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Rubber chemicals companies fined for operating a cartel December 21, 2005
Four rubber chemicals manufacturers have been fined a total of Eur 75·86 million by the European Commission for running a cartel between 1996 and 2001 - although the Commission says the cartel may have been operating as long ago as the 1970s. The company receiving the largest fine, Bayer, recently announced it was making provisions to pay fines in North America for colluding over prices of some rubber and polyester polyol products.
The four companies fined by the EC are Bayer, Crompton (now Chemtura) and General Chimica. Flexsys was also found guilty but given immunity from fines for providing information which started the investigation, which led to raids on the companies in 2002.
The Commission says the four companies agreed to exchange information about prices and/or raise prices of antioxidants, antiozonants and primary accelerators. One of the participants told the enquiry: 'there was a contact among competitors from at least the mid 1990s, before, during and after every price increase for rubber chemicals - or at least an attempt to have such contact', and another employee of the same company said that the 1998 price increase was 'the most orchestrated and collusive agreement' he ever made.
All four companies had their fines reduced because of their co-operation with the investigation. Flexys co-operated fully and paid no fine; Bayer had a 20 per cent reduction and pays Eur 58·88 million; Crompton Europe, Crompton Manufacturing Company (formerly Uniroyal Chemical Company) and Chemtura Corporation (formerly Crompton Corporation) had their fine reduced by 50 per cent to Eur 13·6 million, and General Quimica and its parent companies Repsol Quimica and Repsol YPF had their fine reduced by 10 per cent to Eur 3·38 million.
Degussa to start making PEEK in the New Year December 21, 2005
Production of PEEK by JIDA Degussa High Performance Polymers Changchun Co in China, the recently formed joint venture between Degussa and Jilin University, is to ramp up rapidly to commercial quantities. The company will have an annual capacity of 1,000 tonnes by the beginning of next year, and Degussa's High Performance Polymers business plans to promote it at the Plast exhibition in Milan in February for global sale. Degussa says that development partnerships with several customers will facilitate a quick market launch.
Permits to produce PEEK were issued by the Chinese authorities a few days ago. Permits have also been issued for the company to make PES.
As we reported last Friday Solvay is also entering the PEEK market by buying the plastics division of Gharda Chemicals of India.
Degussa's ownership is being taken private with its majority shareholder RAG planning to buy out all other existing shareholders.
Rosti to expand in China December 21, 2005
Danish-based injection moulder Rosti is to increase its production capacity in China with the building of a 10,000 m² factory in Suzhou Industrial Park, Suzhou, Jiangsu. The company currently operates from three rented factories, which it says is a costly way to work and gives internal logistics and management issues. And with orders increasing it expects to run out of capacity. Rosti plans to move production from two of the rented factories into its new unit, which is around 8 km from the one rented factory it will keep. The new unit will be ready for production before the end of 2006.
More money for flexible electronics development December 21, 2005
More investment is being poured into flexible electronics firm Plastic Logic. At the end of November BASF staked £1 million in the company in a second tranche of investment which followed £4·5 million of backing from Siemens Venture Capital and Nanotech Partners in January. The November funding of around £9 million included investment from existing investors Amadeus Capital Partners, Bank of America, Dow Chemical, Nanotech Partners, PolyTechnos Venture-Partners, Siemens and Yasuda and brought new money from BASF Venture Capital, Intel Capital, Morningside Technology Ventures and Quest for Growth.
The latest capital injection, from Oak Investment Partners, 'a premier Silicon Valley venture capital firm', adds a further $4 m, bringing total funding in this investment round up to £16 million.
This series C funding will speed the company's move into commercial trials of prototype products and help it to gear up for mass production. Plastic Logic is currently delivering A5-sized 100 ppi SVGA (800 × 600) flexible active-matrix e-paper displays with four levels of greyscale to its lead customers. The thickness of the displays when laminated with E Ink Imaging Film is less than 0·4 mm. E Ink Imaging Film is an electrophoretic display material that looks like printed ink-on-paper and has been designed for use in paper-like electronic displays. Like paper, the material can be flexed and rolled. The film only consumes battery power while the image is updated. The backplane substrate is made from low temperature PET supplied by DuPont Teijin Films which is more flexible and easier to handle than alternatives such as thin glass or steel foil.
Analysts from IDTechEx forecast plastic electronics will be a $30 billion industry by 2015, and could reach as much as $250 billion by 2025.
US private investment firm Apollo Management has made a binding bid to purchase Tyco's plastics and adhesives business. It is paying $975 million and expects to complete the deal early next year.
Tyco makes plastic films, specialty adhesive and tape products and laminated and coated products. These businesses employ around 7,100 people and operate from 43 plants, primarily in North America. The sale includes Tyco's plastics, adhesives, and Ludlow coated products businesses, but excludes the garment hangers business which is to be sold separately. Net revenue last year of the businesses being sold was $1·7 billion.
Lego finds a buyer for Swiss tool plant December 20, 2005
The Lego mould making factory at Steinhausen in Switzerland has been sold to a Swiss consortium which is renaming it Wisi'on Tool. All the employees are being retained and Lego says that the new owners will invest in new machinery and rebuild the factory to handle a wider range of tool manufacturing.
The company announced its intention to sell or close the plant in August. If it could not be sold it would have been shut in January.
In 2002 Lego sold its German mouldmaking plant at Hohenwestedt to Wentworth Technologies of Canada, three years after the sale to Otto Männer of its Au, Switzerland plant.
The Danish toymaker has been beset by increasing costs and competitive pressures from manufacturers of copies of its celebrated construction bricks. It has been transferring both manufacturing and distribution to the Czech Republic and all its Swiss-based production is expected to have moved to Eastern Europe by the middle of next year.
