The Urethane Blog
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
January 27, 2021
US Gulf braces for more benzene cargoes from South Korea as volumes hit new highs January 27/2021 MOSCOW (MRC) — Benzene exports from South Korea have increased as prices spiked globally, leading to more than 204,000 metric tons being loaded for export in December for destinations worldwide, said Chemweek.
The last time that South Korean export volumes were near this level was in April 2020. Since then, the country’s exports of benzene have fallen from 196,000 metric tons in both May and June to 147,000 metric tons in October, at a time when low benzene prices and poor margins for para-xylene caused producers in South Korea to throttle back benzene output.
However, the final six weeks of 2020 saw benzene prices spike in North America and Europe as traders and consumers become concerned about availability as styrene monomer prices were also spiking.
In December 2020 more than 80,000 metric tons of benzene departed South Korea for the US Gulf Coast (USGC), the highest since February last year. About 10,000-15,000 metric tons of that volume was the result of delayed November loadings that became early-December departures. November benzene volumes from South Korea to the USGC had been expected to be around 35,000 metric tons and ended up at 23,000 metric tons instead.
The higher benzene prices in the USGC and Europe attracted more supply. With Indian benzene moving to the EU, China pulled in over 100,000 metric tons from South Korea, the highest volume to load from there to China since June 2020.
The driving factor behind the higher benzene prices and better margins remains the stronger end demand for styrene, phenol, and methylene di-para-phenylene diisocyanate (MDI). COVID-19 has changed consumer behavior and caused spikes in demand for food packaging and single-use plastics, and has even improved automobile demand in some regions.
The spot benzene price in North America on 10 November was USD1.68/gallon (gal) for the prompt month. One month later, the prompt month benzene price was USD2.56/gal for North America, an increase of USD0.88/gal, or USD263/metric ton. Such a steep price increase has improved benzene margins for the various production methods, including heavier steam cracker feedstocks, refinery extraction, and selective disproportionation (STDP) units.
Producers noticeably began to increase benzene production in both South Korea and North America by December. North America saw the STDP units increase rates, and domestic producers begin to sell more barrels into the spot market. At the same time, the frenzy of cargoes being booked from South Korea resulted in the 58,000 metric tons loading increase between October and December.
When producers in South Korea are running at high rates, their monthly benzene exports can reach upward of 260,000 metric tons. South Korean derivative production rates or turnarounds also impact how much benzene is exported from month to month.
North American benzene supply is expected to be more plentiful in January than was initially expected in November 2020. The high prices were not sustainable, however, as the influx of cargoes into the USGC combined with US sellers diverting as much supply as possible into the spot market caused prices to ease. The benzene spread over gasoline narrowed from USD1.50/gal on 9 December to USD1.20/gal this week as traders and consumers adjusted their price expectations now that more supply has been made apparent. That includes the consideration that up to 40,000 metric tons of benzene was exported from the USGC to Europe between December and January scheduled loadings, some of which was made available due to unplanned derivative production issues at US styrene and/or phenol plants.
Along with phenol, acetone is largely used to produce bisphenol A (BPA), which, in its turn, is used in the production of plastics such as polycarbonate (PC) and epoxy resins.
January 27, 2021
BTC Europe is the new distributor in Europe for BASF aromatic isocyanates and polyols for polyurethane applications
- The collaboration will begin on February 1, 2021
- All BASF polyurethane basic products available from a single source
BASF has chosen BTC Europe GmbH (BTC) to be the new distributor for aromatic isocyanates and polyols for polyurethane applications in Europe. The collaboration will commence on February 1, 2021 and comprises the polyurethane basic products Lupranat®, Lupranol® and Lupraphen®.
“The new agreement enables us to react to the wish of our customers of providing the entire product portfolio from a single source. We see BTC as a strong partner to supply our customers in an optimal manner. BTC will join our direct customer support as a distributor for packaged goods,” explained Oliver Peter, Account Manager for the European Isocyanate business at BASF.
BTC has extensive application technology expertise and an excellent network. “We look forward to a fruitful collaboration. As BTC, we will be able to share our comprehensive experiences in an optimum manner,” added Juan Tortosa Pons, Business Manager Chemicals Europe at BTC.
