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Everchem Updates
VOLUME XXI
September 14, 2023
Everchem’s exclusive Closers Only Club is reserved for only the highest caliber brass-baller salesmen in the chemical industry. Watch the hype video and be introduced to the top of the league: — read more
March 16, 2021
Dow signs MoU to establish South China Specialties Hub
- World-class manufacturing base will enhance Asia Pacific customers’ local access to innovative material science solutions
- Further positions Dow to capture growth in world’s largest chemicals market
ZHANJIANG, China – March 4, 2021 – Dow (NYSE: DOW) today signed a Memorandum of Understanding (MoU) with the Zhanjiang Economic and Technological Development Zone Administrative Committee (Zhanjiang EDZ) to build the Dow South China Specialties Hub, a multi-year project providing customers local access to Dow’s portfolio of high value products and innovative technologies.
“Asia Pacific is the world’s largest chemicals market. Demands in the region are evolving towards high-value, specialty chemicals that help customers meet rapidly-developing megatrends in mobility, urbanization and sustainability,” said Jon Penrice, Dow Asia Pacific president. “The establishment of the Dow South China Specialties Hub would further position Dow to provide industry-leading materials science solutions to continue to grow with our customers in China and throughout the entire region.”
The new manufacturing hub would extend Dow’s local reach, further enhancing supply reliability, responsiveness to market needs and customized innovation, and better positions customers for success in markets including automotive, pharmaceuticals, cleaning chemicals, apparel, lubricants and adhesives.
Aligned to Dow’s focus on low capital intensive, fast payback and high return growth projects, under the MOU the Company would invest approximately $250 million to construct specialty polyurethanes and alkoxylates facilities, with a total product capacity of approximately 250,000 tons. The site also offers opportunity for future development and expansion at the Specialties Hub.
Henry Ling, vice president of operations, Dow Asia Pacific, said, “The South China Specialties Hub will be built to Dow’s world-class environmental, health and safety standards and aligned to Dow’s recent commitment to become net carbon neutral by 2050. The new hub will adopt and employ advanced digital, intelligence and automation technologies to create a manufacturing space of world-class safety, productivity, reliability and sustainability performance.”
“Dow is a global leader of material science solutions and we are happy to see its planned investment for establishing a specialties manufacturing hub in Zhanjiang,” said Liang Pei, party secretary of the Zhanjiang EDZ. “We are committed to turning our petrochemical park at the Donghai Island into a world-class one, providing a modern infrastructure and necessary supportive policies to Dow and the park’s other companies.”
The Dow South China Specialties Hub will be located at Donghai Island in Zhanjiang, the farthest southern tip of mainland China. Unique advantages include a deep-water port, transportation networks, and a world-class chemical park with advanced infrastructure and services. The strategic location enables Dow to cover demand across Asia Pacific.
March 16, 2021
Winter Storm Uri Update: US Oil and Gas Production All but Recovered While Refining and Petrochemicals Sectors Remain a “Mixed Bag” in Return to Normalcy
Winter Storm Uri Update: US Oil and Gas Production All but Recovered While Refining and Petrochemicals Sectors Remain a ‘Mixed Bag’ in Return to Normalcy
March 12, 2021
IHS Markit, (NYSE: INFO), a world leader in critical information, analytics and solutions is providing periodic updates on the state of U.S. crude, refining and chemical operations following the impacts of Winter Storm Uri.
To request a media copy of the full report (including detailed sector-by-sector updates) or to speak with an IHS Markit expert, contact: Jeff Marn / jeff.marn@ihsmarkit.com or email press@ihsmarkit.com
A summary of the key conclusions follows here:
‘While U.S. crude production has mostly returned to normal, refining and petrochemical facilities are still more of a mixed bag in terms of recovery. The coming days should see significant progress but a return to pre-storm levels across all sectors is unlikely until the second half of March. The worst of the storm is definitely behind us, but we are still in the middle act when it comes to a holistic recovery.’ – Bill Hyde, executive director, IHS Markit
Chemicals
Total petrochemical production is on track to begin approaching normal around mid-March, though some units will take longer. Nitrogen remains a limitation to an efficient startup with some facilities having to prioritize restarts based on limited supply. The overall nitrogen supply infrastructure does not appear to have been designed to handle the extraordinary event of starting up most of the Texas plants at the same time. This week should see significant progress in restarting production capacity.
https://www.publicnow.com/view/FBDE28F3F6520D88D45B0635FB080D3403D72A45
March 16, 2021
Winter Storm Uri Update: US Oil and Gas Production All but Recovered While Refining and Petrochemicals Sectors Remain a “Mixed Bag” in Return to Normalcy
Winter Storm Uri Update: US Oil and Gas Production All but Recovered While Refining and Petrochemicals Sectors Remain a ‘Mixed Bag’ in Return to Normalcy
March 12, 2021
IHS Markit, (NYSE: INFO), a world leader in critical information, analytics and solutions is providing periodic updates on the state of U.S. crude, refining and chemical operations following the impacts of Winter Storm Uri.