Majority owner of Degussa to buy the rest of the company December 20, 2005
German chemical group Degussa, which makes Plexiglas acrylic, nylon 12, carbon blacks and a mass of additives for plastics and rubber alongside other speciality chemicals, is to become wholly owned by one of its present joint owners. RAG Aktiengesellschaft holds 50·1 per cent of the company through its subsidiary RAG Projektgesellschaft (RPG), and another 42·86 per cent is owned by E ON. E ON has agreed to sell its stock to RPG effective July 1, and RPG intends to make a public offer to other shareholders to acquire their holdings. When this is complete it plans to mount a 'squeeze-out' to mop up remaining shares.
Basell to buy out Shell in French cracker December 20, 2005
Basell is set to acquire the whole of the ethylene cracker at Berre in France in which it has a half share, and also Shell's butadiene business based there. Shell Petrochimie Mediteranee is to sell Basell its 50 per cent stake in Société du Craqueur de l'Aubette which owns the cracker at Berre. With it Basell will buy Shell's butadiene assets at Berre and the the logistics assets associated with the cracker operation in Aubette, Berre and Fos. Shell will continue to operate these facilities on behalf of Basell.
Basell says the acquisition will enable it to integrate the cracker with its PP and PE plants at Berre and the PE plant at Fos and will strengthen the position of Aubette as a strategic site in its polyolefin business.
Fanuc raises its sights on electric machine sales December 20, 2005
Japanese injection moulding machine manufacturer Fanuc has raised its targets for sales of all-electric machines in Europe with a new joint venture company. It has combined with its long-time distributor Mitsui to form Fanuc Roboshot Europe based in Neuhausen near Stuttgart in Germany, and plans to follow this with subsidiary companies in the UK and in France. Mitsui and Fanuc have had a company in the UK selling electric injection moulding machines for some years, currently going under the name Mitsui-FANUC (UK Division) and located in Daventry. This will be renamed Fanuc Roboshot UK from January 1 and expanded with an additional engineer.
In the past, sales of Fanuc all-electric injection moulding machines in Europe were handled by a Mitsui subsidiary, with servicing carried out by a Fanuc subsidiary. The creation of the new Fanuc-Mitsui joint venture will integrate sales and service to improve customer service and support. The company intends to lift its share of the European market, targeting annual sales of 1,200 machines by 2010.
Fanuc built the world's first commercially available all-electric machine, the Autoshot, some 20 years ago by combining its injection moulding know how with its basic CNC and servo motor technologies. A year ago it celebrated the sale of the 20,000th all-electric machine. Its primary market has been Japan, where 90 per cent of machines sold are now all-electric. Asia and the USA have also shown rapid uptake, but in Europe, says Fanuc, the rate of growth of electric machines 'has been unimpressive'. This is changing gradually and all-electric machines now account for more than 10 per cent of the market.
Fanuc's new European company follows similar ventures in Thailand, Malaysia and Russia.
Memory printed on plastic film December 20, 2005
An electronic memory device printed on a plastic film has been prototyped by a Japanese research group. The Organic Semiconductor Devices Group of the Photonics Research Institute of the National Institute of Advanced Industrial Science and Technology (AIST) has produced a device with a 3 × 3 memory array which retains a two-digit drain current on/off ratio for more than 10 days after power is turned off.
The group used a soluble biopolymer material with a bar-like helix structure to create a ferroelectric thin film by changing inter-molecular interactions by controlling the molecular weight and molecular structure of the biopolymer. Then it made a two-terminal device that has the ferroelectric thin film, treated as a dielectric layer, placed between electrodes, and confirmed that the device demonstrates memory capability.
The sale of Tyco's plastics and adhesives business, expected by year-end, is close to completion according to a report in the Wall Street Journal. The paper says that private equity firm Apollo Advisers is close to buying the business for around $1 billion, but that continuing negotiations could still see the deal fail.
New European boss for US bagmaking machinery company December 20, 2005
US-based bag making equipment manufacturer Hudson-Sharp has appointed a new managing dirctor for its European operations based in Belgium. Michele Allamprese has been with the company for 12 years, most recently as director of international sales and marketing.
Extrusion and thermoforming exhibitions postponed December 19, 2005
The Extrusion, Compounding and Additives and Plastics, Forming and Cutting dual exhibition planned for next May in Telford, has been postponed until 2008. Organiser Emap, which also publishes Plastics & Rubber Weekly, says it had not been able to sign up enough key exhibitors, and had also found it was too close to other shows such as Sign UK, Plast06, Chinaplas and NPE. The exhibition has been put back to an indeterminate date in 2008.
Nylon inlet manifolds to cost Ford $millions December 19, 2005
Failures in nylon inlet manifolds moulded over a number of years are likely to cost US car maker Ford tens of millions of dollars. The company has finalised a settlement in a class-action lawsuit - an action in which there may be many plaintiffs suing over similar circumstances - which covered a possible 1·8 million vehicle owners, with an agreement to pay at least $735 to each owner.
The manifolds were fitted to a number of Ford models over the period 1996 - 2002. Plaintiffs claimed that the manifolds were prone to premature cracking, leading to loss of coolant and damage to the engine. In addition to compensating for the cost of damage or replacement of the manifold, Ford is also increasing its warranty coverage to vehicles on which a fault has not yet manifested itself. The likely cost of the action is not known, but Ford has denied one suggestion that it would reach $100 million.