Receive the latest press information from BASF via push notifications on your smartphone. Sign up for our news service at basf.com/pushnews
https://www.basf.com/global/en/media/news-releases/2021/01/p-21-108.html
January 27, 2021
BTC Europe is the new distributor in Europe for BASF aromatic isocyanates and polyols for polyurethane applications
- The collaboration will begin on February 1, 2021
- All BASF polyurethane basic products available from a single source
BASF has chosen BTC Europe GmbH (BTC) to be the new distributor for aromatic isocyanates and polyols for polyurethane applications in Europe. The collaboration will commence on February 1, 2021 and comprises the polyurethane basic products Lupranat®, Lupranol® and Lupraphen®.
“The new agreement enables us to react to the wish of our customers of providing the entire product portfolio from a single source. We see BTC as a strong partner to supply our customers in an optimal manner. BTC will join our direct customer support as a distributor for packaged goods,” explained Oliver Peter, Account Manager for the European Isocyanate business at BASF.
BTC has extensive application technology expertise and an excellent network. “We look forward to a fruitful collaboration. As BTC, we will be able to share our comprehensive experiences in an optimum manner,” added Juan Tortosa Pons, Business Manager Chemicals Europe at BTC.
Receive the latest press information from BASF via push notifications on your smartphone. Sign up for our news service at basf.com/pushnews
https://www.basf.com/global/en/media/news-releases/2021/01/p-21-108.html
January 27, 2021
Interview with Christoph Hauck
In 2021, Christoph Hauck will become the first external CEO in the company’s 75-year history to assume the position of sole managing director at Bäumer. With stability and sustainability, he wants to keep the “big ship” Bäumer on course, relying in particular on almost 400 motivated employees.
Bäumer is a matter of the heart for him, a perfect match, so to speak.
He answered our questions in an interview.
Mr. Hauck, what do you particularly appreciate about Bäumer?
Bäumer is an excellent builder of special machinery, a hidden champion. I particularly like the sense of togetherness that comes with a family business.
I actually feel like I have “arrived at home”. At the age of 21 I left my home country, worked in various positions all over Germany and abroad, spent several years working in England and South-East Asia, I got to know the world and now I have my workplace right on my doorstep. I am not concerned with aspects such as comfort, but I feel that my journey is complete, that I have arrived at my destination and that I can now take on this challenge with all my experience.
The former chancellor Helmut Kohl used the following quote in 1995, which has a great influence on my work: “Those who do not know the past cannot understand the present and cannot shape the future.” For me, this means the following in relation to the management of Bäumer, a company rich in tradition: What counts is what was and is. I will not join the company and turn everything inside out right away. It takes time, caution, alertness and also mindfulness to make the right adjustments.
Bäumer is indeed a matter close to my heart, a perfect match, and I take up this challenge with great pleasure and interest.
I am looking forward to meeting the staff. I like diversity and so far have gotten along well with people and their particularities everywhere. And not to forget: I’ve been married to a woman from the Siegerland region for almost 30 years, so I’ve definitely gained experience in this area as well.
And is there anything you are particularly looking forward to?
The intercultural aspect is something I’m really looking forward to. The cooperation with many different nations and cultures, with customers, subsidiaries and representatives of Bäumer. The focus on the foam processing industry, the development of the latest technologies and working for a global market leader are also aspects of my job that fill me with great joy and I’m very much looking forward to them. And to be honest, I’m also really looking forward to the good canteen and the fact that I can get to work by mountain bike or on foot.
Do you have a favorite subject when it comes to your work?
I have always been working in the field of technology and sales. A balance between automation, electrical engineering, mechanical engineering and mechanics is important to me. I actually feel more than just an affinity for special mechanical engineering. Given my experience and routine in project controlling and finance, I approach this new task with a great deal of calm and confidence.
Is there anything that you approach with a lot of respect in terms of your new job as CEO at Bäumer?
Of course, I have the greatest respect for the task as Bäumer’s managing director: I have respect for my responsibility, but without being afraid. Risks must always be carefully weighed, and opportunities seized.
As a matter of principle, I treat all the people I meet with equal respect.
What are your long-term goals for shaping the future of the company?
