Plastic Material News

A. Schulman Announces Completion of ICO Acquisition

April 30, 2010 - Akron, OH - A. Schulman, Inc. (Nasdaq: SHLM) announced today that it has completed its acquisition of ICO, Inc., following the approval of the ICO stockholders at a special meeting on April 28, 2010. The transaction, first announced on December 2, 2009, provides for total consideration of $105 million in cash and 5.1 million shares of A. Schulman common stock. For each ICO share, ICO stockholders will receive approximately $3.64 in cash and 0.18 share of A. Schulman common stock.

• ICO, Inc. stockholders approve transaction at special meeting
• Acquisition furthers A. Schulman's global growth in rotomolding and masterbatch markets
• Expands manufacturing footprint in Latin America and Australia; strengthens established positions in North America, Europe and Asia
• Total consideration of $105 million in cash and 5.1 million shares of A. Schulman common stock

ICO is a global manufacturer of specialty resins and concentrates for rotomolding, and provides specialty polymer services, including size reduction, compounding and other related services. Its products are used to manufacture plastic bags and films, household products, toys, water tanks and other rotational molding applications. ICO reported annual revenues of $300 million for the year ended September 30, 2009.

"The acquisition of ICO is an opportunity for A. Schulman to expand its presence globally as we pursue our strategic objective of being a leading manufacturer in both the masterbatch and rotomolding markets," said Joseph M. Gingo, Chairman, President and Chief Executive Officer. "We have been impressed with ICO's people and the capabilities of its organization. The combination will increase our talent base significantly. Our businesses are highly complementary and we expect a quick and seamless integration. The transaction will strengthen our ability to serve customers because it will expand our product offerings, broaden our global reach and allow us to share technology and product development. As a result, it will provide our strategic suppliers and partners additional opportunities as well. Our stockholders will benefit as A. Schulman becomes a stronger player in its target markets with an enhanced ability for value creation. As previously stated, we expect the acquisition to generate approximately $15 million in annual synergies by fiscal 2012. This does not include any additional expected manufacturing and sales synergies generated after the two companies are fully integrated."

With the addition of ICO's operations, A. Schulman will strengthen its presence in the U.S. masterbatch market, gain plants in the high-growth markets of Brazil and Malaysia and add facilities in Australia. The acquisition also will allow A. Schulman to expand its presence in Europe by adding rotomolding and size reduction to its capabilities and further leveraging its existing facilities serving high-growth markets such as Poland, Hungary and Sweden.

Conference Call on the Web

A. Schulman will be hosting a conference call regarding the acquisition of ICO, Inc. A live Internet broadcast of the conference call can be accessed at 9 a.m. Eastern time on Tuesday, May 4, 2010, on the Company's website, www.aschulman.com. An archived replay of the call will also be available on the website.

About A. Schulman, Inc.

Headquartered in Akron, Ohio, A. Schulman is a leading international supplier of high-performance plastic compounds and resins. These materials are used in a variety of consumer, industrial, automotive and packaging applications. The Company employs about 2,000 people and has 17 manufacturing facilities in North America, Europe and Asia. Revenues for the fiscal year ended August 31, 2009, were $1.3 billion. Additional information about A. Schulman can be found at www.aschulman.com.

Forward-Looking Statements

Certain statements in this release may constitute forward-looking statements within the meaning of the Federal securities laws. These statements can be identified by the fact that they do not relate strictly to historic or current facts. They use such words as "anticipate," "estimate," "expect," "project," "intend," "plan," "believe," and other words and terms of similar meaning in connection with any discussion of future operating or financial performance. These forward-looking statements are based on currently available information, but are subject to a variety of uncertainties, unknown risks and other factors concerning the Company's operations and business environment, which are difficult to predict and are beyond the control of the Company. Important factors that could cause actual results to differ materially from those suggested by these forward-looking statements, and that could adversely affect the Company's future financial performance, include, but are not limited to, the following:

• Worldwide and regional economic, business and political conditions, including continuing economic uncertainties in some or all of the Company's major product markets;
• Fluctuations in the value of currencies in major areas where the Company operates, including the U.S. dollar, Euro, U.K. pound sterling, Canadian dollar, Mexican peso, Chinese yuan and Indonesian rupiah;
• Fluctuations in the prices of sources of energy or plastic resins and other raw materials;
• Changes in customer demand and requirements;
• Escalation in the cost of providing employee health care;
• The outcome of any legal claims known or unknown;
• The performance of the global auto market;
• The global financial market turbulence; and
• The global or regional economic slowdown or recession.