DSM to increase Dyneema capacity yet again December 19, 2005
DSM is to expand its Dyneema high performance polyethylene fibre capacity yet again. In the third announcement this year DSM says it is to spend tens of millions of dollars at its Greenville, North Carolina, USA site, bringing the number of lines there to four, and to nine for the company's total capacity. Dyneema is also produced at Heerlen in the Netherlands and DSM Dyneema is a partner in a HPPE manufacturing joint venture with Toyobo of Japan.
The Greenville plant has so far been focused mainly on personal security and protection applications like lightweight body armour, but by adding extra multi-functional capacity DSM can meet growing demand from all application segments. DSM reports continued demand in areas such as heavy marine mooring ropes, sports applications, and cut-resistant garments.
The new line is expected to come on stream in mid 2007. Construction is planned to start in January.
Solvay to buy PEEK producer December 16, 2005
Solvay is to buy Indian PEEK producer the polymer division of Gharda Chemicals. Gharda makes PEEK using its own patented technology without the use of fluorine monomers, and says that it is cheaper to make but equivalent in properties to the market leading product from Victrex. Gharda is predominantly an agrochemicals company but developed a high performance polymers division within the past 10 years, and also produces sulphone polymers and related monomers. Solvay plans to integrate the business with its Solvay Specialty Polymers business based in the USA which makes sulphone and sulphide polymers, polyamideimide, polyphthalamide, polyarlyamide, polyketone and LCP.
The Polymers Division of Gharda Chemicals has an R & D centre and production plant in Panoli, Gujarat State, with about 180 employees generating revenues slightly over $10 million. Solvay plans to expand PEEK production at the Panoli site as it seeks to establish a strong market position in this material.
The acquisition will give Solvay Specialty Polymers its first industrial base in India where it sees strong local growth for its other materials such as barrier polymers and fluoropolymers. The PEEK market leader Victrex saw its turnover rise 17 per cent to £101·6 million in the year to September 2006. It commercialised 475 new applications in the year, compared with 436 a year ago.
GE/Honeywell - really the last word December 16, 2005
The ill-fated merger between GE and Honeywell which was killed by the European Union in 2001 has finally been laid to rest. The Court of First Instance has upheld the EC's decision to prohibit the merger on the grounds that it would significantly impede effective competition in the markets for aerospace products and industrial systems and deprive customers from the benefits of competition.
Methanol-fed process could make lower cost feedstocks December 16, 2005
A lower cost alternative to crude oil-based processes to make plastics feedstocks is being developed by UOP of the USA and Total Petrochemicals of France. The process converts methanol to ethylene and propylene. It also produces some heavier olefins which themselves can be reduced to propylene and some ethylene.
The two companies are planning to build a demonstration plant at Total's Feluy, Belgium, complex, scheduled to be working in 2007. This will consist of a UOP/Hydro methanol-to-olefin (MTO) process unit and a Total Petrochemicals/UOP olefin cracking process unit. The integrated plant will feed an existing, large-scale polymerisation pilot plant. UOP is also involved in MTO joint development with Hydro of Norway, which has operated an MTO demonstration unit in Norway since 1995.
Sharp plans to paint plastic products with plant-based paint December 16, 2005
A paint made from corn starch has been developed for plastics parts in consumer electronics by Sharp Corporation of Japan. Sharp and Kansai Paint Co have been working on the concept since 2004, and its first use will be on the stands of Sharp's Aquos televisions in the spring of next year. This will further improve the green credentials of the Aquos: its cabinet is made of non-halogenated fire resistant materials and the stand incorporates recycled plastics.
Sharp also has an aim to use starch-sourced plastics in its products from next year by blending polylactic acid (PLA) with recycled polypropylene.
European funding to increase extrusion output December 16, 2005
Rapra Technology is part of a 14-strong European consortium that has secured Eur 1·4 million of EU funding for research into the use of supercritical CO2 as a process aid in extrusion. Further funding from other organisations in the consortium brings the research budget up to Eur 2·51 million. Other organisations in the consortium include Presearch of the UK, Queen's University Belfast, Aimplas from Spain, Yelkenicilier from Turkey, AGOR from Germany, Cesap from Italy and the Spanish companies Plastire and Reboca.
The Freeflow project aims to increase extrusion output rates, reduce processing temperatures and reduce energy consumption. It will develop a prototype extruder that will allow full commercial development of the process. During the initial stages work will be undertaken to determine the general process requirements which will lead to the selection of the most appropriate polymers and processing equipment to permit maximum plasticisation with acceptable final product performance.
The results of the work will be communicated through EU bodies that are members of the consortium such as the European Plastic Converters in Belgium, Promaplast in Italy, AVEP in Spain, PAGEV in Turkey and the British Plastics Federation in the UK.
Increased business sparks investment at Perrite December 16, 2005
New contracts for a speciality compound used to maintain oil temperature and flow rate in flexible pipes and risers in deep water oil applications will bring a £1 million investment in a new extrusion line at JGP Perrite's Warrington plant. Perrite is a British Vita company, and the technology for the compound was bought in by British Vita with the Synlon business in 1998, which was subsequently incorporated into JGP Perrite. Perrite supplies the material to Technip, an international company specialising in oil extraction processes.
Claro to increase production space December 16, 2005
Specialist plastics machining company Claro Precision Engineering is to increase production space at its Knaresborough site. This will house, among other equipment, a CNC machining centre enabling the company to mill components up to 1,500 mm.
More capacity for water soluble film December 16, 2005
Production capacity at soluble film producer MonoSol AF in Hartlebury, Worcestershire, is to be increased as part of an expansion plan by its US-based parent MonoSol. MonoSol AF, formerly Aquafilm, makes water soluble laundry bags and detergent and packaging films. MonoSol in the US has recently moved its headquarters, making room for an expansion of its laboratory. With that relocation complete it plans to turn its attention to the UK expansion, which will include a new blown film line.
