Biocomposite – Indo-Rama – rPET 10-09-2022
Biocomposite – Indo-Rama – rPET
To have operational efficiency and better controls, 39 DTY machines are being envisaged towards balancing equipment for value-addition in a new subsidiary, Indorama Ventures Yarns Private Limited
Indo Rama Synthetics (India) Ltd. (Indo Rama) has approved an expansion plan of Rs 600 crore towards the addition of balancing equipment for value-addition and diversifying into 700 TPD PET resin manufacturing facility at its Butibori plant. The capital expenditure of PET resin business is being envisaged in Indorama Yarns Private Limited, wholly owned subsidiary of the company. To have operational efficiency and better controls, 39 (initially 50) DTY machines are being envisaged towards balancing equipment for value-addition in a new subsidiary, Indorama Ventures Yarns Private Limited, incorporated on July 5, 2021.
The commercial production for the growth projects is likely to be started in a phased manner up to the fourth quarter of the financial year 2022-23. Incorporated in 1986, Indo Rama has emerged as one of the largest dedicated polyester manufacturers in India. With more than three decades of market presence, it is India’s most cost-efficient polyester producers. The company’s investments in innovation and capacity expansion allow it to integrate value for its large customer base. Biocomposite – Indo-Rama – rPET
Indo Rama has an integrated production facility in Butibori, near Nagpur, Maharashtra. The company has clocked turnover of Rs 3,901.13 crore during FY 2021-22. Commenting on this development, Chairman and Managing Director Om Prakash Lohia said, “We believe polyester will be the ‘fibre of future’, which encouraged us to foray into this business with confidence. Our well-defined quality and process management systems have enabled us to enjoy global presence.”
For 2023, BMW is planning to release its first vehicles with entirely vegan interiors, following the development of materials that benefit from leather-like characteristics. The fully vegan interiors will be an option for both BMW and Mini models.
As the OEM seeks to achieve climate neutrality by 2050 – helped by the reduction of CO2 emissions over a vehicle’s entire lifecycle – choosing the right materials at the build stage is crucial because replacing raw materials which originate from animals can significantly increase sustainability.
The new material will also be used for covering steering wheels and is said to have a high level of wear resistance and durability. Additionally, the vegan material looks the part, with the only distinguishable feature between itself and leather being a different grain effect.
By utilizing the material for steering wheels, the traces of raw materials of animal origin used for components within BMW and Mini vehicles will drop to less than 1%. The BMW Group states that these types of material – such as gelatin used for protective coatings, lanolin in paints, tallow as an additive in elastomers and beeswax as a flux for paints – will only be found in areas that are not visible to customers.
“With a steering wheel made from a high-quality vegan surface material, we are fulfilling the wishes of our customers who do not want to make any compromises in terms of look, feel and functionality,” said Uwe Köhler, head of development for body, exterior trim and interior, BMW Group. “The innovative material withstands wear and tear caused by abrasion, perspiration and moisture and has all the desirable properties of leather.”
- Mechanically recycled “Novodur® ECO MR”
- Bio-attributed “Novodur® ECO B”
- Mechanically recycled “Novodur® ECO High Heat MR”
Frankfurt, September 8, 2022 – INEOS Styrolution, the global leader in styrenics, has today announced the introduction of a comprehensive range of sustainable solutions for its specialty ABS  product group Novodur®/ Novodur® High Heat addressing applications in a range of industries including automotive, electronics and household. The individual grades come with a significant product carbon footprint (PCF) saving of up to -71% as compared to the respective non-ECO product reference .
Mechanically recycled Novodur ECO MR 
Like its non-ECO counterpart, the new Novodur ECO MR P2H-AT is a general purpose ABS grade providing high flowability, good stiffness and high gloss. The material is available with a 30%, 50% or 70% post-consumer mechanically recycled content (“PCR ”). The product comes in various colours or in black and offers a PCF saving of up to 57%. A product for self-colouring is available as well.
Novodur ECO MR P2H-AT is currently under evaluation by various customers to become a material of choice for various household appliances.
