The Urethane Blog

June 5, 2020

China Tankage

China’s outlook on tank space availability in July mixed

Highlights

Higher tank fees could incentivize short-term storage

But weak downstream demand sees slow discharge rate at tanks

Heavy Middle East imports will likely extend storage tightness

China’s tank terminal operators’ announcement to increase storage fees has seen some immediate results in the domestic methanol market, but whether higher tank fees will translate to improved availability of storage space at China’s eastern ports from July remains unclear.

High operating rates at methanol plants across the Middle East, Europe and Asia, coupled with weak downstream demand in China due to the coronavirus pandemic, has lead to high inventory levels of around 1 million mt a week at China’s eastern ports since April, data from Chinese market research firms showed.

As a result, tank storage space in east China has been extremely tight for the past eight weeks, and ships have waited 15-20 days at anchorage to discharge cargoes, trade sources said.

Rather than incur exorbitant demurrage costs, sellers without tank space had to sell seaborne methanol cargoes at discounted prices.

Non-sanctioned Middle Eastern cargoes have been sold at $165-$175/mt CFR China in recent weeks, compared with $250-$255/mt CFR China in January.

To address the shortage of tank space for methanol, Nantong Qianhong Petrochemical Port Reserve in mid-May announced it will charge traders Yuan 1.50/mt a day if they do not clear their volumes within five days after squaring off hedges, then Yuan 3/mt a day from the sixth to the 10th day, before rising in stages to Yuan 15/mt a day.

Zhangjiagang Changjiang International on May 18 announced it will increase its storage fees to Yuan 2/mt a day from June 1, and Yangtze Petroleum also raised its fees to a similar level.

Taicang Powershell hiked its charges to Yuan 1.5/mt a day for the first seven days, rising to Yuan 3/mt for the next seven days, and a further Yuan 5/mt a day thereafter, from June 10.

MIXED OUTLOOK

Trade sources, however, were divided whether higher storage fees would free up tank storage space in July.

Some end-users told Southeast Asian methanol producers that the tight storage situation would ease next month.

However, other Chinese market sources were doubtful as heavy imports from Saudi Arabia and Iran are expected to continue unabated, they said.

Iran’s Middle East Kimiaye Pars Company’s 1.65 million mt/year plant commenced operations in May and Bushehr Petrochemical Company’s 1.65 million mt/year plant in February, and are expected to ship methanol to China by the end of June or July, sources close to the matter said.

“No matter how much the [storage] cost is, it’s hard to find any additional tank space,” said a distributor.

Even though Chinese CFR methanol prices are at an 11-year low ,the Chinese market is still seen as the best option for seaborne cargoes, simply because of its size and the ability of its end-users to take large parcels of 20,000-40,000 mt at one go.

China’s methanol imports rose 47% on year to 10.89 million mt in 2019, according to Chinese customs data, making it the world’s biggest methanol importer.

CFR China methanol prices in the week ended June 5 was around $152/mt, well below the previous record low of $161.50/mt CFR China set on December 18, 2008, S&P Global Platts data showed.

Meanwhile, China’s downstream industries such as methylene diphenyl diisocyanate, formaldehyde and superplasticizer reported slow sales for May and June as export orders had yet to pick up to pre-COVID 19 levels, and the rate of methanol discharged from tanks has been slow as a result, trade sources said.

https://www.spglobal.com/platts/en/market-insights/latest-news/oil/060520-feature-chinas-outlook-on-tank-space-availability-in-july-mixed

June 5, 2020

China Tankage

China’s outlook on tank space availability in July mixed

Highlights

Higher tank fees could incentivize short-term storage

But weak downstream demand sees slow discharge rate at tanks

Heavy Middle East imports will likely extend storage tightness

China’s tank terminal operators’ announcement to increase storage fees has seen some immediate results in the domestic methanol market, but whether higher tank fees will translate to improved availability of storage space at China’s eastern ports from July remains unclear.