Development focus on big components December 16, 2005
GE Plastics is installing a number of large scale processing machines in its development laboratories with the emphasis on large automotive parts such as body panels and glazing. A Krauss Maffei 2700 MX 2,700 tonnes injection moulding machine has been installed at Bergen op Zoom in the Netherlands, and a similar machine is currently being installed at the laboratory at Pittsfield in the USA. A Geiss thermoformer with a 1,500 × 1,250 × 550 mm capacity and twin sheet forming capability will be installed at Bergen op Zoom in January, and this will be followed by a two component injection moulding machine in the 750 - 1,500 tonnes range later in the year.
GE sees such development facilities as a better investment for supporting its customers than meeting them at trade shows, and has confirmed that it will not be showing at the next NPE exhibition in the USA, nor at K2007 in Germany.
The big K-M machines are capable of injection-compression which GE sees as bringing important benefits to automotive components as it is one of a limited number of processes for creating large, optical-quality parts for glazing. It will also be used to produce body panels for testing in terms of impact, paintability, stiffness and strength, surface appearance, and dimensional accuracy. In addition to GE's established engineering materials used for body panels and glazing, the machine will help evaluate a new series of high modulus ductile materials made with proprietary nano-filler technology which offer the potential to reduce gaps between automotive body panels through increased stiffness and lower coefficient of thermal expansion.
The new thermoformer will be used to develop applications for sheets of GE engineering plastics and also composites from Azdel. One line of research will be into 'first surface' components, with the surface appearance improved by generating a resin-rich surface through localised heating of the tool with in-tool induction heaters. Coincidentally, another 2,700 tonne injection moulding machine has become available for development trials, this one at Husky's technical centre in Coventry. The Quadloc QL2700 machine with an RS155/145 injection unit will be available for moulding trials of large components such as automotive bumpers and instrument panels and will also be used for training, tooling and trouble-shooting. The installation includes a Husky Tracer robot, as well as hot runner controller, ancillary moulding systems and materials handling equipment intended to allow Husky to replicate the customer's process conditions.
The Quadloc system also enables injection compression which can reduce shear stresses on materials, melt push-through during tissue overmoulding, film elongation in film overmoulding, and shearing or shortening of glass fibres in reinforced materials.
BASF emphasises specialities December 16, 2005
BASF has strengthened its engineering plastics business by buying customers from Lati's North American operation and setting up a new business unit for specialty plastics. It has also appointed a new head for its styrenics operations.
Lati is an Italian specialist compound manufacturer. The sale to BASF, which does not involve any transfer of production facilities or personnel, gives BASF access to Lati's customers for nylon 6 and 66, PBT and acetal compounds, worth 'in the low double digit million dollar' annual sales range. This is BASF's fourth engineering plastics acquisition in the last three years. In November this year it bought German compounder Leuna-Miramid and in 2003 it acquired Honeywell's global engineering plastics business and Ticona's nylon 66 business.
As well as expanding its engineering plastics business by acquisition, BASF is also investing in new plant in Asia. It completed the expansion an existing compounding plant in Malaysia in the middle of this year, is in the process of building a compounding plant in Shanghai, China, and a joint venture with Toray to produce PBT in Malaysia is scheduled to start production at the beginning of 2006.
The new global business unit Specialty Polymers & Specialty Foams brings together products which have particular properties that distinguish them from high-volume standard plastics. These include thermoplastics such as Terlux MABS, Luran S ASA, Terblend N PA/ABS, Terluran HH high-temperature ABS and Styroflex SB; the specialty foams Basotect melamine resin foam, Neopolen EPP and EPE; Palusol alkali silicate sheet; and the biodegradable materials Ecoflex and Ecovio.
What distinguishes these materials from standard products is that they are not simply supplied in bulk, but may need additional services such as technical support or specialised coloration. BASF says that products within this definition have a higher growth rate than standard plastics - at least 8 per cent annually - hence the establishment of a special business unit to support them. Target annual growth for the new business unit is 10 per cent.
The new business unit has been trademarked PlasticsPlus.
The setting up of PlasticsPlus follows a period of around four years during which BASF has reduced the diversity of products from its Styrenics Division to achieve greater economies of scale. The architect of the streamlining operations was Dr Fred Baumgartner who took over the Styrenics Division in August 2001. He is now moving to head the Inorganics Operating Division from January 1, and his place will be taken by Hans Reiners, who has been in charge of the Agricultural Products Division since 2001. Other changes to BASF management of its polymer businesses announced today include:
Dr Martin Brudermüller, head of the Functional Polymers division, to become director in charge of Asian business. He is succeeded by Dr Markus Kramer, group vice president of the Acrylic Monomers & Superabsorbents global business unit.
Jacques Delmoitiez will become president of the Polyurethanes division in Brussels on the retirement on May 1 of Jean-Pierre Dhanis.
The supervisory board of BASF Coatings will be asked to elect Raimar Jahn, president of Performance Polymers in Frankfurt, as successor to Jean-Pierre Monteny, president and chairman of the board, who will retire in June. Dr Harald Lauke, president of Regional Functions & Market Efficiency Asia Pacific, will succeed Raimar Jahn as head of the Performance Polymers division. In turn, he will be succeeded by Dr Tilman Krauch, group vice president of the Polyamide & Intermediates global business unit.
New chemistry simplifies acrylic block copolymers December 16, 2005
New block copolymerisation chemistry has been made available commercially by Arkema to solve problems with controlled radical polymerisation. The new BlocBuilder technology - a nitroxide-based reaction controller and a free radical initiator combined in one molecule - is said to be suitable for a wide variety of monomers, most notably acrylates with which it makes acrylic block copolymers 'easily and rather inexpensively'. In most cases, BlocBuilder technology is compatible with existing polymerisation reactors and processes, so that capital investment is minimized.