With 400 employees worldwide and subsidiaries in the USA, China and Japan, Bäumer is a big ship that I have to keep on course. Expecting an immediate response is illusory and can even be dangerous. My goals are stability and sustainability for the employees, satisfaction for the shareholders and to be a first-class supplier for our customers. As a first-class supplier, we need the right qualified and committed personnel and the right developments. Digitalization plays a major role here: We will remain a pioneer in this area and establish ourselves as a digital partner for our customers. Our focus will always remain on creating more efficiency and transparency for the customer.
What are your short-term plans?
In a year’s time, I would like to have won the trust of customers, staff and shareholders, be respected in my position and have full order books.
What is important to you in the customer relationship?
Reliability is my top priority! Being there for the customers 24/7, honesty, fairness and long-term orientation are of the highest importance for me. But the exchange is also important: Listening to and implementing customer wishes moves the company forward.
Does mechanical engineering have a future in Germany?
Of course it does! In Germany, we have the advantage of having well-trained and innovative employees. Of course, Germany is an expensive location, but we have to compensate for that. We must always be one step ahead, not resting on our laurels, constantly innovating and investing in standardization and modularization.
In the 75 years Bäumer has been in existence, this is the first time that the company will be managed alone by a non-family member/external managing director. How do you handle this special responsibility?
This is already the second time I have taken on this responsibility. Back in 2001, I became the first external manager of a company after the family left, and it went extremely well. I am aware of the concerns of employees and business partners. I would like to see a “silent transition.” I achieve this by acting as if it were my own company, with prudence and a well-founded weighing of opportunities and risks for every decision. Ultimately, I expect exactly the same attitude from every employee.
Does the status of a family business still have a significant influence under your leadership?
That’s a clear yes! I wouldn’t want to work for a corporation. For me, it’s about the long term and sustainability, not short-term actionism. In contrast to the impersonal thinking of corporations, in a family business it is important to strike a balance between the satisfaction of customers, business partners, employees and shareholders.
In the midst of a global pandemic full of uncertainties, you are taking on this critical position. How do you deal with this?
With calm and foresight and the firm belief that the pandemic will end and we will be able to return to normalcy. There will always be crises and economic fluctuations; overcoming these is my job and ours at Bäumer.
No successful business management without …
… motivated employees. I believe in a well-functioning team, in cooperation and in the sense of responsibility of each employee. Everyone is responsible and everyone is important!
Where do you draw your strength for the task?
On the one hand, I draw strength from my stable family, consisting of my wife, my daughter and my dog, who always stand behind me. For balance I like to ride my mountain bike and motorcycle a lot, traveling inspires me. Ultimately, I just like working, I enjoy it and I enjoy interacting with the people in the company.
Thank you for your time and candor. Best of luck for your new job!
https://www.baeumer.com/en/newsblog/detail/interview-with-christoph-hauck/
January 27, 2021
Interview with Christoph Hauck
In 2021, Christoph Hauck will become the first external CEO in the company’s 75-year history to assume the position of sole managing director at Bäumer. With stability and sustainability, he wants to keep the “big ship” Bäumer on course, relying in particular on almost 400 motivated employees.
Bäumer is a matter of the heart for him, a perfect match, so to speak.
He answered our questions in an interview.
Mr. Hauck, what do you particularly appreciate about Bäumer?
Bäumer is an excellent builder of special machinery, a hidden champion. I particularly like the sense of togetherness that comes with a family business.
I actually feel like I have “arrived at home”. At the age of 21 I left my home country, worked in various positions all over Germany and abroad, spent several years working in England and South-East Asia, I got to know the world and now I have my workplace right on my doorstep. I am not concerned with aspects such as comfort, but I feel that my journey is complete, that I have arrived at my destination and that I can now take on this challenge with all my experience.
The former chancellor Helmut Kohl used the following quote in 1995, which has a great influence on my work: “Those who do not know the past cannot understand the present and cannot shape the future.” For me, this means the following in relation to the management of Bäumer, a company rich in tradition: What counts is what was and is. I will not join the company and turn everything inside out right away. It takes time, caution, alertness and also mindfulness to make the right adjustments.
Bäumer is indeed a matter close to my heart, a perfect match, and I take up this challenge with great pleasure and interest.