High operating rates at methanol plants across the Middle East, Europe and Asia, coupled with weak downstream demand in China due to the coronavirus pandemic, has lead to high inventory levels of around 1 million mt a week at China’s eastern ports since April, data from Chinese market research firms showed.

As a result, tank storage space in east China has been extremely tight for the past eight weeks, and ships have waited 15-20 days at anchorage to discharge cargoes, trade sources said.

Rather than incur exorbitant demurrage costs, sellers without tank space had to sell seaborne methanol cargoes at discounted prices.

Non-sanctioned Middle Eastern cargoes have been sold at $165-$175/mt CFR China in recent weeks, compared with $250-$255/mt CFR China in January.

To address the shortage of tank space for methanol, Nantong Qianhong Petrochemical Port Reserve in mid-May announced it will charge traders Yuan 1.50/mt a day if they do not clear their volumes within five days after squaring off hedges, then Yuan 3/mt a day from the sixth to the 10th day, before rising in stages to Yuan 15/mt a day.

Zhangjiagang Changjiang International on May 18 announced it will increase its storage fees to Yuan 2/mt a day from June 1, and Yangtze Petroleum also raised its fees to a similar level.

Taicang Powershell hiked its charges to Yuan 1.5/mt a day for the first seven days, rising to Yuan 3/mt for the next seven days, and a further Yuan 5/mt a day thereafter, from June 10.

MIXED OUTLOOK

Trade sources, however, were divided whether higher storage fees would free up tank storage space in July.

Some end-users told Southeast Asian methanol producers that the tight storage situation would ease next month.

However, other Chinese market sources were doubtful as heavy imports from Saudi Arabia and Iran are expected to continue unabated, they said.

Iran’s Middle East Kimiaye Pars Company’s 1.65 million mt/year plant commenced operations in May and Bushehr Petrochemical Company’s 1.65 million mt/year plant in February, and are expected to ship methanol to China by the end of June or July, sources close to the matter said.

“No matter how much the [storage] cost is, it’s hard to find any additional tank space,” said a distributor.

Even though Chinese CFR methanol prices are at an 11-year low ,the Chinese market is still seen as the best option for seaborne cargoes, simply because of its size and the ability of its end-users to take large parcels of 20,000-40,000 mt at one go.

China’s methanol imports rose 47% on year to 10.89 million mt in 2019, according to Chinese customs data, making it the world’s biggest methanol importer.

CFR China methanol prices in the week ended June 5 was around $152/mt, well below the previous record low of $161.50/mt CFR China set on December 18, 2008, S&P Global Platts data showed.

Meanwhile, China’s downstream industries such as methylene diphenyl diisocyanate, formaldehyde and superplasticizer reported slow sales for May and June as export orders had yet to pick up to pre-COVID 19 levels, and the rate of methanol discharged from tanks has been slow as a result, trade sources said.

https://www.spglobal.com/platts/en/market-insights/latest-news/oil/060520-feature-chinas-outlook-on-tank-space-availability-in-july-mixed

The Renuva mattress recycling programme sets out to recycle PU foam from end-of-life mattresses into polyol. (Source: Dow)

03. June 2020

Dow: Industrial scale production facility will recycle end-of-life mattresses into polyols

Dow Polyurethanes, a business division of Dow, announced a breakthrough in its Renuva mattress recycling programme with a plan to install a pioneering industrial scale production facility at Orrion Chemicals Orgaform in Semoy, France. This new development builds on Dow’s existing collaboration with process know-how and turnkey installations provider H&S Anlagentechnik, announced in 2017.

The mattress recycling programme will take discarded mattress foam and turn it back into raw material (polyol) through chemical recycling. The new raw material can then be used in flexible or rigid polyurethane foam products to go into applications such as building insulation boards and even back into new mattresses. The installation is expected to take place during the second half of 2020, with the first batch of Renuva polyols expected to be delivered in the first half of 2021.