Mass balance based bio-circular Novodur ECO B 
With Novodur ECO B P2MC B50 and Novodur ECO HD M203 FC B50, INEOS Styrolution offers two grades with 50% contribution of bio-attributed content. Both grades are available in various colours and as an NR (natural) option. PCF savings are up to -71%.
Novodur ECO B P2MC B50 has been designed specifically for electroplating making it a material of choice for various sanitary and automotive appliances. Novodur ECO HD M203 FC B50 is an attractive offering also suitable for the medical industry.
Mechanically recycled Novodur ECO High Heat MR 
The Novodur High Heat (HH) family of products includes all ABS products modified to allow thermally stressed components to meet stringent stability requirements. Today, three sustainable grades are introduced in this product group: Novodur ECO HH-106 MR30, Novodur ECO H605 MR30 and Novodur ECO H801 MR40. PCF saving is up to -28% and the recycled content is 30% and 40%, respectively.
The products, available in black, are targeting the automotive industry, but may be of interest in other industries as well.
CHINA’S high-density polyethylene (HDPE) and linear low-density polyethylene (LLDPE) markets are very simple. As each head for his or her lowest ranges of development in 2022 for not less than 20 years, it’s all in regards to the nation’s economic system.
Each the polymers, as with each different chemical and polymer in China, face:
China’s shift away from “development for development’s sake”. Because it makes an attempt to construct a brand new financial development mannequin (we don’t know if this may work), plenty of collateral harm must be anticipated, most notably in the intervening time within the real-estate market, which, because the ICIS information present, has been a significant driver of China’s terribly robust PE demand development because the property bubble started to inflate in 2009. In August this yr, home costs in practically 70 Chinese language cities declined, based on Reuters. Biocomposite – Indo-Rama – rPET
Within the short- to medium-term, China’s zero-COVID polices will add additional downward momentum to the economic system. China can not afford to scrap the insurance policies due to the restricted effectiveness of its vaccines.
One other issue is rising chemical compounds self-sufficiency, the roots of which we are able to hint again to 2014 when the Chinese language authorities determined to far more closely in home capability. When Beijing says it will do one thing, it normally does it.
As a reminder of an earlier publish, the China Customs and ICIS manufacturing information present that HDPE demand is in line to fall by 4% this yr. The China Customs January-July numbers counsel that HDPE web imports in 2022 will fall to five.6m tonnes from 6.4m tonnes in 2021 AND 8.9M TONNES IN 2020!
LLDPE demand is that this yr on observe to additionally fall by 4%. The January-July China Customs information counsel web imports at 4.7m tonnes versus 5.5m tonnes in 2021 and 6.6m tonnes in 2020.
The story of China’s low-density polyethylene (LDPE) market is extra sophisticated. However, in fact, as I shall describe now, its demand can also be being affected by the brand new macroeconomic fundamentals. Biocomposite – Indo-Rama – rPET
Nippon Paper Industries Co., Ltd. (Tokyo: 3863; President: NOZAWA Toru)and Mitsui Chemicals, Inc. (Tokyo: 4183; President & CEO: HASHIMOTOOsamu) are set to partner in the development of a new biocomposite with ahigh content of cellulose powder, a woody biomass material.
The two companies intend to develop products and bring them to market at the earliest possible opportunity, with plans to expand into a wide range of fields – including daily necessities, containers, building materials,household appliances and auto parts. Aimed at bringing to market a new biocomposite that offers a high level of industrial stability in terms of both quality and supply, the tie-up will see the partners tap into their stable materials supply chains and leverage the advanced materials manufacturing and development technologies they have cultivated over many years.
- The new biocomposite
With cellulose powder – a woody biomass material – as its principal ingredient, this new composite will have the same moldability as plastic.
Further, the composite’s use of woody biomass as its main constituent will help to cut greenhouse gas emissions by minimizing the use of fossil-fuel-derived virgin material when compared to ordinary petrochemical resins. This will in turn assist in achieving a zero-carbon society. Biocomposite – Indo-Rama – rPET
Some may have doubt that PX-naphtha spread is relatively good recently, but why PX plant operating rate has not increased but decreased instead in China and Asia.