Arkema says that while many companies have investigated the use of controlled radical polymerisation for years as a means to develop novel copolymers with tailored end-use properties, discoloration, odour, metallic by-product removal, slow kinetics and incompatibility with reactor metallurgy have prevented commercialisation. However, laboratory tests and customer trials using BlocBuilder have proven the general ability of BlocBuilder technology to overcome each of these obstacles.
BlocBuilder is being promoted for use as three types of product: a polymerisation initiator/controller for polymer producers; macro-initiators, which are intermediates in the production of block copolymers; and customised block copolymers developed for polymer formulators. The next product based on BlocBuilder technology to be introduced by Arkema is the FlexiBloc living polymer, a telechelic polymer product that functions as a macro-initiator or prepolymer. It has reactive end-groups so it can be further polymerised to produce copolymers of various architectures. Arkema can also create custom block copolymers using BlocBuilder and examples of applications include adhesives, superabsorbents, flow modifiers, personal care products, medical devices, and epoxy tougheners.
Simplified rapid test for ESCR December 16, 2005
A simplified method of testing environmental stress cracking resistance has been developed by SABIC as an alternative to long term stressing of a notched bar in a fluid at an elevated temperature. SABIC says the conventional methods have disadvantages in terms of degradation of the surfactant and variation in the notch formation which can influence the results, the relatively high long term standard deviation, and the long measurement time needed.
SABIC Europe's R & D department has developed a method of estimating the slow crack resistance of polyethylene using a simple tensile test. By taking into account molecular and morphological influences on slow crack propagation it has been shown that the same phenomena guiding strain hardening in a simple tensile test curve also determine the failure initiated by slow crack propagation.
The new method needs no notch nor fluid, has very low standard deviation, is quick, and SABIC says is a good estimate of internal pressure test results for pipe grades.
Netstal claims electric moulding machine market lead December 16, 2005
According to Netstal there were 570 all-electric injection moulding machines built in Europe in the first three quarters of this year, and by virtue of its own production of 174 machines - both standard machines and e-Jet optical disc machines - the company is claiming a market share of 31 per cent and says it is 'likely to be Europe's leading producer in this category'. The likes of Ferromatik Milacron and Engel may consider the gauntlet thrown.
To its credit, Netstal has sold 50 of its Elion machines within a year of their introduction and since its introduction in 2003, more than 400 of the e-Jet model.
DuPont to invest in Singapore December 16, 2005
Ever-growing demand for high performance products in Asia Pacific is behind two investment plans from DuPont, which is to build high temperature nylon and polyimide stock shapes facilities in Singapore. The Vespel polyimide shapes plant is due on stream in 2007, to be followed two years later by the Zytel HTN facility. DuPont currently makes Vespel in the USA, Belgium and Japan, and HTN at two plants in the USA, the newest of which at Richmond in Virginia has only recently come on line.
Lanxess streamlines polybutadiene rubber production December 16, 2005
The greater flexibility achieved by Lanxess at its American polybutadiene rubber plants by making their output interchangeable has enabled the company to consolidate its manufacturing lines from four to three. The plant, at Orange in Texas, can produce SSBR, LiPBR and NdPBR on the same lines, giving better utilisation of raw materials and energy.
Netstal man to head Euromap December 16, 2005
Bernhard Merki, chief executive of the Netstal Group, succeeds Ulrich Reifenhäuser (managing director of Reifenhäuser) as president of Euromap. Luciano Anceschi, managing director of Tria, has been re-elected as vice president. Bernd Knörr, managing director of the Plastics and Rubber Machinery Association within VDMA, has been confirmed as secretary general.
Ex Demag chairman joins Chinese manufacturer December 16, 2005
Former Demag Plastics Machinery chairman Professor Helmar Franz, who left the company in March, has joined Demag's former Chinese partner - Demag bought the 40 per cent it didn't own during November - in injection machine production Ningbo Haitian Group as executive vice president, effective January 1. His job will be to develop Haitian's market position both in China, and globally.
RTP sets up in China December 16, 2005
American speciality compound manufacturer RTP Company has opened a manufacturing plant in China. It has set up a wholly owned subsidiary in a 16,000 ft² plant at Suzhou Industrial Park near Shanghai. This is RTP's second Asian plant. In 2002 it opened a factory in Singapore.
Owens Corning to buy Japanese composites business December 16, 2005
Owens Corning is to buy Asahi Glass's composites business, including a Japanese glass manufacturing plant near Tokyo. The Ibaraki plant was built in 1970 and introduced a direct melt process provided by Owens Corning. Japan is a growth market for Owens Corning and Asahi's composites business will support the growth of customers in the automotive, consumer and electrical, building and construction, and infrastructure markets.
The transaction is expected to close in the second quarter of 2006. Key patents, product formulae and innovative technologies were an instrumental part of the agreement. Owens Corning says that combining these new technologies with its own will give it a broader range of composites products.
Toray to make more carbon fibre in France December 16, 2005
Japanese carbon fibre manufacturer Toray Industries is to expand production capacity for Torayca PAN-based fibre at its French subsidiary Societe des Fibres de Carbone (SOFICAR).
Toray plans to build a firing line with an annual output capacity of 800 tonnes to go into operation in August 2007. This will increase carbon fibre capacity at SOFICAR to 3,400 tonnes, boosting the Toray Group's capacity to 13,900 tonnes.