Additional risk factors that could affect the Company's performance are set forth in the Company's Annual Report on Form 10-K. In addition, risks and uncertainties not presently known to the Company or that it believes to be immaterial also may adversely affect the Company. Should any known or unknown risks or uncertainties develop into actual events, or underlying assumptions prove inaccurate, these developments could have material adverse effects on the Company's business, financial condition and results of operations.

This release contains time-sensitive information that reflects management's best analysis only as of the date of this release. A. Schulman does not undertake an obligation to publicly update or revise any forward-looking statements to reflect new events, information or circumstances, or otherwise. Further information concerning issues that could materially affect financial performance related to forward-looking statements can be found in A. Schulman's periodic filings with the Securities and Exchange Commission. 

China's Economic Boom May Be Coming to an End, Impacting Chemicals & Plastics

[Source ICB]

April 30, 2010 - China's role in supporting growth throughout the rest of Asia partly rests on the strength of its demand for basic raw materials such as iron ore, metals, coal and petroleum. Booming demand for all of these commodities has helped support strong economic recoveries in Australia and Indonesia.

And it is no exaggeration to say that China's demand for basic chemicals and plastics has been vital for the global industry in the face of much weaker demand in the West.

Click to continue...

Albemarle Licenses Market Leading Polyethylene Catalyst Technologies From Polimeri Europa

New Ziegler Natta polyethylene catalyst product line will be marketed under the brand name Advantage

April 30, 2010 - Baton Rouge, LA - Albemarle Corporation (NYSE: ALB), announced it has signed a letter of intent with Polimeri Europa to license their Ziegler Natta polyethylene catalyst technologies for slurry, high pressure and solution applications.

Under terms of the agreement, Albemarle will become the exclusive marketer of Ziegler type catalysts sold into the High Density Polyethylene (HDPE) and Linear Low Density Polyethylene (LLDPE) markets. The catalysts will be sold under the Advantage brand name.

“These new catalyst technologies will allow Albemarle to expand our portfolio beyond our current offerings to help our customers achieve success in the increasingly competitive global polyolefin market. Albemarle is committed to investing in world class catalyst technologies that allow us to continue expanding our reach into new market segments while meeting the needs of our growing client base,” said Amy Motto, Division Vice President, Polyolefin and Chemical Catalysts.

Initial offerings will be Advantage LL77, targeted at producing LLDPE octene-1 co-polymers in high temperature, adiabatic solution processes and Advantage LL26, targeted at producing LLDPE butene-1 co-polymers in high pressure processes with excellent co-monomer distribution and Advantage HD26 and HD46 to produce injection grades of HDPE with remarkably narrow molecular weight distribution.

Albemarle is a global supplier of catalysts and components to the polyolefin market. Albemarle’s market leading technologies include metal alkyls, MAO and organoboron co-catalysts, electron donors, metallocenes, Ziegler PE and supported metallocene PE & PP catalysts.

About Albemarle
Albemarle Corporation, headquartered in Baton Rouge, Louisiana, is a leading global developer, manufacturer, and marketer of highly-engineered specialty chemicals for consumer electronics, petroleum refining, utilities, packaging, construction, automotive/transportation, pharmaceuticals, crop protection, food-safety and custom chemistry services. The Company is committed to global sustainability and is advancing its eco-practices and solutions in its three business segments, Polymer Solutions, Catalysts and Fine Chemicals. Corporate Responsibility Magazine recently selected Albemarle to its prestigious “100 Best Corporate Citizens” list for 2010. Albemarle employs approximately 4,000 people and serves customers in approximately 100 countries. To learn more, visit http://www.albemarle.com.