To look deep into the situation, we need to firstly have a glance at PX production process. PX is directly produced from MX via absorption, separation, and isomerization; or from toluene via disproportionation. Biocomposite – Indo-Rama – rPET
To improve the economics, naphtha is used to produce toluene, MX and then to PX. The further upstream feedstock is crude oil and it is used as raw material to produce PX through several processes such as reforming, etc.
Currently, there’s only one PX plant relying entirely on merchant MX in China, i.e Sinopec HRCC’s second PX plant. However, several PX plants based on naphtha or crude oil still need to buy a part of MX or toluene in the production of PX. Meanwhile, MX, toluene and even naphtha can be used not only to produce PX but also as components in gasoline blending. Therefore, there’s competition in PX and refined oil products such as gasoline in terms of feedstock. It is reflected by the situation in May-Jun, when US gasoline price spiked, and aromatics prices in US and Asia were hence driven up.
China PX plant operating rate could hardly increase recently, and high gasoline prices also have something to do with that.
There are some indications that resin prices will begin to ratchet back up after the Labor Day weekend.
In last week’s column reporting on resin trading activity during the week of Aug. 22, we wondered if resin pricing had found a bottom. That may have been prescient . . . or premature. Reporting on spot resin trading the week of Aug. 29, the PlasticsExchange notes in its Market Update that activity has improved amid volatile pricing, which might ultimately prove to be “bottoming activity.” Biocomposite – Indo-Rama – rPET
Spot and export pricing initially cascaded lower last week, with high-volume export transactions completed at deeply discounted prices, well below domestic contract levels, writes the PlasticsExchange. This latest export inventory dump came in the wake of resin production cuts, as producers seek to rebalance supply/demand fundamentals. It still needs to be seen whether the big purge of material will be enough to relieve a significant amount of excess resin supplies that have been hanging over the market, pressuring prices lower during this cycle correction.
Some indications that resin prices will begin to rise
The blow-out pricing was not market wide, but rather for very large certified export sales, although there were also some domestic spot polyethylene (PE) and polypropylene (PP) railcars that were priced super sharp, writes the PlasticsExchange. By the end of August, the heavy selling had subsided, though there were still some straggling offers that carried into September, including from recent trader purchases looking for a quick flip. Otherwise, few fresh offers were seen later in the week as the new month began, with indications that producers’ asking prices would ratchet back up when market participants returned from the Labor Day holiday weekend. It is worth noting that major cycle changes often occur when long weekends coincide with a new month, creating some distance from recent market conditions. In this case, only time will tell.
By mid-2023, the company says it expects to double its rPET resin capacity to 140 million pounds.
Phoenix Technologies International LLC, Bowling Green, Ohio, has announced that it will expand food-grade recycled polyethylene terephthalate (rPET) capacity at its facility in Bowling Green with the addition of new extrusion equipment to produce pellets.
Phoenix’s purchase in 2019 by Far Eastern New Century Corp. (FENC), a Taipei City, Taiwan-based company that supplies recycled and virgin PET, has helped to make the investment possible. Biocomposite – Indo-Rama – rPET
Formerly Far East Textile Co. Ltd., FENC began as an underwear manufacturer, according to its website. It now manufactures PET bottles and preforms, PET shrink film, PET roll film and cut sheet and polyester fiber as well as operates a petrochemical and energy business. It has a 1.5-million-ton pure terephthalic acid (PTA) plant in Guanyin, Taiwan, and 3.1 million tons of PTA production capacity overall. FENC also produces monoethylene glycol, or MEG.
After Phoenix’s expansion is completed before mid-2023, the company says it anticipates doubling its rPET resin production capacity to 140 million pounds annually, the equivalent of processing 5 billion bottles per year. The expansion will consist of adding process technology that is known and tested throughout the industry and will allow Phoenix to support increasing customer demand immediately at startup, the company adds in a news release about the expansion.
Lori Carson, market development manager at Phoenix, says the company has been working with its supply partners to ensure it has the sourcing ready to go for the expansion. She adds, “Our parent company, Far Eastern New Century, has installations across the globe, and we will be using all of our capacity to its fullest.”
Biocomposite – Indo-Rama – rPET