Toray estimates global demand for PAN-based carbon fibers at about 25,000 tonnes this year, rising to 34,000 tonnes by 2008.
New boss at 3T December 16, 2005
Rapid prototyping and tooling specialist 3T has a new chief executive. Dr Ian Halliday has joined the company to replace Tim Plunkett who left in the autumn. Dr Halliday has extensive experience in rapid prototyping and tooling, including the set-up and management of a number of R P & T facilities in the UK and Europe.
Degussa in JV to make LCD backlights December 16, 2005
Degussa and Taiwanese company Forhouse Corporation are to set up a joint venture to make acrylic compounds for backlight units for TFT-LCD flat panel displays. The 51 per cent Degussa owned company will start operations in January with the aim of building a 40,000 tonnes plant to make optical grade compounds, with production starting at the end of 2006. The plant is likely to be built in Taiwan.
Forhouse reckons to be one of the leading manufacturers of lighting modules for flat-screen monitors and has been making optical grade extruded sheet material for a year or so. It sees the deal with Degussa as a further step in backwards integration. For Degussa it brings closer contact with end user markets which can be fed back into product development.
Ciba ties up silver antimicrobial technology December 16, 2005
Ciba Specialty Chemicals has acquired exclusive access to antimicrobial technology based on high porosity elemental silver through a new marketing co-operation with Bio-Gate Bioinnovative Materials of Germany. As well as material technology the deal gives Ciba access to Bio-Gate's testing method for screening antimicrobial efficacy and for quality assurance of antimicrobial products.
Hygate antimicrobial technology is tailored for applications such as plastics used in food processing, fibres for textiles and specialty industrial hygienic coatings and Hygentic metallic silver technology covers the growing demand for safe, antimicrobial medical devices as a means to reduce infection risk in urology, critical care, and wound care. Ciba Expert Services will offer Bio-Gate's Numetrika antimicrobial efficacy testing technology, worldwide. The method, which was recently granted a first-of-its-kind accreditation at a German medical products testing laboratory, brings enhanced throughput, automation, consistency and reproducibility to antimicrobial testing said not to be possible with traditional methods.
Scottish bag tax put on hold December 6, 2005
The proposed Scottish plastic bag tax, which reports this past weekend had said would be rejected today by the Scottish Parliament (see yesterday's report) has not been killed, but put on hold for another nine months pending clarification.
The Parliament's Environment and Rural Development Committee believes that the bill is not ready to proceed until Mike Pringle MSP (the member in charge of the bill) and Ross Finnie MSP, the Minister for Environment and Rural Development, provide further information. Committee Convener Sarah Boyack said: 'The proposal seems very simple, but we found that the possible impacts of the levy are actually very complex on a whole range of issues. Whether the bill would result in a positive net environmental impact is hotly disputed. The way the levy is to be administered also raises concerns about the costs and complexity. These issues make it difficult to judge whether this proposed levy scheme will be able to achieve its aims.'
The committee noted a number of areas where further work is required, including a need to consider the potential job losses and economic impact in both the plastic bag industry and some retail sectors as part of the Executive's green jobs strategy; improvements to the administration of the levy to make it more centralised and cost-effective; and clarification of whether VAT would be imposed on the levy, which creates 'huge potential confusion'.
The committee has requested reports from Mike Pringle and the Minister by August 31, 2006 and it will then make its final recommendation. That would give time to allow the bill to complete its process before the Parliament is dissolved for the 2007 Scottish elections.
Tool leasing scheme from the GTMA December 6, 2005
A tool leasing scheme has been started by the Gauge and Toolmakers Association to help both toolmakers and moulders. The scheme is financed by Barclays Asset Finance and will be available during next year after a three month pilot trial in the South East.
The GTMA identifies three major benefits for the scheme:
It improves toolmakers' cash flow, 'avoiding the cash flow problems caused by the industry's very slow payment culture'.
It allows the customer to amortise the cost of tooling over several years and could also include arrangements to cover maintenance of the tool.
It provides potential marketing advantage to both supplier and purchaser by reducing project risk and cost of finance, both of which are currently factored into quoted prices.
Bayer and Lanxess get ready to pay US antitrust fines December 6, 2005
Long-standing antitrust actions in North America are about to cost Bayer and Lanxess between them Eur 337 million, and there could be more to come. Bayer - before the split off of Lanxess - has been charged with unlawful collusion on prices for some rubber and polyester polyol products over a number of years. Some fines have already been paid, and Bayer has now reached agreement on other actions for which it is setting aside a provision in the fourth quarter of this year of Eur 275 million. Lanxess has agreed to bear 30 per cent of the cost of Bayer's liabilities for antitrust actions related to its rubber business, which is now part of Lanxess, and is setting aside Eur 61 million. Bayer says that it expects further governmental proceedings and civil actions to bring 'additional
expenses that may also be of material importance to the company'.
DSM to invest further in Chinese composites December 6, 2005
DSM Composite Resins is to expand its production site at Xinghuo near Shanghai in China with a glass fibre sizing plant due to start up in the second half of next year. DSM says it is world market leader in sizings and binders with its Neoxil product, and this $8 million investment will increase its capacity by half. The new plant will primarily serve the Chinese market, but its output will also be sold throughout Asia.
DSM estimates the annual growth in the Chinese glass fibre market at 10 - 15 per cent compared with 5 per cent globally.
Borealis to move to Vienna December 6, 2005
The recent change in ownership of Borealis to 65 per cent by the International Petroleum Investment Company of Abu Dhabi and 35 per cent by OMV Aktiengesellschaft, Austria's oil and gas company, is to be followed by a move of the company's head office from Copenhagen in Denmark to Vienna in Austria by next summer.
