Uday Turaga spoke earlier this week at the plenary session of the 2021 SPE International Polyolefins Conference and shared research and insights from ADI Chemical Market Resources on how plastics recycling changed after COVID-19. Watch the recording now >>
Key Chemical Industry Drivers
GDP growth across major economies has recovered and some economic indicators are showing signs of modest recovery
Global GDP growth contracted by 4.2% in 2020
Auto sales have shown growth but Purchasing Manager’s Index witnessed a drop in January across most economies
About ADI Chemical Market Resources >>
Select Industry News Highlights
BASF to procure renewable electricity for their sights in Texas
In an agreement that highlights increasing ESG investments in the chemical industry, BASF has contracted with EDF Energy to purchase nearly 35 MW of electricity from its wind farm in Texas under a power purchase agreement (PPA). The supply will start in June 2021 and covers 25MW for BASF’s Verbund facility in Freeport and 10 MW for its Pasadena facility. BASF had recently signed another PPA worth 55 MW power for its Freeport site with EDF Renewables’ Space City solar project in Wharton, Texas, that is expected to begin construction in summer 2021 with supply starting mid-2022.
LG Chem to shift to renewable energy to power its plants
In a step towards achieving their carbon neutrality goals, LG Chem has announced plans to fully run its nitrile butadiene rubber (NBR) plant in Yeosu on renewable energy this year. The company will procure 120 gigawatt-hours (GWh) of renewable energy through the Korean Renewable Energy 100 (RE100) system called “Green Premium” Program. The RE100 converts 100% of the electricity used by companies into renewable energy such as solar and wind power. Green premium program in Korea allows renewable electricity consumers to get RE100 certification if they pay a green premium to the Korea Electric Power Company (KEPCO).
Shintech North America to expand PVC facilities in the U.S.
A wholly owned subsidiary of Japan-based Shin-Etsu Chemical Co. Ltd., Shintech plans to invest $1.3 billion to expand its PVC facilities at Plaquemine, Louisiana. Shintech is already scheduled to start-up a new 290,000 tons per year PVC plant by Q2 2021 which is expected to address the current situation of tight supply. The announced expansion is expected to increase the capacity of vinyl chloride monomer (VCM) and PVC by 590,000 tons per year and 380,000 tons per year, respectively, by the end of 2023.
Dow recently announced the first large-scale commercial use of its recycled plastic-based resin, AGILITY CE
Dow’s AGILITY CE resin, introduced in late 2019, is based on low-density polyethylene (LDPE) which is manufactured using 70% post-consumer recycled material. Spain-based film converter Plastigaur is using the resin in its collation shrink films which are used in the transportation of cans or PET bottles. Dow reported that the final film developed by Plastigaur ultimately contains 50% recycled materials which they claim will result in a carbon emission reduction of 25%.
Air Liquide signs a long-term supply contract with BASF for the latter’s battery material plant in Germany
Air Liquide will invest around $48 million to construct an air separation unit (ASU) at BASF’s battery material plant in Germany. The ASU is expected to be operational in 2023 and will also produce liquid products for the industrial merchant market. BASF’s battery materials plant is expected to produce components for 400,00 electric vehicles annually.
Sumitomo Chemical plans to establish a polypropylene (PP) compounding plant in Poland
Sumika Polymer Compounds Poland, a subsidiary of Japan-based Sumitomo Chemical, has announced plans to build a 30,000 tons per year PP compounding facility PoznaA in Poland. The plant is expected to start operations in 2022. The short glass fiber-reinforced PP compounds that the company plans to manufacture at the new plant contain 60 – 100% recycled PP. With increasing pressure from the European Union to drive sustainability and share of recycled plastics in products, the plant will help Sumitomo Chemical support ESG goals in automobile and electric manufacturing markets in the region.
AkzoNobel decides to no longer pursue the Finnish coatings manufacturer, Tikkurila
AkzoNobel had placed the bid at $37.65 per share. When PPG placed a bid that was 8.8% higher than AkzoNobel, valuing Trkkurila at $1.83 billion, AkzoNobel decided to withdraw from the race.
Russian chemical major Kazanorgsintez plans to build a new polyethylene-vinyl acetate plant
Kazanorgsintez plans to build a 100,000 tons per year polyethylene-vinyl acetate (PEVA) plant, to be operational by 2025. The company has selected Sumitomo Chemical to license their technology. The new production plant will essentially replace an existing 13,000 tons per year plant.
SIDPEC selects Honeywell for their petrochemical complex expansion in Egypt
Egypt-based Sidi Kerir Petrochemicals Company (SIDPEC) has selected Honeywell technology to upgrade their petrochemical complex in Alexandria, Egypt. The complex currently produces ethylene and polyethylene for the Egyptian market. The upgrade will include the expansion of the complex to include propylene and polypropylene production.
Covestro China is planning a new polyurethane dispersions (PUDs) plant at their integrated site in Shanghai
China is Covestro’s second largest market after the United States with an integrated site in Shanghai. The company is planning to add a new PUD production facility at the site along with an additional production line for polyester resins, to be operational by 2024. The investment was driven by growing shift from solvent-based products to more sustainable waterborne systems in the coatings and adhesives industry in Asia-Pacific region.
Shandong Yulong Petrochemical Company selects Honeywell UOP for its integrated petrochemicals complex in China
The Shandong Yulong Petrochemical Company selected Honeywell UOP for its integrated petrochemical complex in Longkou, Shandong Province, China that will have a capacity of 3 million tons per year of aromatics. The agreement includes a range of technology licenses, engineering design, key equipment, catalysts and adsorbent, operator training, and technical services.
Celanese Corporation extends carbon monoxide supply contract with Linde Gas
Celanese Singapore extended its long-term carbon monoxide supply contract with Linde Gas for its 600,000 tons per year acetic acid and acetyls chemical facility located on Jurong Island.
The Competition Commission of India (CCI) approves sale of Indo Gulf Fertilizers (IGF) to Indorama
India-based Grasim Industries sold its fertilizer business, IGF to Singapore-based Indorama Corporation in November last year. The CCI approved the $355 million deal in January. The deal includes IGF’s manufacturing, trading, and sale of urea and other agricultural inputs along with a 1.2 million tons per year urea manufacturing plant in Uttar Pradesh, India.
Thailand’s PTT Global Chemical (PTTGC) to invest $165 million for its Olefins 2 Modification Project
The Olefins 2 Modification project will build a new cracker that can produce 515,000 tons per year of ethylene and 295,000 tons per year of propylene, expected to commence operation in Q1 2023. Samsung Engineering was selected for EPC. PTTGC currently imports ethylene for their polyethylene production and domestic customers.
Multi-Client Reports from ADI Chemical Market Resources
ADI Chemical Market Resources offers 50+ reports and studies on a broad range of polymers, plastics, and chemicals. Browse our rich library and contact us at +1 (281) 506-8234 or info@adi-cmr.com for an existing or custom report.