To request a media copy of the full report (including detailed sector-by-sector updates) or to speak with an IHS Markit expert, contact: Jeff Marn / jeff.marn@ihsmarkit.com or email press@ihsmarkit.com
A summary of the key conclusions follows here:
‘While U.S. crude production has mostly returned to normal, refining and petrochemical facilities are still more of a mixed bag in terms of recovery. The coming days should see significant progress but a return to pre-storm levels across all sectors is unlikely until the second half of March. The worst of the storm is definitely behind us, but we are still in the middle act when it comes to a holistic recovery.’ – Bill Hyde, executive director, IHS Markit
Chemicals
Total petrochemical production is on track to begin approaching normal around mid-March, though some units will take longer. Nitrogen remains a limitation to an efficient startup with some facilities having to prioritize restarts based on limited supply. The overall nitrogen supply infrastructure does not appear to have been designed to handle the extraordinary event of starting up most of the Texas plants at the same time. This week should see significant progress in restarting production capacity.
https://www.publicnow.com/view/FBDE28F3F6520D88D45B0635FB080D3403D72A45
March 16, 2021
Germany’s chems Q4 production jumps 9.2% but Q1 more challenging – VCI
Author: Tom Brown
2021/03/16
LONDON (ICIS)—German chemicals production excluding the pharmaceutical sector jumped 9.2% in the fourth quarter, compared to the third, on the back of customer restocking but industry body VCI said conditions at the start of 2021 have been more challenging.
Customers looking to replenish empty warehouses toward the end of the year helped to galvanise the pace of recovery for chemicals, with production also substantially higher compared to the closing months of 2019.
Including the pharmaceutical sector, the level total sector productivity moderated slightly to 7.4% quarter on quarter, with pricing firming 0.4% compared to the July-September 2020 quarter.
However, chemicals prices remained in the fourth quarter nearly 2% lower year on year.
LOCKDOWNS COOL DOWN OPERATIONS
Conditions were less unambiguously bullish in the opening months of this year amid lockdown extensions and fears of a fresh wave of infections in parts of Europe, with almost half of VCI members responding to a survey expecting setbacks for the quarter.
Aside from coronavirus fears, the extent that the manufacturing sector has heated up through 2021 so far has led to material shortages for German chemicals producers, exacerbated by the logistics issues brought on by the ongoing shipping sector disruption.
The pace of demand growth has resulted in the second-greatest month on month decline in lead times for eurozone manufacturing in 24 years, according to data from analyst Markit Economics.
“If chemical business continues to develop positively over the year, the signs are good for our industry,” said VCI director general Grosse Entrup. “However, major fluctuations in demand cannot be ruled out.”
Fourth-quarter sales rose 8.1% for the sector, driven by firmer domestic and export demand, although overseas sales remained below late-2019 levels.
Capacity utilisation firmed from 81.6% to 85% quarter on quarter, and employment was stable, a sign that chemicals have managed to weather the lockdowns better than in the first wave of the pandemic.
In the fourth quarter, chemicals was one of the industries with fewer employees in short-time work – or Kurzarbeit in German – by which the state subsidises hours not worked by the employee at times of crisis.
The strong German chemicals industry employed 464,000 workers in the fourth quarter, a figure which remained stable in the first quarter, said VCI.
The extent of the fourth-quarter rally is not likely to be sufficient to hold off a full-year decline in production, VCI said, but pricing and production for 2021 are likely to grow 2% and 3% respectively.
“[Total, including pharma] industry’s sales should improve by 5% to just under €200bn,” said VCI.
In 2020, total sales fell 6% to €186.4bn.
March 16, 2021
Germany’s chems Q4 production jumps 9.2% but Q1 more challenging – VCI
Author: Tom Brown
2021/03/16
LONDON (ICIS)—German chemicals production excluding the pharmaceutical sector jumped 9.2% in the fourth quarter, compared to the third, on the back of customer restocking but industry body VCI said conditions at the start of 2021 have been more challenging.
Customers looking to replenish empty warehouses toward the end of the year helped to galvanise the pace of recovery for chemicals, with production also substantially higher compared to the closing months of 2019.
Including the pharmaceutical sector, the level total sector productivity moderated slightly to 7.4% quarter on quarter, with pricing firming 0.4% compared to the July-September 2020 quarter.
However, chemicals prices remained in the fourth quarter nearly 2% lower year on year.
LOCKDOWNS COOL DOWN OPERATIONS
Conditions were less unambiguously bullish in the opening months of this year amid lockdown extensions and fears of a fresh wave of infections in parts of Europe, with almost half of VCI members responding to a survey expecting setbacks for the quarter.
Aside from coronavirus fears, the extent that the manufacturing sector has heated up through 2021 so far has led to material shortages for German chemicals producers, exacerbated by the logistics issues brought on by the ongoing shipping sector disruption.
The pace of demand growth has resulted in the second-greatest month on month decline in lead times for eurozone manufacturing in 24 years, according to data from analyst Markit Economics.
“If chemical business continues to develop positively over the year, the signs are good for our industry,” said VCI director general Grosse Entrup. “However, major fluctuations in demand cannot be ruled out.”
Fourth-quarter sales rose 8.1% for the sector, driven by firmer domestic and export demand, although overseas sales remained below late-2019 levels.
Capacity utilisation firmed from 81.6% to 85% quarter on quarter, and employment was stable, a sign that chemicals have managed to weather the lockdowns better than in the first wave of the pandemic.
In the fourth quarter, chemicals was one of the industries with fewer employees in short-time work – or Kurzarbeit in German – by which the state subsidises hours not worked by the employee at times of crisis.
The strong German chemicals industry employed 464,000 workers in the fourth quarter, a figure which remained stable in the first quarter, said VCI.
The extent of the fourth-quarter rally is not likely to be sufficient to hold off a full-year decline in production, VCI said, but pricing and production for 2021 are likely to grow 2% and 3% respectively.
“[Total, including pharma] industry’s sales should improve by 5% to just under €200bn,” said VCI.
In 2020, total sales fell 6% to €186.4bn.
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