OUTLINE OVERVIEW OF THE PLASTICS INDUSTRY MAJOR THERMOPLASTICS TO BE REVIEWED POLYETHYLENE POLYPROPYLENE POLYSTYRENE CONCLUSIONS
THE PLASTICS INDUSTRY R E S
TI M E
I N S
ND E
SE U
FABRICATION METHOD
MAJOR WORLD REGIONS NORTH AMERICA LATIN AMERICA WESTERN EUROPE EASTERN EUROPE THE MIDDLE EAST THE FAR EAST
MAJOR POLYMERS THERMOPLASTICS
– POLYETHYLENE – POLYPROPYLENE – POLYSTYRENE – POLYVINYL CHLORIDE – ABS/SAN – STYRENE BUTADIENE LATEXES – POLYCARBONATES – PET – NYLON – ENGINEERING THERMOPLASTICS
MAJOR POLYMERS THERMOSETS – EPOXIES – MELAMINES – UNSATURATED POLYESTERS – PHENOLICS – UREAS – POLYURETHANES – POLYLACTIC ACIDS
MAJOR FABRICATION PROCESSES INJECTION MOLDING BLOW MOLDING EXTRUSION – FIBER – FILM – SHEET AND THERMFORMING – PROFILE – PIPE – WIRE & CABLE COMPOUNDING CALENDERING COMPRESSION MOLDING ROTOMOLDING OTHER PROCESSES
MAJOR END USE MARKETS END USE PACKAGING (Bottles, Film, Cups, etc.) BUILDING & CONSTRUCTION (Pipe, Siding, insulation, etc.) CONSUMER & INSTITUTIONAL (Toys, Housewares, Medical, etc.) TRANSPORTATION FURNITURE & FURNISHINGS ELECTRICAL/ELECTRONICS (W&C, Computers, Appliances, etc.) US MARKET 2000 (kTons) Percent of Total Market
9683 8554 5290 1846 1694 1461
25% 22% 13% 5% 4% 4%
MAJOR END USE MARKETS END USE ADHESIVES/INKS/COATINGS INDUSTRIAL MACHINERY ALL OTHER (Compounding, Resellers, Unknown) TOTAL DOMESTIC EXPORTS TOTAL US MARKET 2000 (kTons) Percent of Total Market
924 464 5228 35146 4396 39542
2% 1% 13% 11% 100%
ISSUES FACING THE PLASTICS INDUSTRY 1.
SUSTAINING DEVELOPMENT A. B. C.
OBTAINING ACCEPTABLE PROFITS ENVIRONMENTAL STEWARDSHIP CORPORATE RESPONSIBILITY CAPTIVE CONSUMPTION RISE OF MIDDLE EASTERN PRODUCTION STATE OF GLOBAL ECONOMIES
2.
ECONOMIC ISSUES A. B. C.
ISSUES FACING THE PLASTICS INDUSTRY ADDRESS PLASTICS ROLE IN POSSIBLE CLIMATE CHANGES 4. DEVELOP NEW PRODUCTS 3. 1. For Example: Improved Packaging a) b) c)
Longer Shelf Life Less Wastage of Products Improved Health and Safety
ISSUES FACING THE PLASTICS INDUSTRY FEED STOCK SUPPLY 6. INTERNATIONAL TRADE 7. IMPROVE PLANTS 5. A. B.
NEW PROCESSES UPGRADE OLD PLANTS
COMPANY PERFORMANCE RESIN COMPANIES REPORTING POOR PERFORMANCE IN 2001 FOR CHEMICALS AND POLYMERS
DOW EASTMAN EQUISTAR CHEVRON/TEXACO BP EXXON-MOBIL
AECI EVC SINOPEC FORMOSA PETKIM TESSENDERLO ATOFINA
POLYETHYLENE PRODUCT TYPES COMONOMER TYPES BUTENE HEXENE OCTENE
PLANTS (REACTORS) CATALYSTS ADDITIVES AND FILLERS END USE MARKETS SERVED SUPPLY/DEMAND RELATIVE PROFITABILITY
POLYETHYLENE SUPPLY CHAIN CRUDE OIL NATURAL GAS
DISTILLATION UNITS Naphtha Ethane Propane
Propylene
STEAM CRACKER Ethylene
Fuels
POLYMERIZATION PLANTS POLYETHYLENE
FABRICATION PLANTS END USERS
POLYPROPYLENE PRODUCT TYPES COMONOMERS – ETHYLENE – BUTENE
CATALYSTS ADDITIVES AND FILLERS END USE MARKETS SERVED (APC) SUPPLY/DEMAND RELATIVE PROFITABILITY
POLYPROPYLENE SUPPLY CHAIN CRUDE OIL NATURAL GAS
DISTILLATION UNITS Naphtha, Propane, etc.
STEAM CRACKER Ethylene Propylene 69%
FCC Propylene 29% POLYPROPYLENE
Fuels Alkylation Units
POLYMERIZATION UNITS FABRICATION PLANTS CONSUMERS
ON PURPOSE PROCESSES PROPANE DEHYDROGENATION METATHESIS DEEP CATALYTIC CRACKING METHANOL TO OLEFINS (Not Commercial)
PROPYLENE MARKETS PRODUCT POLYPROPYLENE ACRYLONITRILE OXY ALCOHOL CUMENE PROPYLENE OXIDE OTHER PRODUCTS TOTAL - 2000 Percentage of Total Production 2000 2000-2004 Forecasted Growth Rate (1)
57% 11% 8% 6% 7% 11% 51.2 MM Tons
6.7% 4.3% 6.2% 4.4% 4.3% -5.6%
(1) Petroleum Technology Quarterly 2001, page 132
POLYSTYRENE PRODUCT TYPES TYPE RUBBER TYPE PLANT ADDITIVES AND FILLERS END USE MARKETS SERVED SUPPLY/DEMAND RELATIVE PROFITABILITY
POLYSTYRENE SUPPLY CHAIN (SIMPLIFIED) ETHYLENE BENZENE SYTRENE MONOMER PRODUCTION STYRENE MONOMER RUBBER
POLYMERIZATION POLYSTYRENE
FABRICATION PLANTS
CONSUMERS
CONCLUSIONS 1. 2.
THE ECONOMY IS IMPROVING TO IMPROVE PROFITABILITY A. REDUCE OVERCAPACITIES A. SHUT DOWN NON-COMPETITIVE PLANTS B. BUILD ONLY LARGE ECONOMICAL PLANTS BASED ON GOOD MARKET RESEARCH B. SHIFT PRODUCT LINES FROM SPECIALTIES TO BASE GRADES PLUS ADDITIVES
CONCLUSIONS 2.
TO IMPROVE PROFITABILITY C. IMPROVE PROCESS/PRODUCTS D. IMPROVE IMAGE E. ENCOURAGE EDUCATION F. DEAL WITH CHANGING REGIONAL MARKET DEMANDS
INDUSTRY PROBLEMS VOLUNTEERISM INDUSTRY ORGANIZATIONS
SPE PEOPLE
SPI EQUIPMENT MANUFACTURERS, FABRICATORS
APC RESIN SUPPLIERS
BUSINESS ETHICS
