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NEWS ARCHIVE


This page is an archive of news and news background stories. Stories are placed here when they expire from the news pages and are filed in date order, most recent on the top. Go to the most recent or browse through the headline links. We quote monetary figures - company results, materials prices etc - in the currency in which they were originally reported. You can convert them to your own currency at today's exchange rates.

 NEWS HEADLINES JANUARY 2004
January 29
UK Demag - out of Interplas, into Poland, and in bed with Gosewehr Changes at Conair Vita to sell remaining Spartech stake
  Worldwide Moldflow buys American MSI Chi Mei to increase its stake in Taiwanese polycarbonate JV  
  Materials prices Second PET price increase this year    
  Technical Bio-source plastic has electronic product potential    
January 23
Worldwide BASF buys US plasticiser business    
  Materials prices More PE/PP price rises    
  Environmental Plasma discharge strips metal plating from plastics    
January 21
UK Jobs go as Polimoon rationalises Fibrenyle    
  Europe Demag consolidates its brand and starts Russian assembly Sales ease up but profits soar at Netstal  
  Worldwide M & G to expand PET output in Mexico and eyes Brazil for investment    
  Technical Improved mPPs start with a melt blown grade New name for pressure pipe PE  
  Materials prices Higher prices for PE, PP, PS and flame retardants    
  Environmental Solvay PVC recovery process to be used in Japan    
January 12
Europe Former K-M MD joins SMS    
January 8
Europe DSM to add TPE-E capacity    
January 6
UK PMMDA nails its colours to the Interplas mast Wellington buys Australian distributor Ticona man joins Rapra
    British company to roof the Olympics    

 

Demag - out of Interplas, into Poland, and in bed with Gosewehr
January 29, 2004
Another major injection moulding machine supplier is planning not to exhibit at Interplas in 2005. Like Engel and Krauss-Maffei before it, Demag Hamilton has determined that the cost of exhibiting is not justified in the current depressed state of the British injection moulding market - in which machine sales are estimated to have dropped another 15 per cent last year to a low of around 700 machines.
     Unlike Engel and Krauss-Maffei, Demag has not publicly committed itself not to go to Interplas - the market may appear different in two years' time - but sales director Ian Crawford told British Plastics & Rubber at this week's open house that at present Demag was planning not to attend.
     The investment in resources to support a falling market has implications on other factors, like the buildings and personnel of some of the major suppliers in this country. Demag Hamilton is in a better position than some in that it owns its Aylesbury headquarters, but it is also planning to spread the load by expanding into Poland. With the move into Eastern Europe of many blue chip Western companies - not least Gillette, a long-established user of Demag machines - Demag's existing Polish agency needs to expand. Demag Hamilton has the expertise, computer systems and support engineers to facilitate this expansion, and is currently discussing how it could apply them. Last week Demag Hamilton's parent Demag Plastics Group announced the start-up of a Russian assembly plant.
     A machine demonstrated in Aylesbury this week heralded a further development in Demag's UK market position. For some time Demag machines supplied with a robot have been fitted with one built by Wittmann of Austria - badged as a Demag robot. That is changing with an agreement, not yet signed, for Gosewehr of Germany to become Demag's automation partner. The final agreement could involve Demag taking a financial interest in Gosewehr.
     A Demag El-Exis machine shown at Aylesbury this week is fitted with a Gosewehr robot, and it is probable that Demag Hamilton's Aylesbury HQ will house Gosewehr's UK sales and support in the future. Gosewehr has previously been represented in the UK in several guises, but disagreements with former representatives and disappointment with the UK market, followed by labour problems at Gosewehr's Schwerin factory, led to the company no longer having a UK presence. Company head Werner Gosewehr, visiting Demag Hamilton this week, is keen to rebuild relationships with what was his first export market in the early '80s, and anticipates having one of his own employees, or a Demag Hamilton nominee, replacing the current unofficial support for Gosewehr robots.
     This week's open house at Demag Hamilton marks the official launch in Britain of Demag's IntElect all-electric injection machine, with the demonstration of a 100 tonne model. The IntElect - not to be confused with the machine of the same name built by Demag in the USA - is a European all-electric which is most noticeably different from many other all-electrics through its use for plasticising and injection of direct-drive Siemens low speed/high torque motors. These are arranged in tandem with one driving through the other to achieve plasticising, injection and holding pressure, instead of a belt drive and ball screws. A similar arrangement is used by fellow Mannesmann Plastics Machinery company Krauss-Maffei.
     Demag Plastics Group has sold around 20 IntElects so far, one of which has been sold by Demag Hamilton to Elster Metering of Luton - formerly ABB Kent Meters.
     Also running is the 2,700 tonne maXX machine which was installed at Aylesbury a year ago for pre-delivery trials on a project to make battery cells for power stations. The machine was to have been installed at Linpac's Witton plant, but the project was abandoned and the company behind it is now in receivership, leaving Demag Hamilton with a machine that has been paid for but nobody wants. So if you're in the market for a 2,700 tonne injection moulding machine...