About PolimeriEuropa
POLIMERI EUROPA, the eni petrochemical company, with 17 production plants in Europe, a world-wide sales network, an e-commerce and a logistic portal, markets and sells Base Chemicals, Styrenics, Elastomers and Polyethylene as a sound and comprehensive supplier whose key strength is its integration, also in terms of assistance and service.

On the basis of its first hand experience, polimeri europa can also license its proprietary production technologies aiming to satisfy the even more specific customer needs.

POLIMERI EUROPA’s commitment to quality and innovation continues, promoting sustainable growth with regard to the community and the environment.

To learn more, visit http://www.polimerieuropa.com

“Safe Harbor” Statement under the Private Securities Litigation Reform Act of 1995: Statements in this press release regarding Albemarle Corporation’s business that are not historical facts are “forward-looking statements” that involve risks and uncertainties. For a discussion of such risks and uncertainties, which could cause actual results to differ from those contained in the forward-looking statements, see “Risk Factors” in the Company’s Annual Report on Form 10-K.

Toyobo Plans to Release High-Melting Point Polyamide in 2011

April 30, 2010 - Toyobo Co Ltd tied up with Arkema, a France-based chemical maker, for the production and sales of the "Bairoamido MJ" series of high-melting point polyamide (PA) using biomass feedstock.

Toyobo plans to start selling it in the global market in earnest from 2011. The Bairoamido MJ series features a high melting point and a low water-absorbing property. Therefore, it is suited for use in automotive components, which require a high heat resistance and a dimension stability, as well as electric and electronic components such as LEDs.

Toyobo and Arkema had been co-developing the PA by the end of 2009 and started shipping samples in the beginning of 2010.

In general, PA has a high heat resistance, oil resistance, strength, etc. There have already been biomass feedstock-based PAs available in the market. But the melting point of the Bairoamido MJ is as high as 260 to 315°C, which is the highest level compared with high-melting point PAs made from oil, Toyobo said.

In addition, the water absorption rate of the Bairoamido MJ is 1/3 that of existing PAs, making it possible to use PA for applications that have so far been difficult due to dimensional change caused by water absorption.

The biomass feedstock is made from castor-oil plant, which is inedible. The content percentage of the biomass feedstock and the melting point are respectively 30% and 315°C for the "MJ-300" and 70% and 260°C for the "MJ-200." Arkema sells the MJ-300 and MJ-200 under different names.

The two companies aim at achieving an annual sales of ¥5 billion by 2014.

TOPAS Advanced Polymers Increases Prices

April 30, 2010 - Florence, KY - Effective May 15, 2010, TOPAS Advanced Polymers (TAP) is raising the prices for all grades of its TOPAS® cyclic olefin copolymer (COC). The reasons for this increase are the sustained increases in raw materials and other costs during recent months. As contracts allow, TAP will increase prices for all COC resins by US $0.10/lb.

Just in Time for Spring Cleaning BASF’s Terluran GP ABS Resin is up to the Challenge

April 29, 2010 - Wyandotte, MI - Open the windows and let the fresh air in. After a long, cold winter, it is energizing to start the new season with warm breezes and the fresh scent of spring. In 2010, Hoover® vacuums, an industry leader in the cleaning category for more than 100 years, is introducing a new line of upright cleaners made from BASF’s Terluran ABS resin.

 

Hoover® chose BASF’s Terluran® GP-22 acrylonitrile butadiene styrene copolymer (ABS) resin for its new line of Hoover® WindTunnel™ T-Series upright vacuums due to the physical properties and excellent processing characteristics of the resin. The material has an exceptionally light natural color, which provides excellent color stability, colorability and color consistency. Terluran® ABS resin also provides high gloss advantages, so the end-use product looks like new after every use. BASF’s Terluran® ABS is used as the base resin for all of the colored portions of the Hoover® WindTunnel™ T-Series cleaners.

“Hoover has been extremely pleased with the performance of Terluran® in the new product line. The use of a color concentrate along with a polymer of consistent color quality has been a benefit for us to reduce and improve our inventory management and has lowered our working capital,” says Manny Flores, Sourcing Leader – Plastics for TTi FloorCare North America (parent company for Hoover).

