The Urethane Blog

Epoxy Comments from Huntsman Investors’ Call

P.J. Juvekar – Citigroup Global Markets, Inc.

Okay. And then, my second question is on epoxies. Can you talk about supply/demand in epoxies, both on the liquid bulk side and sort of more differentiated epoxies and what’s the split there?

Peter R. Huntsman – Huntsman Corp.

Well, kind of tough for me to comment on the BLR on the bulk side. As you know, we’ve gotten out of most of that and I think it’s the right decision. There’ll probably be the occasional quarter when there’s a short-term tightness or something where people may say, well, it’s too bad you got out of it, but I think, by and large, it’s a product that we’re glad we’re out of it. And we’re focused on the downstream and we’re focused on applications.

Quite frankly, when I look at our electronics, our coatings, construction, our aerospace, transportation, these really, again, don’t have a great bearing, the margins don’t on supply and demand, on capacity utilization. In many of these applications, we’re in for a multi-year basis. We’re one of maybe one or two suppliers globally that can make the products that we’re making and we’re going to continue to look at the nanotechnologies and so forth as we go further downstream, and in our Advanced Materials.

And I think that we tried to highlight in our Investor Day, I think, a very significant issue is we never said the word epoxy when we went over entire presentation as to where we see Advanced Materials going. So, I think we see epoxy as a component of that business. It’s going to create value going downstream, but as far as BLR and the basic epoxy resin industry, good riddance.

 

 

https://seekingalpha.com/article/4192735-huntsman-hun-q2-2018-results-earnings-call-transcript?part=single