 Demag Hamilton

Changes at Conair
January 29, 2004
Demag Hamilton's ancillary equipment specialist Ted Waller is moving to Conair Europe, taking over as managing director from Guy Hamer from February 2.
     Conair also has a new address. It has moved to:
     350, Edinburgh Avenue
     Slough
     Berkshire, SL1 4TU
     Telephone: 01753 215100
     Fax: 01753 215115

 Conair Europe

Second PET price increase this year
January 29, 2004
Dow Europe is increasing the price of its Lighter PET again. The price was raised Eur 60/tonne on January 1, and Dow is to add another Eur 100/tonne on February 1.
 
Vita to sell remaining Spartech stake
January 29, 2004
British Vita is pulling out of US compounder and moulder Spartech Corporation with an agreement to sell its remaining shareholding. In May 2002 it sold around 6·9 million shares, and now its remaining shares are to form part of a public flotation by Spartech. British Vita bought its stake in Spartech in 1989.
     The sale should net the company around £68 million which it will use to fund growth and return surplus funds to shareholders. The previous partial disposal of Spartech raised £99·7 million which has been used so far to buy back 32·1 million shares (14 per cent of issued share capital) at a cost of £80·4 million.
 
Bio-source plastic has electronic product potential
January 29, 2004
An engineering bioplastic based on polylactic acid which overcomes the low flame resistance of similar materials has been developed in Japan by NEC Corporation. The material is said to have passed UL94 5V and UL94 V-0 at 1·6 mm testing without using phosphorus or halogen-containing flame retardants. NEC says that it can be enhanced with additives to achieve properties of heat resistance, mouldability and strength comparable to those of fibre-reinforced polycarbonate, making it suitable for use in electronic products.
 
Moldflow buys American MSI
January 29, 2004
Moldflow has made the jump from software specialist to hardware supplier with the takeover of hot runner manufacturer American MSI. To handle this new role it has split its operations into two segments. The MSI hot runner systems are aligned with the Moldflow Manufacturing Solutions process optimisation and production monitoring software products in the Manufacturing Solutions business unit. Moldflow's Plastics Advisers and Plastics Insight design programs form the new Design Analysis solutions business unit.

 Moldflow

Chi Mei to increase its stake in Taiwanese polycarbonate JV
January 29, 2004
Chi Mei Corporation of Taiwan is to increase its share of the polycarbonate joint venture it holds with Asahi Kasei Chemicals of Japan. Chi Mei currently has 51 per cent of Chimei-Asahi Corporation, but will increase this to 90 per cent by the end of March. This will give Chi Mei more flexibility in the operation of the plant, while Asahi Chemicals will concentrate more on licensing the technology outside Taiwan.
     Chimei-Asahi runs a 65,000 tonnes plant, described as the world's first to use carbon dioxide as a starting material, enabling the manufacture of PC without the intermediate use of phosgene or methylene chloride. The process is said to give high efficiency and yield, with no waste process water generation.

 Asahi Kasei

Plasma discharge strips metal plating from plastics
January 23, 2004
A physical method of separating plastics and metals applied by processes such as plating has been developed in Japan. The new technique, developed by Matsushita, which makes the Panasonic brand of consumer electrical goods, and Kumamoto University uses no chemicals, but instead separates metal coatings from plastics by applying a shock wave and heat from a plasma discharge. The shock and heat are applied to the metal through the air for an extremely short period - 20 µs (1/50,000 of a second) - enabling the metal to be delaminated and removed, while at the same time enabling the plastic to be recovered virtually undamaged.
     The company says the technology can be applied to a broad range of metals and plastics. It enables metals to be recovered at low financial and no environmental cost, and makes it possible to recover plated plastics rather than disposing of them. Matsushita says that alternative techniques to delaminate metal plating from plastic involve dissolving the plating with acid-alkali, or grinding the metal down and then separating the plastic from the metal with a dielectric discharge, but neither method is widely used.
     The company expects equipment using this technology to be produced and released during the year ending March 31, 2006.