According to Dow Polyurethanes, every year around 30 million mattresses are thrown away in Europe. If they were all stacked up, the pile would be 678 times the height of Mount Everest (assuming an average mattress height of 20 cm – height of Mount Everest is 8,848 m). This new initiative will help enable a more circular economy for polyurethanes by ensuring the applications they are used in can be recycled, and it can help the EU reach its goal of having 65 % of municipal waste recycled by 2030, said the company.

“At Dow we’re passionate about integrating sustainability into all aspects of the Polyurethane lifecycle. This development will represent a significant step towards achieving circularity for a product which traditionally poses significant challenges for recycling,” said Ana Carolina Haracemiv, commercial director for Europe, Middle East, Africa, India (EMEAI), Dow Polyurethanes.

“Through Renuva our ambition is to address some of the circular economy goals set out in the EU’s Green Deal and in national waste management strategies of countries like France,” stated Marcel Moeller, global marketing and sustainability director, Dow Polyurethanes.

“This new cooperation will reinforce Orrion Chemicals Orgaform’s commitment to sustainable development,” said Christian Siest, president, Orrion Chemicals Orgaform. “We will be proud to build an industrial scale production unit for recycling end-of-life foam and be selected as a partner by Dow. This will be a major investment that fits the growth strategy of our company.”

www.dow.com/renuva

https://www.gupta-verlag.com/news/industry/24176/dow-industrial-scale-production-facility-will-recycle-end-of-life-mattresses-into-polyols

The Renuva mattress recycling programme sets out to recycle PU foam from end-of-life mattresses into polyol. (Source: Dow)

03. June 2020

Dow: Industrial scale production facility will recycle end-of-life mattresses into polyols

Dow Polyurethanes, a business division of Dow, announced a breakthrough in its Renuva mattress recycling programme with a plan to install a pioneering industrial scale production facility at Orrion Chemicals Orgaform in Semoy, France. This new development builds on Dow’s existing collaboration with process know-how and turnkey installations provider H&S Anlagentechnik, announced in 2017.

The mattress recycling programme will take discarded mattress foam and turn it back into raw material (polyol) through chemical recycling. The new raw material can then be used in flexible or rigid polyurethane foam products to go into applications such as building insulation boards and even back into new mattresses. The installation is expected to take place during the second half of 2020, with the first batch of Renuva polyols expected to be delivered in the first half of 2021.

According to Dow Polyurethanes, every year around 30 million mattresses are thrown away in Europe. If they were all stacked up, the pile would be 678 times the height of Mount Everest (assuming an average mattress height of 20 cm – height of Mount Everest is 8,848 m). This new initiative will help enable a more circular economy for polyurethanes by ensuring the applications they are used in can be recycled, and it can help the EU reach its goal of having 65 % of municipal waste recycled by 2030, said the company.

“At Dow we’re passionate about integrating sustainability into all aspects of the Polyurethane lifecycle. This development will represent a significant step towards achieving circularity for a product which traditionally poses significant challenges for recycling,” said Ana Carolina Haracemiv, commercial director for Europe, Middle East, Africa, India (EMEAI), Dow Polyurethanes.

“Through Renuva our ambition is to address some of the circular economy goals set out in the EU’s Green Deal and in national waste management strategies of countries like France,” stated Marcel Moeller, global marketing and sustainability director, Dow Polyurethanes.

“This new cooperation will reinforce Orrion Chemicals Orgaform’s commitment to sustainable development,” said Christian Siest, president, Orrion Chemicals Orgaform. “We will be proud to build an industrial scale production unit for recycling end-of-life foam and be selected as a partner by Dow. This will be a major investment that fits the growth strategy of our company.”

www.dow.com/renuva

https://www.gupta-verlag.com/news/industry/24176/dow-industrial-scale-production-facility-will-recycle-end-of-life-mattresses-into-polyols

Taylor Galla
a bird sitting on top of a body of water: Waterbed-Featured-Image
© Shutterstock Waterbed-Featured-Image

 

Hey world, we’ve got a question.