Today, many appliances and consumer home goods are keeping up with color trends and customer demands, while maintaining reasonable inventories.

“Terluran® ABS helps us stay on top of consumer trends with our machines and allows us to meet the needs of our customers in regards to color flexibility”, says Stephan Stoll, Vice President of Operations for TTi FloorCare North America.

Albemarle Licenses Market Leading Polyethylene Catalyst Technologies From Polimeri Europa

April 29, 2010 - Baton Rouge, LA - New Ziegler Natta polyethylene catalyst product line will be marketed under the brand name Advantage™
 
Albemarle Corporation (www.albemarle.com) (NYSE: ALB), announced it has signed a letter of intent with Polimeri Europa to license their Ziegler Natta polyethylene catalyst technologies for slurry, high pressure and solution applications.
 
Under terms of the agreement, Albemarle will become the exclusive marketer of Ziegler type catalysts sold into the High Density Polyethylene (HDPE) and Linear Low Density Polyethylene (LLDPE) markets. The catalysts will be sold under the Advantage™ brand name.
 
"These new catalyst technologies will allow Albemarle to expand our portfolio beyond our current offerings to help our customers achieve success in the increasingly competitive global polyolefin market. Albemarle is committed to investing in world class catalyst technologies that allow us to continue expanding our reach into new market segments while meeting the needs of our growing client base," said Amy Motto, Division Vice President, Polyolefin and Chemical Catalysts.
 
Initial offerings will be Advantage™ LL77, targeted at producing LLDPE octene-1 co-polymers in high temperature, adiabatic solution processes and Advantage™ LL26, targeted at producing LLDPE butene-1 co-polymers in high pressure processes with excellent co-monomer distribution and Advantage™ HD26 and HD46 to produce injection grades of HDPE with remarkably narrow molecular weight distribution.
 
Albemarle is a global supplier of catalysts and components to the polyolefin market. Albemarle's market leading technologies include metal alkyls, MAO and organoboron co-catalysts, electron donors, metallocenes, Ziegler PE and supported metallocene PE & PP catalysts.
 
About Albemarle
Albemarle Corporation, headquartered in Baton Rouge, Louisiana, is a leading global developer, manufacturer, and marketer of highly-engineered specialty chemicals for consumer electronics, petroleum refining, utilities, packaging, construction, automotive/transportation, pharmaceuticals, crop protection, food-safety and custom chemistry services. The Company is committed to global sustainability and is advancing its eco-practices and solutions in its three business segments, Polymer Solutions (www.albemarle.com/Products_and_services/Polymer_additives/), Catalysts (www.albemarle.com/Products_and_services/Catalysts/) and Fine Chemicals (www.albemarle.com/Products_and_services/Fine_chemicals/). Corporate Responsibility Magazine recently selected Albemarle to its prestigious "100 Best Corporate Citizens" list for 2010. Albemarle employs approximately 4,000 people and serves customers in approximately 100 countries. To learn more, visit www.albemarle.com.
 
About Polimeri Europa
POLIMERI EUROPA, the eni petrochemical company, with 17 production plants in Europe, a world-wide sales network, an e-commerce and a logistic portal, markets and sells Base Chemicals, Styrenics, Elastomers and Polyethylene as a sound and comprehensive supplier whose key strength is its integration, also in terms of assistance and service.
 
On the basis of its first hand experience, polimeri europa can also license its proprietary production technologies aiming to satisfy the even more specific customer needs.
 
POLIMERI EUROPA's commitment to quality and innovation continues, promoting sustainable growth with regard to the community and the environment.
 
To learn more, visit www.polimerieuropa.com

Future Developments in PVC Formulation

April 29, 2010 - PVC recipes are currently evolving to take into account legislation against the use of heavy metal stabilisers worldwide, trends in flame retardants and the controversies over the use of some phthalate plasticisers. AMI brought together some of the top experts in this field to a global conference on PVC Formulation, which took place in Cologne in March 2010. 