I am looking forward to meeting the staff. I like diversity and so far have gotten along well with people and their particularities everywhere. And not to forget: I’ve been married to a woman from the Siegerland region for almost 30 years, so I’ve definitely gained experience in this area as well.
And is there anything you are particularly looking forward to?
The intercultural aspect is something I’m really looking forward to. The cooperation with many different nations and cultures, with customers, subsidiaries and representatives of Bäumer. The focus on the foam processing industry, the development of the latest technologies and working for a global market leader are also aspects of my job that fill me with great joy and I’m very much looking forward to them. And to be honest, I’m also really looking forward to the good canteen and the fact that I can get to work by mountain bike or on foot.
Do you have a favorite subject when it comes to your work?
I have always been working in the field of technology and sales. A balance between automation, electrical engineering, mechanical engineering and mechanics is important to me. I actually feel more than just an affinity for special mechanical engineering. Given my experience and routine in project controlling and finance, I approach this new task with a great deal of calm and confidence.
Is there anything that you approach with a lot of respect in terms of your new job as CEO at Bäumer?
Of course, I have the greatest respect for the task as Bäumer’s managing director: I have respect for my responsibility, but without being afraid. Risks must always be carefully weighed, and opportunities seized.
As a matter of principle, I treat all the people I meet with equal respect.
What are your long-term goals for shaping the future of the company?
With 400 employees worldwide and subsidiaries in the USA, China and Japan, Bäumer is a big ship that I have to keep on course. Expecting an immediate response is illusory and can even be dangerous. My goals are stability and sustainability for the employees, satisfaction for the shareholders and to be a first-class supplier for our customers. As a first-class supplier, we need the right qualified and committed personnel and the right developments. Digitalization plays a major role here: We will remain a pioneer in this area and establish ourselves as a digital partner for our customers. Our focus will always remain on creating more efficiency and transparency for the customer.
What are your short-term plans?
In a year’s time, I would like to have won the trust of customers, staff and shareholders, be respected in my position and have full order books.
What is important to you in the customer relationship?
Reliability is my top priority! Being there for the customers 24/7, honesty, fairness and long-term orientation are of the highest importance for me. But the exchange is also important: Listening to and implementing customer wishes moves the company forward.
Does mechanical engineering have a future in Germany?
Of course it does! In Germany, we have the advantage of having well-trained and innovative employees. Of course, Germany is an expensive location, but we have to compensate for that. We must always be one step ahead, not resting on our laurels, constantly innovating and investing in standardization and modularization.
In the 75 years Bäumer has been in existence, this is the first time that the company will be managed alone by a non-family member/external managing director. How do you handle this special responsibility?
This is already the second time I have taken on this responsibility. Back in 2001, I became the first external manager of a company after the family left, and it went extremely well. I am aware of the concerns of employees and business partners. I would like to see a “silent transition.” I achieve this by acting as if it were my own company, with prudence and a well-founded weighing of opportunities and risks for every decision. Ultimately, I expect exactly the same attitude from every employee.
Does the status of a family business still have a significant influence under your leadership?
That’s a clear yes! I wouldn’t want to work for a corporation. For me, it’s about the long term and sustainability, not short-term actionism. In contrast to the impersonal thinking of corporations, in a family business it is important to strike a balance between the satisfaction of customers, business partners, employees and shareholders.
In the midst of a global pandemic full of uncertainties, you are taking on this critical position. How do you deal with this?
With calm and foresight and the firm belief that the pandemic will end and we will be able to return to normalcy. There will always be crises and economic fluctuations; overcoming these is my job and ours at Bäumer.
No successful business management without …
… motivated employees. I believe in a well-functioning team, in cooperation and in the sense of responsibility of each employee. Everyone is responsible and everyone is important!
Where do you draw your strength for the task?
On the one hand, I draw strength from my stable family, consisting of my wife, my daughter and my dog, who always stand behind me. For balance I like to ride my mountain bike and motorcycle a lot, traveling inspires me. Ultimately, I just like working, I enjoy it and I enjoy interacting with the people in the company.
Thank you for your time and candor. Best of luck for your new job!
https://www.baeumer.com/en/newsblog/detail/interview-with-christoph-hauck/
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