Plastic bag tax to be rejected by Scots December 5, 2005
The proposed 10 p tax on plastic bags in Scotland is expected to be abandoned tomorrow. The tax, a punitive measure to reduce litter and landfill, was proposed by Scottish MP Mike Pringle, but the bill has received little encouragement in its passage through the Scottish Parliament. According to reports leaked into the press over the weekend, the bill will be rejected by the Parliament's Environment Committee tomorrow.
MPs opposed the tax because they had felt it unfair and disadvantaged the poor, supermarkets opposed it for obvious reasons, and environmental groups hearing of the anticipated rejection felt let down. The Observer quoted Duncan McLaren, chief executive of Friends of the Earth Scotland as saying 'While only making up a small percentage of the overall waste stream, plastic bags are a highly visible and easily understood symbol of a throwaway culture that all sections of the community come into contact with', and he added that Friends of the Earth would press Chancellor Gordon Brown to introduce such a tax across the UK. While Scottish MPs are rejecting enforced charges for plastic bags, do-it-yourself retailer B & Q is considering introducing charges across the UK. The company charged Scottish customers 5p per bag in a pilot scheme last year and cut the number of bags used by 82 per cent. It is now planning a pilot scheme in the North East of England, and if this is successful it will introduce the charge across the UK. Customer research conducted in Scotland showed that about 73 per cent of people thought the scheme was a very good or good idea, 12 per cent were neutral, 11 per cent thought it was a bad idea and only 1·8 per cent thought it was a very bad idea. B & Q, which gives away more than 70 million bags a year, donates the revenue from the bag charge to the Keep Britain Tidy charity.
More stand space available for the next Interplas December 5, 2005
More exhibition space is being made available for the next Interplas exhibition in 2007. The original plan was to put the rescheduled exhibition in hall 9 at the NEC which only has around 5 - 6,000 m² net space, but Reed Exhibitions says support for the event has been strong enough to move it to hall 1, giving nearly double the available space. An additional benefit is that hall 1 is one of the four halls (1, 2, 4 and 5) booked for the Total Packaging and Processing exhibition making it easier for visitors to move between both exhibitions. Total is the exhibition set up in 2004 by combining Pakex, the PPMA (Processing and Packaging Machinery Association) Show, Eurochem and Interphex.
The switch from the originally scheduled October 2008 date to May 15 - 18, 2007 followed the reduced support for this year's Interplas and moved the event from a stand-alone exhibition to a co-located event with the Total show. The dates also coincide with the annual Nepcon electronics manufacturing exhibition.
When the new dates were announced there was some concern about the proximity to K2007 which will be held in Düsseldorf on October 24 - 31. But Reed says that the Total exhibition has always been held in the same year as K, and there are companies which exhibit at both without problems, so there should be no difficulties for Interplas exhibitors.
Swiss-owned bearings manufacturer bought by British company December 5, 2005
Plastic bearing manufacturer Sarnatech BNL has been taken over by Plastics Capital, a publicity-shy manufacturing business with two other manufacturing subsidiaries. Production will continue with the full workforce at the Knaresborough site under the name BNL (UK). The US and Japanese subsidiaries will change their names to BNL (USA) and BNL (Japan).
BNL (Bearings Non-Lube) was set up in 1970 to make plastic bearings with advantages over traditional bearings such as anti-static, low friction, corrosion and chemical resistance, reduced weight and inertia and no requirement for lubrication. It was bought in 1995 by the Swiss company Sarna Polymers Holding. In 2002 Sarna started a rationalisation programme to concentrate on its Sarnafil business making waterproofing materials for the building industry and its Sarnamotive automotive products business. This has since been tightened with the disposal of the automotive products business, leaving Sarnatech BNL as the remaining non-Sarnafil business in the group. The sale to Plastics Capital completes Sarna's rationalisation.
Sarna Polymer Holding is itself in the throes of being taken over by Sika of Switzerland, which proposes to run the Sarnafil Division's sealing business as an independent unit, and to integrate its own polymeric sealing membrane business into this unit.
Plastics Capital is aiming to remain anonymous in terms of its takeover of Sarnatech BNL. The announcement of the Sarnatech BNL takeover described it as 'a plastics products manufacturing business that focuses on speciality industrial products, built by acquisition over the last three years'. It has not been available to say what its other interests in plastics are beyond producing 'a range of technical extrusions for the rubber hose and cardboard packaging industries'. Around 70 per cent of its sales are in exports to more than 50 countries. Plastics Capital appears to have other associated companies including Capricorn Ventures International, Capricorn Associates and Plastics Capital Bearings sharing the services of Plastics Capital chairman Faisal Rahmatallah, who is also chairman of insurance broker Broker Network Holdings.
Hexcel seeks Airbus business with European composites investments December 5, 2005
Hexcel Corporation is expanding its composites pre-preg production in Europe to meet growing demand for aerospace applications, particularly from Airbus Industries. The company is investing $20 million at its sites at Duxford and in Spain, Germany and France.
Hexcel has already begun expanding its formulated resin capability at Duxford and has added a pre-preg line at its plant in Parla, Spain. Both will be fully operational in March next year. Additional pre-preg capacity is to be installed in Stade, Germany and Nantes, France, where Hexcel will set up pre-preg production facilities close to Airbus locations. In November Hexcel announced the building of a carbon fibre plant in Spain and expansion of its US capacity.
Polimoon adds Polish packaging December 5, 2005
Nordic packaging group Polimoon, which bought Fibrenyle in 2003, has acquired a majority stake in PPH Lima-Pol of Poland. The company has a turnover of more than Eur 13 million, with annual growth of around 20 per cent supported by strong demand for personal care packaging from international blue chip companies including brands like L'Oreal, Alberto Culver and Avon which have invested heavily in filling operations in Eastern Europe and Russia. Lima-Pol's packaging is particularly focused on cosmetics, making a variety of cream jars and personal care bottles using several technologies.