Do they still make waterbeds?

What happened to this seemingly ingenious sleep aid, the mattress designed to help sleepers drift away to the rhythmic movements of water every night? Did they just disappear?

Waterbeds have always been fascinating, especially for those of us who came after their prime and have always wondered why their immense popularity didn’t seem to last. Were the potential negative consequences of a leak just too dire to bear anymore? Was the sleep not as restful as advertised? And how exactly are they made?

As you can tell, we have a lot of questions about these plastic mattresses filled with water, so we decided to get some answers. Let’s explore this neglected corner of sleep society.

What Happened to Waterbeds? The History of the Water Mattress

In order to understand the story of waterbeds and their history, we decided to consult a true expert. Bill Fish is the CEO of the Sleep Foundation, an organization dedicated to all things sleep and helping people find more of it. He’s also a certified sleep coach and helps nearly two million people per month to improve their sleep routines through his website.

Those are impressive credentials, but he also graduated from high school whilst sleeping on a queen-sized waterbed and was eager to discuss this sleep phenomenon with us.

According to Bill, waterbeds were “all the rage in the late 1970s, peaking in the mid-1980s, where at one point 22% of all bedding purchases were waterbeds.”

The waterbed was invented in the late 1960s as a master’s thesis project at San Francisco State University. The creator, Charles Hall, still sleeps on one every night despite his creation’s decline in popularity, and he believes they’re still the most comfortable bed.

Here’s a look at a vintage waterbed commercial in all its 1970s glory:

Water mattresses rose to immense popularity, becoming a $2-billion-a-year industry in 1989, but demand declined throughout the 1990s. By 2013, waterbeds laid claim to less than 5 percent of the mattress industry. Oh, how the mighty have fallen.

And they are mighty alright — a full-size waterbed at full liquid capacity weighs 1,600 pounds. This makes them very difficult to move, a major factor in their ultimate decline in popularity.

Now, waterbeds are rare, and most young people don’t know anyone who’s purchased one. According to Bill, the reasons behind waterbeds’ withdrawal from popular society is a bit more complicated than you would think.

“In the 1990s, the technology in mattresses began to improve. With companies such as Tempurpedic changing the game a bit utilizing memory foam, as well as other components to get away from the firm innerspring beds of the prior 40 years.”

“At the same time, people were finally coming to the realization that waterbeds were quite a bit of work. A waterbed is extremely heavy, and moving it even a bit would require the entire bed to be drained. The bed frames are also extremely heavy due to the support needed for the actual bed.”

“Draining the bed would require a hose, as well as a pump, one misstep and you are looking at a mini flood. Waterbeds also had a tendency to leak all too frequently. It got to the point where many landlords wouldn’t even allow a waterbed inside of their buildings.”

All of this became too difficult to deal with for consumers, and the allure of drifting off to the soothing ripples of aquatic bliss was outweighed by the hassle of moving them, filling them, draining them and praying for no leaks. In fact, your own apartment lease might forbid waterbeds. My own lease agreement stipulates that no “water-filled furniture” is allowed on the premises.

And with low-cost memory foam and bed-in-a-box mattresses

Do They Still Make Waterbeds?

Yes, it turns out there are still some sleep manufacturers producing and selling waterbeds. They’re not nearly as popular or common as they were in their hay day, but they’ve still got a presence. The best waterbeds will cost you about $1,500, which is one more reason they struggle to survive in the era of cheap Casper mattresses.

Keep reading to find out where you can still buy waterbeds.

https://www.msn.com/en-us/lifestyle/shopping-all/what-happened-to-waterbeds-an-update-on-the-trendy-aquatic-mattresses-of-the-80-s/ar-BB14QKNw