Jon Nash of AMI Consulting reviewed the market trends. World demand for PVC amounted to around 33 million tonnes in 2009, with a fall in demand in NAFTA, Europe and Japan.  Overall, there was a drop of 1-2% in 2009, compared with a fall of 6-7% in 2008. Growth was seen in India and Asia, and is expected to continue in these regions and in Latin America in the foreseeable future.  Construction markets in developing countries are driving much of this increase in applications such as pipe, cable and profile.  Most compounding is carried out in house, with only around 25% bought in across Europe in 2009.

Shin-Etsu PVC has examined the effects of replacing lead stabilisers on PVC pipes and profiles in work with Rehau and Dow. In the case of Ca/Zn stabilisers, the comments from customers were that they needed co-stabilisers, different lubrication packages, experienced more plate-out and required changes to processing conditions. The lead stabilisers outperformed Ca/Zn in tests such as creep although ageing improved this. Gelation levels were higher in Ca/Zn stabilised pipes compared to lead and this was affected by the lubricant package. This work demonstrates the need to look at the whole formulation when one ingredient is replaced, and at the performance of the end product.  Sud-Chemie has synthetic hydrotalcite co-stabilisers for Ca/Zn systems, with major investments in production capacity from 2007 onwards to safeguard growing demand. In 2009, 30% of stabiliser production in the EU was lead-based, with 52% Ca/Zn and around 8% tin-based (total 133,500 tons). This compares to 38% lead and 44% Ca/Zn in 2008.  This trend is expected to continue as lead is phased out completely in 2013.

Tin stabilisers are used across the EU, with the highest use in calendered film (10,000 tons) and sheet and profile (1,500 tons), according to the European Stabilisers Producers Association. REACH is affecting this market segment, particularly where compounds are rated as having potential to be carcinogenic, mutagenic or toxic to reproduction (CMR). Dibutyl tins have Reprotoxic Category 2 and Mutagenic Category 3 and will be restricted within 3 years, with an exemption to January 2015 for use in soft PVC profiles, coated fabrics for outdoor use, outdoor pipes and roofing materials. Dioctyl tins will be restricted after January 2012 in skin contact textiles, wall and floor coverings.  The association has published information to assist companies to work out the implications of the legislation.

PVC stabilisers need to act as HCl scavengers, remove or replace labile chloride ions, react with free radicals (antioxidant), and modify the polyene to retard colour development, chain scission and crosslinking. According to Arkema, mono octyl tin stabilisers offer excellent transparency with almost no discoloration, for applications like film. This product is now available commercially as Thermolite 895. It has been tested in calendering of rigid PVC.

The conversion from lead to Ca/Zn stabilisers in window profiles has been studied by Baerlocher. The new product is less dense than the lead equivalent, which means there is a reduction of non meltable components in the formulation and the filler load can be increased. Lubricant systems have to be changed, volatile additives should be reduced and the formulation examined to prevent cross reactions. For example, common Ca/Zn systems need beta-diketones which can split off acetyl acetone, which in turn can react with iron ions to give a reddish deposit in the degassing zone. This can be reduced by optimising the dose of diketone or substituting it (this is under development).  The Turkish company, Akdeniz Kimya, produces Ca/Zn stabilisers and has been looking at the whole formulation for profiles, with particular attention to the lubricant pack. The company has a new low zinc product, which it says leads to high gloss and low plate out.

Catena Additives cultivates a “green” image in its products and is making tin stabiliser replacements and non-halogenated flame retardants. It is part of the Floridienne Group.  The Eurostab stabiliser contains no solvent and is suitable for rigid transparent applications, such as sheet for construction and advertising boards. It offers good weatherability compared to tin compounds. A new product was introduced at the AMI conference: the Safire group of flame retardants comprises nitrogen and phosphorus containing polymer compounds. Catena Additives has carried out research to develop formulations for cable, using a Metrastat Gear Oven to test for thermal stability. In combination with aluminium trihydrate (ATH), thermal stability and mechanical properties were improved using Safire additives. These materials are patented and undergoing the ELINCS process.