 Matsushita

BASF buys US plasticiser business
January 23, 2004
BASF has expanded its plasticiser operations in the USA by buying Sunoco's phthalate plasticiser business. Included in the $91 million transaction are Sunoco's Pasadena, Texas, site with the land, phthalic anhydride, and oxo alcohol manufacturing plants, and the phthalate esters, 2-ethylhexanol, and phthalic anhydride businesses. Sunoco's Neville Island, Pa, site, which is not being acquired, will manufacture plasticisers for BASF under a tolling agreement.
     BASF currently has a plasticiser manufacturing site in Cornwall, Ontario, Canada, and has a manufacturing and marketing agreement with Sterling Chemical in Texas City, Texas.

 BASF

More PE/PP price rises
January 23, 2004
Following its price increase for polystyrenes announced earlier in the week, Dow Europe is to increase the price of polyethylene and polypropylene by Eur 100/tonne on February 1 - which mirrors the increase, also earlier this week, announced by Basell.
 
Demag consolidates its brand and starts Russian assembly
January 21, 2004
The Demag Plastics Group, which was set up in November 2002 with the merger of Demag Ergotech of Germany and Van Dorn Demag of the USA, is now to drop the use of the Ergotech and Van Dorn names on its machines and in company titles, and present an even more united market presence by branding its machines simply Demag. At the same time, Demag has started to assemble machines in Russia, and has appointed a new operating supremo to co-ordinate worldwide manufacturing.
     The Russian assembly plant has been set up at Chistopol in Central Russia and is currently building a single model of 150 tonnes intended to plug the gap in Demag's market leading position in the country which is attracting increasing imports from Asian manufacturers. Demag says that of the 900 new and used machines sold in Russia in 2002, 64 per cent came from Asia, and this proportion is growing. It sees potential in a low cost machine primarily aimed at replacing older KuASY machines which were built in the GDR - coincidentally at the factory which is now Demag's small machine plant at Wiehe - of around 110 to 165 tonnes. Typical customers are either existing customers for low-priced Asian machines, companies who buy secondhand machines, or its own existing customers 'whose procurement policies are highly price-sensitive'.
     The BARS model uses standard components used worldwide - Demag is also 'an Asian manufacturer' by dint of its plants in India and China - and can be serviced alongside German-built machines by Demag's Russian support company Mannesmann Demag Plastservice, which already carries spares. It has a commercial attraction in that a purchase can be treated as a domestic transaction with no exchange control, and payment in roubles. Demag has a target of building at the rate of 100 machines a year within 12 months.
     Demag's new head of operations actually started with the company in August last year, as managing director operations of the Schwaig plant in Germany, and chief operating officer of the Demag Plastics Group. Dr Konrad Duschl's job is to develop the group's machine platform concept for worldwide manufacturing in Germany, the USA, India and China - and now Russia. Among his previous positions he was head of factory planning at BMW's Munich plant and works manager of several assembly sites in South Africa.
     The Demag Plastics Group achieved sales of Eur 315·8 million in 2003, slightly behind the Eur 320 million of 2002 because of a 15 per cent drop in sales by the American company. It took orders for 2,302 machines, which it says gives it 11·3 per cent of the world market, excluding the 'Asian low tech segment'. Total worldwide sales of injection moulding machines last year rose 11 per cent according to Demag's figures. This represents an increase of 7,200 machines sold - and China alone achieved an increase of 6,000. Worldwide sales are put at:
  2002 2003
Western Europe 9,400 9,100
Eastern Europe 1,200 1,700
NAFTA 4,300 4,000
South America 1,200 1,200
China 26,000 32,000
Japan 4,900 6,100
Rest of Asia 6,500 6,900
Rest of World 1,200 900
Total 54,700 61,900
     Demag has also produced figures for the use of all-electric machines with which it forecasts sales to almost double between 2002 and 2005, again with a meteoric uptake by China.
  1999 2002 2005
USA 860 830 1,000
Europe 240 520 850
Japan 2,300 2,500 2,700
China 0 2,000 8,000
Other Asia 850 2,100 2,800
Total 4,250 7,950 15,350

 Demag Plastics Group

Sales ease up but profits soar at Netstal
January 21, 2004
Netstal bucked the trend of a depressed world economy with sales of injection moulding machines in 2003. Its operating profit rose 65·8 per cent from CHF 14·6 million in 2002 to CHF 24·2 million and net profit went up 47·1 per cent from CHF 12·1 million to CHF 17·8 million. These improved profits were on sales up by only 4·6 per cent at CHF 321·8 million (CHF 307·7 million in the previous year) and an orders increase of 8 per cent at CHF 323·7 million.
     In standard machines the company's SynErgy range maintained its market share. Netstal fell back slightly in PET, mainly because of unfavourable currency exchange rates. But in optical disc production increased demand from Asia and the growth in DVDs increased Netstal's world share to 25 per cent, and the company sold 70 of its new all-electric e-Jet machines between May and the end of the year.
     During this year Netstal plans to increase its range, taking the SynErgy series up to 800 tonnes and introducing a range of all-electric machines from 50 to 175 tonnes.

