities to make two new rubine pigments with enhanced properties for coatings applications, namely Hostaperm Rubine D3B and Hostaperm Rubine D3B-WD. Clariant already employed 75 people at the existing pigment plant and the associated research and development unit on the FrankfurtHoechst site. The pigments workforce here has now been increased to 80. Investment in the DPP plant was around €13 M and the plant has been designed to facilitate further expansion in line with market demand. In August 2004, Clariant installed a plant for making halogenfree flame retardants at its Knapsack site. These investments underline Clariant’s ongoing commitment to manufacturing high-quality products in Germany. Chemical Engineering World, Nov 2004, 39 (11), 32 & Speciality Chemicals, Nov 2004, 24 (10), 10 & Double Liaison, Nov 2004, 5 (541), 54,56 (in French)
Germany: Schulman – plastics colorants Schulman has an annual global turnover of about $1 bn, a global workforce of 2400 and produces up to 500,000 tonnes/y of plastic masterbatches at 12 different plants in the US, Europe and the Asia/Pacific region. The Kerpen plant in Germany employs 472 people and, as a result of the most recent expansion in 2002, capacity here is now 60,000 tonnes/y. Major customers include API, BASF, Degussa and Vestolit.
Asian Chemical News, 29 Nov 2004, 11 (470), 6
Kunststof en Rubber, Dec 2004, 57 (12), 36-37 (in Dutch)
Germany: Clariant – DPP pigments
Germany: Steag & SMI – PCC
Clariant’s new diketo-pyrrolo-pyrrole (DPP) pigments plant at FrankfurtHoechst started-up on schedule in
About 55,000 tonnes/y of carbon dioxide is being extracted from fluegas streams at Steag’s power plant at
6
Walsum (near Duisburg) and this is one of the key raw material inputs for the new 125,000 tonnes/y precipitated calcium carbonate (PCC) plant here. The plant is run by Specialty Minerals Inc (SMI), producing Opacarb paper pigments, mainly for paper coating applications in graphic arts and highend magazine publication papers. In due course, SMI will double PCC capacity here to 250,000 tonnes/y and will then double capacity again, to 500,000 tonnes/y. (See also ‘Focus on Pigments’, Nov 2004, 5). Pulp and Paper International, Nov 2004, 46 (11), 45
India, China & Russia: Phillips – carbon black Phillips Carbon Black Ltd (part of the R.P.Goenka group) is India’s largest carbon black producer, with a capacity of 270,000 tonnes/y, derived from plants at Kochi, Vadodara and Durgapur. A 12 MW co-generation power plant was recently installed at the Vadodara site and Phillips signed a five-year contract with Adani Power Trading Corp to supply around 6.5 MW from this plant. A similar project has been outlined for the Durgapur site in West Bengal. Phillips is now looking for a partner to collaborate in the establishment of a 16 MW power plant here, which will cost about Rup 600 M. Phillips already has long-term contracts to supply carbon black to a number of multinational customers, as well as to local companies. It is keen to broaden its global presence and recently appointed two consultants charged with identifying opportunities for expanding its business in the form of greenfield projects or acquisitions in China and Russia. Business Line, 22 Nov 2004, 11 (323), 3
India: Daikaffil – optical brighteners & pigment intermediates Daikaffil Chemicals has emerged as a significant supplier of optical brighteners to domestic customers and to export markets in Europe, Southeast Asia and the US. The company has facilities for producing 420 tonnes/y of dinitrostilbenzene (DNS) and 300 tonnes/y of diaminostilbenzene (DAS). It also
JANUARY 2005