Chemtura formed a new vinyl additives company in 2010. It supplies a range of mixed metal, tin and organic stabilisers, as well as liquid phosphate esters, impact modifiers, antistatic agents and lubricants. The company offers the “green” product epoxidized soya bean oil, to improve the heat stability of metal soaps and organic systems. This product also acts as an internal lubricant or processing aid. Chemtura has worked on replacement products affected by legislation and carried out testing: for example, its organic based stabiliser has excellent transparency and is effective in flooring top coat, guarding against yellowing or amine staining (pinking); and the formulation passes the VDA criteria for fogging in automotive foils.

Functional fillers are used in PVC compounds in stabilization, flame retardancy and smoke suppression. Nabaltec has tested a range of mineral hydrates for their effects. Boehmite (aluminium oxide hydrate) was found to be an alternative flame retardant to ATH, giving high tensile strength and low water uptake. Calcium-aluminium-hydrate-carbonate (CAHC) works with ATH, it is an acid scavenger and co-stabiliser; the combination reduces the smoke release rate.  Zinc borate with ATH reduces smoke, but reduces thermal stability and cuts the time to ignition.  Zinc borate can be combined with CAHC to improve flame retardancy and thermal performance of PVC. 

There are new developments in plasticisers. Roquette Freres operates a biorefinery in France. It is producing isosorbide di-esters as sustainable plasticisers by esterification of isosorbide (produced by dehydration of sorbitol) using vegetable based fatty acids. It is being tested in industrial trials in PVC products such as flooring, sun shades, sealing and conveyors.

Polymeric plasticisers have been developed by Lanxess Deutschland from adipic acid polyesters (polyadipates).  Polymeric plasticisers have low volatility, migration and extractability. Applications include film, cling film (food contact), hose, cables, shoes and clothing. The company has produced a variety of viscosities in the Ultramoll range and tested them in formulations, for example in extraction with olive oil. Ultramoll IV is medium viscosity to improve processing, has Food Contact Listing in the EU and is in compliance with the US FDA 21 CFR.

Eastman is also in the market with new high solvating plasticisers for PVC plastisols. Dioctyl terephthalate (DOTP) has been on the market since 1975 and is used at around 28 phr in plastisols: it is not adversely listed and is commercially available as Eastman 168. It is going through REACH registration for 2010.  New chemicals are being tested such as dibutyl terephthalate (DBT), di-isobutyl phthalate and benzoate esters.  DBT is being supported for REACH for sensitive applications.  Both DOTP and DBT are “label-free and readily biodegradable for EU markets”.

There are a variety of lubricants available. Clariant Produkte (Deutschland) has tested several classes including hydrocarbon/polyolefin wax, oxidised polyolefin and ester wax for pipe, profile and film formulations with Ca/Zn stabilisers. Combinations of waxes can improve performance significantly, lowering energy consumption and leading to higher output in production. For example, the best combination for profiles was found to be oxidised PE wax + PE wax + internal esters + montanic acid ester.

Impurities in calcium carbonate can cause problems.  Chemson has examined a series of mineral samples to look at the effects, examining levels of iron oxide, manganese oxide, aluminium oxide. Iron has the biggest adverse effect on colour and colour hold. Manganese does not affect initial colour, but does affect colour hold.  Titanium dioxide is added to PVC as an UV absorber, opacifier (especially rutile), and hides the yellowing of PVC that results from processing and weathering. DuPont Titanium Technologies is the largest producer and has studied these effects in depth.

The Shepherd Color Co. Has developed infrared reflective pigments to reduce heat build-up on darker colours.  Complex inorganic coloured pigments are chemical resistant, have good processing properties and weatherability. The company has been running weathering tests for three decades in South Florida on colours like spinel black, titanate yellow and cobalt green.  When infrared light is reflected the thermal heat exposure of the material is reduced, and as IR light constitutes 50% of solar radiation this is very significant. The visible light is still absorbed thus maintaining the appearance of the colour. Total solar reflectance is measured using ASTM E903-96.  Rapid Optical Control (ROC) has new processing technology for compounding, which carries out colour measurements by automatic sampling and gives results in 3 minutes, leading to faster colour correction and improved quality.