 Netstal

Higher prices for PE, PP, PS and flame retardants
January 21, 2004
Dow Europe is increasing the price of all grades of its Styron polystyrene in Europe by Eur 100/tonne on February 1 because of recent rises in the price of benzene and the continuing tight supply of styrene monomer.
     Polypropylenes and polyethylenes from Basell will cost Eur 100/tonne more from February 1.
     Antimony-based flame retardants are being increased in price by Great Lakes Chemical Corporation because of the higher price of antimony. From January 23 the company's TMS, Timonox, Trutint and Microfine brands of antimony trioxide will cost $550/tonne more in Europe and Asia Pacific, and $0·25/lb more in the USA.

 Dow polystyrenes
 Basell

Improved mPPs start with a melt blown grade
January 21, 2004
New catalysts for its Exxpol metallocene-catalysed polypropylene process have enabled ExxonMobil Chemical Co to develop improved polypropylenes, starting with a grade for melt blown fabrics, but with film and injection moulding grades soon to follow.
     The new Achieve 6936G1 material is described as 'the first metallocene polypropylene designed for meltblown applications'. ExxonMobil says that testing on full-scale spunmelt equipment shows 6936G1 to give improved flexibility in tailoring fabric properties and excellent processing performance compared with conventional polypropylene products. Testing also demonstrates that nonwoven fabrics made from Achieve 6936G1 offer increased barrier properties (10 to 15 per cent greater hydrohead in medical-construction melt blown fabrics); increased comfort from reduced weight and greater air flow; reduced spray impact penetration; the ability to maintain high hydrohead after treatment with alcohol repellents; and FDA compliance for use as articles or components of articles intended to contact food.

 ExxonMobil

Solvay PVC recovery process to be used in Japan
January 21, 2004
A PVC recycling plant using Solvay's Vinyloop process is to be built in Japan following feasibility studies by Kobe Steel. Solvay has entered a joint venture with Kobelco Eco-Solutions - itself the result of a joint venture between Kobe Steel and Shinko Pantec Co - to build the plant, which will operate as Kobelco Vinyloop East Co. Kobelco will own 66 per cent and Nippon Solvay the remaining third. The plant should become active at the end of 2005 and reach 12,000 tonnes/year output in its first stage.
     The Vinyloop process works by dissolving the PVC to separate it from other waste. The plant will reclaim PVC from cable scrap and used agricultural film, and will operate as a pilot plant for the recycling of automotive parts. It is intended to diversify into reclaiming other forms of PVC scrap, such as wallpaper.
     The first Vinyloop plant was opened in Italy in 2002.

 Vinyloop
 Kobelco
 Solvay

Jobs go as Polimoon rationalises Fibrenyle
January 21, 2004
Polimoon is further rationalising Fibrenyle following its takeover of the company in October last year. The Thetford plant is being restructured to focus solely on the manufacture of high density polyethylene products, and now the company has announced the closure of the Norwich pharmaceutical/healthcare plastic packaging plant at the end of August.
     The Norwich factory's injection blow moulding business will move to Beccles in Suffolk, injection moulding to Sutton in Nottinghamshire, and pharmaceutical work to Langeskov in Denmark. Polimoon hopes that 34 of the 91 employees at Norwich will take jobs at Beccles, Sutton or Langeskov. The Thetford restructure will see the loss of 31 of the 68 jobs at the site.
 
New name for pressure pipe PE
January 21, 2004
Dow has devised a separate trade mark for polyethylene used for pressure pipe. It has coined the name Continuum for the bimodal polyethylene it makes for PE 80 and PE 100 pipe and has applied it to two grades so far. Continuum is said to offer substantial improvements in long-term strength, temperature performance, abuse resistance, and resistance to slow crack growth and rapid crack propagation when compared to traditional polyethylene pipe materials.