The enlarged Polimoon Group will have combined revenues of Eur 325 million, with 2,250 employees in 12 European countries.
Italian engineering plastics manufacturer links with Indian group December 5, 2005
Italian nylon and polyester manufacturer RadiciGroup has formed a joint venture with an Indian company to develop nylons in India. Its parent company RadiciNovacips owns 60 per cent of RadiciPlastics Modi P, set up with Modi Intercontinental, part of the industrially diverse Modi Group. The alliance will give RadiciGroup a gateway to the Indian market, and will enable Modi Group to further diversify its activities and the breadth of products and services it can offer. In particular for Radici, it gives potential to support its existing worldwide customers in the automotive market: the Indian automotive industry is growing at around 10 per cent a year in terms of numbers of vehicles produced.
The agreement, which will be purely commercial at the outset, also provides for a local production unit to be started up with a RadiciPlastics licence. Its aim will be to reach an annual turnover of around Eur 10 million within the next three years, with a combination of locally-produced standard products and high-range materials manufactured in Europe.
Lanxess sells another business December 5, 2005
Lanxess has sold iSL-Chemie of Kürten in Germany to Berlac of Sissach in Switzerland. iSL makes colour pastes and speciality coatings for plastics and was a subsidiary of Rhein Chemie Rheinau. It has been sold because it was not among Rhein-Chemie's core activities in rubber chemicals, and is the second business to be sold by Lanxess as part of its process of portfolio rationalisation.
iSL is expected to have sales of Eur 25 million this year. Berlac is paying around Eur 20 million, and the sale is effective immediately.
BASF internet game raises cash for African school December 5, 2005
The internet game used by BASF to make people more aware of the uses of polystyrene in the 75th anniversary year of the material has raised Eur 37,000 for a children's charity. Points scored by players were exchanged for cash, and BASF has donated it to the school in the SOS Children's Village in Natitingou, Benin, Africa. Players from 40 countries took part in the game with donations being made 1,370 times in a month.
Cannon sets up its own shop to sell PU moulding machinery December 1, 2005
Cannon has set up its own company to distribute its polyurethane moulding equipment in the UK and Ireland following the closure of its long term agent ESU. ESU went into administration in October as a casualty of the declining market for plastics machinery in the UK.
The new company, entitled Cannon Solutions (UK), started operating today out of the Cannon Viking plant at Stretford in Manchester. Some eight or nine of 20 or so employees from ESU have moved to the new company including sales director John Davies, technical director Ian Froehlich and marketing and sales coordinator Beverley Cheyne.
ESU - originally Engineering Services Urethanes - was set up in 1971 as the UK agent for Cannon's PU machinery and over the years added other related agencies and started building simple presses which it eventually supplied to other worldwide Cannon agents. It became one of the major PU moulding equipment suppliers in the UK, but was not able to sustain itself against today's market conditions. Cannon has also centralised its operations in the former Soviet republics by setting up Cannon Eurasia in Russia. This has a staff of ten providing technical and marketing assistance for Cannon's polyurethanes, composites, thermoforming, moulds, aluminium, energy, ecology, and electronics operations. The company will be able to sell original Cannon equipment and spare parts in Roubles, already cleared from Customs procedures: goods will be delivered from a Russian stock or shipped directly from the group's Italian and English factories.
More UK job losses at Huhtamaki December 1, 2005
The latest rationalisation move by Finnish packaging giant Huhtamaki is to halve the staffing at its Portadown plant in Northern Ireland. The company's two-year restructuring plan has led to the closure of its Leeds and Skelmersdale plants and a plant in Germany, and in the summer it warned of further possible closures over the next two years.
Today it began negotiations with unions at Portadown on job cuts affecting 90 of the 190 employees there. The company says that it will continue to make rigid food packaging products at Portadown, supported by its Gosport plant.
Shell to stop polyols production at Carrington December 1, 2005
Shell is to close its Caradol polyether polyol facility at Carrington in Machester in 2007. The closure is part of a plan to centralise European production of polyols and ethoxylates (chemicals used in detergents, shampoos and other personal care and industrial products also made at Carrington) and improve the utilisation of its plants at Wilton on Teesside and at Rotterdam in Holland.
Production of polyols will move to the polyols facility at the Shell Pernis complex in Rotterdam, which will be upgraded to take on the additional capacity. Ethoxylates production will move to the Shell facility at Wilton. The company stressed that the restructure is intended to maximise value from its European facilities and is not linked to performance at Carrington, 'which has continued to be strong in challenging times'.
Husky opens second Chinese hot runner plant December 1, 2005
Husky has opened a second hot runner manufacturing plant in China. It already makes hot runners in Shanghai and has now opened a plant in Shenzen, which gives it easier access to its growing customer base in the Pearl River Delta.
Husky has identified a particular requirement among Asian moulders for quick delivery finish-to-order (FTO) systems with lead times of two weeks or less combined with simplified ordering and low cost. Its Chinese-built hot runner systems meet these requirements. Ordering an FTO system involves a one-page form simply asking for pitch, L-dimension, nozzle, plate size and polymer information, along with any required logistical information. Configuring an FTO hot runner requires just nozzle size, gating style, manifold configuration and a compatible mould-frame size for plate selection.
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The PEEK market leader Victrex saw its turnover rise 17 per cent to £101·6 million in the year to September 2006. It commercialised 475 new applications in the year, compared with 436 a year ago.