Buss is a leading expert in compounding equipment.  It has developed an oscillating screw kneader for highly filled PVC, i.e. compounds with over 35% volume fraction of filler. The advantage is cost, as calcium carbonate costs less than PVC resin. The challenge is to break open the agglomerates of particles, surface wet them, and remove air and volatiles.  The screw functions in four sections: intake of dry blend and extra filler, melt and mix, second intake section with hot fed calcium carbonate, and the final homogenization zone. As one example, rigid PVC for window sills was extruded at over 110 phr filler, at 2600-3900 kg/h.

The AMI conference on PVC formulation attracted a record number of delegates in 2010, and the event was a great success, providing a forum to debate the complexities of formulating PVC in the new millennium.

Innovation and Product Development Drive Bio-based Plastics Toward New Applications, Finds Frost & Sullivan

April 29, 2010 - London, UK - Improvements in product performance and an expanding product range continue to propel the bio-based plastics into new and high-growth applications despite the challenges posed by the economic downturn and resulting price sensitivity of customers. The global bioplastics market has reached a critical juncture in its growth phase, with a large number of companies now focusing on transitioning from laboratory and pilot scale to full-fledged commercialisation.
 
New analysis from Frost & Sullivan (www.chemicals.frost.com), Global Bio-based Plastics Market, finds that the market earned revenues of euro 570.6 million in 2008, and estimates this to reach euro 1.1 billion in 2015.
 
"The move towards sustainability in key end user markets for plastics will continue to drive the demand for sustainable bio-based plastics," notes Frost & Sullivan's Performance Materials Industry Principal, Dr. Brian Balmer. "The ever increasing product mix in bio-based plastics will ensure that a wide range of applications is made available for bio-based plastics to capitalise upon."
 
Plastics are expanding into newer areas that were traditionally catered to by engineering plastics like polybutylene terephthalate (PBT) and acrylonitrile-butadiene-styrene (ABS). This was made possible by significant improvements in the production methods and additives in bio-based plastics, opening up new avenues of growth for bio-based plastics.
 
The development in bio-based commodity and technical plastics will pave the way for bioplastics to expand into two different ends of the performance scale. While bio-based commodity plastics will accelerate the growth of bioplastics in packaging and similar applications, the growth in technical bio-based plastics will enable expansion into automotive, electronic and consumer goods applications.
 
The main challenges facing the bio-based plastics market in the short term stem from the impact of the economic slump, which will make funding of major project expansions complex. However, in the long term, the challenges are more structural such as enhancing the recycling infrastructure as well as technical properties for bioplastics.
 
"The recession has seen some of the major expansion and market entry projects suffer setbacks," explains Dr. Balmer. "Although, sufficient capacity is currently available for most of the bio-based plastic types, future market growth will mainly depend on crucial capacity additions taking place according to schedule."
 
Partnership with key market participants will be critical to long-term success in the rapidly growing bio-based plastics market. For example, partnership with major chemical companies will ensure that bio-based plastic producers with a predominantly agricultural background will gain rapid access to critical technology and market development capabilities.
 
"Bio-plastic suppliers should focus on improving product performance and the depth of their product range if they are to succeed in the rapidly evolving markets for bio-based plastics," concludes Dr. Balmer. "End users need to be made aware of the various alternatives available in bio-based plastics, with a clear definition of the performance and end-of-life characteristics of each of these bio-based plastics."
 
If you are interested more information on this study, please e-mail Monika Kwiecinska, Corporate Communications, at monika.kwiecinska@frost.com, with your full name, company name, title, telephone number, company e-mail address, company website, city, state and country.
 
Global Bio-based Plastics Market is part of the Chemicals & Materials Growth Partnership Services programme, which also includes research in the following markets: European Markets for Plastics in Medical Devices, 2009, European Markets for Plastics in Passenger Vehicles, 2009, Latin American Engineering Plastics Market, 2009, and European Markets for Natural Fibre Composites, 2008. All research services included in subscriptions provide detailed market opportunities and industry trends that have been evaluated following extensive interviews with market participants.
 