 Dow
 Dow Continuum

M & G to expand PET output in Mexico and eyes Brazil for investment
January 21, 2004
PET specialist M & G is to expand output of its Altamira, Mexico, plant described as already the biggest single stream PET plant in the world. The plant has a nominal capacity of 275,000 tonnes but has been running at the equivalent of 310,000 tonnes/year for several months. M & G plans to increase this to 438,000 tonnes by early in the second quarter this year by de-bottlenecking.
     The company is also looking to build a plant in Brazil and is waiting for political constraints on investment to be eased. These constraints force the country to import as much as 40 per cent of its demand for PET.
 
Former K-M MD joins SMS
January 12, 2004
The former managing director of Krauss-Maffei Kunststofftechnik, Wilhelm Schröder, today became managing director of SMS Plastics Technology, which incorporates the Battenfeld, Cincinnati Extrusion and American Maplan brands.
     Mr Schröder left Krauss-Maffei suddenly in September 2002 'by mutual and friendly agreement' and was replaced in March last year by Joseph Märtl.
     The former head of SMS Plastics Technology, Dr Helmut Eschwey, left the company in June last year to become chairman of Heraeus Holding. He was succeeded in August by Steffen Burghoff. A statement from SMS says that Mr Schöder will manage the company alongside Mr Burghoff, who is the director responsible for finance.
 
DSM to add TPE-E capacity
January 8, 2004
DSM Engineering Plastics is to increase production of its Arnitel co-polyester elastomer. The company is to expand its Emmen, Netherlands plant by 25 per cent by the middle of this year. This is the second increase in Arnitel capacity in the past five years. After the 1999 increase DSM bought market share for the additional capacity by taking over GE's Lomod business.
     This current increase is said to be to meet rapid growth in demand worldwide.
     The Arnitel range includes both traditional polyether-ester block copolymers and polyester-ether materials for higher temperature use. Applications for Arnitel range from automotive airbag covers and constant-velocity axle joint boots, to energy absorption assemblies and low-noise gears in consumer goods, to films and wraps for medical and textile use.
 
PMMDA nails its colours to the Interplas mast
January 6, 2004
The Polymer Machinery Manufacturers and Distributors Association has put itself squarely behind the Interplas exhibition in 2005, despite the decisions not to attend by two of its members - Engel and Krauss-Maffei - who have in the past been major machinery exhibitors at the show.
     In a statement today forecasting an upturn in the British polymer industry following improved business by its members in last year's last quarter, the PMMDA quotes the Engineering Employers Federation as predicting the likelihood of signs of recovery in the third quarter of this year - although confidence in the market may take time to return. The PMMDA therefore 'regards Interplas 2005 as important to the UK market and ideally placed to welcome the upturn in the sector at that time'.
     The PMMDA has always been the major sponsor of Interplas, its members accounting for a substantial amount of the machinery and equipment stand space. The PMMDA's statement continues: 'In light of recent press announcements from companies declaring their intention not to exhibit at Interplas 2005, the PMMDA continues on its positive approach and will actively promote this important event in the UK market to its members and their UK customers.'
     Commenting on the controversial decisions by Engel and Krauss-Maffei not to go to Birmingham in 2005, PMMDA chairman Peter Kirkham - who is managing director of a company operating in the same sector, Billion UK - said: 'Of course, companies need to continually evaluate their marketing strategies in line with current market trends. The injection moulding market for example, is currently only half the size it was four years ago, and decisions made by some reflect that change'. He added: 'the PMMDA remains committed to the Interplas exhibition'.

 PMMDA

Wellington buys Australian distributor
January 6, 2004
Wellington Holdings, which over the past ten years has transformed itself from a rubber compound and products manufacturer to concentrate on the higher return engineering seals business, has now bought its South Australian distributor. It has paid the equivalent of £197,000 for PH Seal Supplies which for the past 15 years has been exclusive distributor of Hallite seals in South Australia. Hallite already has offices in Sydney, Melbourne and Brisbane.

 Wellington Holdings

Ticona man joins Rapra
January 6, 2004
Rapra Technology has appointed Dr Paul Shipton, previously with Ticona UK for 11 years, as head of its plastics technology consultancy.
 
British company to roof the Olympics
January 6, 2004
The roof of the main stadium at the 2004 Olympic Games in Athens is being made in England. The 24,000 m² roof of the 90,000 seat stadium will be made from 12 mm thick Palram Palsun UV2 Solar Olympic hard coated polycarbonate sheets, made at the Palram Polycarb facility in Doncaster.
     Palram developed the sheet specifically to suit the local climatic conditions. It will reflect more than half of the solar heat energy. Palram is based in Israel, but the bid for the Olympic contract was directed from the Palram Europe office based in the UK. Production begins this month.

 Palram



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