About Frost & Sullivan
Frost & Sullivan, the Growth Partnership Company, enables clients to accelerate growth and achieve best-in-class positions in growth, innovation and leadership. The company's Growth Partnership Service provides the CEO and the CEO's Growth Team with disciplined research and best-practice models to drive the generation, evaluation, and implementation of powerful growth strategies. Frost & Sullivan leverages over 45 years of experience in partnering with Global 1000 companies, emerging businesses and the investment community from 40 offices on six continents. To join our Growth Partnership, please visit www.frost.com.

New Materials for Waterborne, Soft-Touch Coatings and Films From Bayer MaterialScience LLC Offer Tangible Advantages

April 29, 2010 - Pittsburgh, PA — Car manufacturers use them to lend a feel of quality to interiors, and vacuum original equipment manufacturers (OEMs) apply them to handles for a soft, velvety feel. Soft-touch coatings formulated with raw materials from Bayer MaterialScience LLC can be found in many different applications ranging from household appliances to medical devices to automobiles, and beyond. Two-component waterborne soft-touch coatings systems and newly formulated soft-touch films work in tandem to deliver attractive surfaces that have pleasing haptic qualities, but are also tough enough to withstand years of daily use.

In its latest breakthrough, Bayer MaterialScience LLC has applied its graffiti-resistant technology to soft-touch coatings, yielding a suntan lotion- and DEET- (N,N-diethyl-meta-toluamide) resistant coating. DEET, a slightly yellow oil, is the most common active ingredient in insect repellant.

Bayer MaterialScience LLC offers water-emulsible Bayhydur® polyisocyanates and Bayhydrol® polyurethane dispersions for the formulation of waterborne soft-touch coating systems. These coatings are used in numerous consumer products, such as the casings of laptop computers, telephones and MP3 players.
However, a major area of application for soft-touch coatings is the automotive industry. Soft-touch coatings offer many benefits – they have low gloss levels and thus low reflectivity, are very resistant to abrasion and scratching, and are available in a number of colors and effects. Automakers use them on consoles, steering wheels, arm rests and door trim among other components, providing aesthetic and haptic qualities.

The most recent breakthrough in soft-touch coatings is resistance to suntan lotion and DEET. Automotive OEMs have stringent specifications tests regarding chemical resistance. Until now, the industry challenge has been that coatings would pass the chemical resistance tests, but would not be soft; conversely, they would be soft, but fail because chemicals in the suntan lotion and DEET penetrated through the soft-touch coating and began to degrade the plastic underneath. Fortunately, Bayer MaterialScience LLC’s Bayhydur® polyisocyanates and Bayhydrol® polyurethane dispersions pass the test, translating into a viable option for automotive OEMs.

New formulations of soft-touch films from Bayer MaterialScience, Makrofol® Softtouch and Bayfol® Softtouch, are high-performance grades for short production processes that improve the quality of soft-touch coatings. The soft-touch surface is applied before the films are molded and back-injected with plastic, eliminating the need for a coating line or spray coating. Time is on the molder’s side, as time-consuming component drying required with conventional coatings is eliminated. Films can also be printed on the reverse side or otherwise decorated in an additional step. End products feature attractive surfaces that can be produced quickly, efficiently and cost-effectively.

“The applications for our soft-touch technologies are just as diverse as the products in today’s marketplace,” said Kathy Allen, technical manager–2K WB, Coatings, Adhesives and Specialties, Bayer MaterialScience LLC. “As a leader in polyurethane chemistry, we will continue to make advances in the science of coatings – such as the new suntan lotion-resistant materials for automotive interiors – that meet the evolving needs of our customers.”

Bayer MaterialScience LLC is one of the leading producers of polymers and high-performance plastics in North America and is part of the global Bayer MaterialScience business with approximately 14,300 employees at 30 production sites around the world and 2009 sales of 7.5 billion euros. The company manufactures high-tech polymer materials and develops innovative solutions for products used in many areas of daily life. The main segments served are the automotive, electrical and electronics, construction, medical, and sports and leisure industries. Sustainability is central to Bayer MaterialScience LLC’s business and is based around the key areas of innovation, product stewardship, excellence in corporate management, social responsibility and respect for the environment.