MARKETS
Ethylene Chemicals Slashed Further cuts m a d e in o x i d e a n d glycol; e t h a n o l amines a n d p r o p y l e n e glycols also r e d u c e d by makers TVJEW price slash of 3 cents in ethylene - ^ chemicals, following reductions of 2.5 to 2.75 cents per pound last December, brings to light a keener competitive situation in these basic products than had been realized. Manufacturers' quotations for tank car ethylene glycol are now down to 11.5 cents a pound. Ethylene oxide, raw material for the glycol a n d other related chemicals, has been sent to 13.5 cents, tank cars. This time the reductions take in a number of other ethylene-based chemicals and related items which are considered among the industry's most important volume money makers. Also accorded three-cent cuts are dimethylene glycol, triethylene glycol, the industrial and U S P grades of propylene glycol, and dipropylene glycol. A few days previous leading producers had reduced synthetic ethyl alcohol by the same amount, and had lowered quotations for isopropyl alcohol 2.5 to 3 cents a gallon. Ethanolamines this time are among the items included in the newer acrossboard price slash, a tank car basis of 23.5 cents being established for mono-, 23 cents for di-, and 21 cents for triethanolamine. Antifreeze Retail M a r k e t . When basic tank car prices "were reduced in December, the reductions were translated into price cuts for ethylene glycol antifreeze, effective April 1, usually the beginning of the antifreeze season. At this writing it is not known if the new 3-cent cut in basic quotations will be applied to the retail outlets. New reductions in tank car market became known March 2 6 . Carbide and Carbon Chemicals early in January effected a rather deep price reduction in retail price for Prestone to $2.95 per gallon, from $3.75 previously. This was a cut of about 2Wc T h e price to jobbers at the same time was lowered to $1.50, from the former quotation of $1.92. Carbide is understood to have taken the initiative in the ethylene glycol price reductions last year, but this time the cuts were effected b y others which Carbide found it necessary to meet. Of the 630 million pounds of ethylene glycol produced b y the industry in 1953 for all purposes, some 70% is said to represent antifreeze. Private Label Business. Other leading factors in ethylene glycol produc1402
tion are Du Pont, Jefferson Chemical, Mathieson, Dow, and Wyandotte. In addition to supplying i t s own unit, National Carbide, Carbide and Carbon also sells to Commercial Solvents. Jefferson Chemical's outtput is taken by the Texas Co., and Mathieson's production goes partly to U . S. Industrial Chemicals. Private brand permanent antifreeze, an expanding business, is supplied by some of these sources, and Dow has recently erected a plant t o engage in canning and labeling glycol antifreeze for distributor-customers. Profit margins on glycol antifreeze is said to have narrowed down appreciably in past year or so. Important Markets. Reductions just made by manufacturers in prices for ethylene and propylene derivatives involve chemicals which have an aggregate production total of more than 1830 million pounds in 1952, according to U. S. Tariff Commission, and volume sales of over 998 million pounds. Value of sales for fur* commodities in this group—synthetic alcohol, ethylene glycol, diethylene glycol, ethanolamines, and propylene glycol, was $135,450,000. This total does not take in ethylene oxide, dipropylene glycol, or triethylene glycol, T o avoid excessive duplication ethylene oxide has also been omitted from the production and sale total above. Last year's output of mono-, di-, and triethanolamines ^was 53,499,707 pounds as against 43,965,000 pounds in 1952 (see Table), As aliphatic nitrogen compounds, these products have come up fast in recent years for removal or concentration of hydrogen sulfide and carbon dioxide from various gas streams. Cargoes Diverted, Fairly wide deEthylene and Propylene Derivatives,
(Thousands of pounds) Sales Production Alcohol, synthetic 858,152 262,807 35,796 Diethylene glycol 64,191 Dipropylene glycol 5,570 — 43,965 37,493 Ethanolamines 599,025 Ethylene glycol 760,959 90,626 80,116 Propylene glycol Triethylene glycol 6,927 — CHEMICAL
scrlption of imported chemicals and foreign materials required for processing have been seriously delayed by the port strike at New York. A large number of cargoes also have been diverted to other ports for discharge. According to shipping authorities imports are being unloaded all the way "from Portland, Maine, to Hampton Roads." Port tie-up results from a six-month dispute between warring factions of the International Longshoremens Association and American Federation of Labor. Fortunately, first mentioned labor group has turned down plans to extend the strike to all East Coast ports. Baltimore has handled bulk of diverted tonnage, in chemicals and other imported materials, according to the trade. At times the cargo piers at Baltimore have become so jammed that no more could be taken until unloaded shipments were cleared. Leading Imports. Largest imports in this field, according to a summary of December arrivals in the Import Bulletin by country shows following: Holland: Phthalic anhydride, trichlorethylene, potato dextrin, potassium sulfate, and ferrocyanide. France: Naphthalene, phthalic anhydride, butylene and derivative mixtures, ethyl alcohol, barium carbonate, and argols containing less than 90% potassium bitartrate. Belgium: Naphthalene, phthalic anhydride, butylene and mixtures, dicalcium phosphate, crude calcium chloride, and potassium sulfate. Switzerland: Tanning extracts excluding hemlock and chestnut, acetanilid (not medicinal), coal tar dye stains, coal tar medicinals, theobromine, and ethanolamines. Italy: Tanning extracts, phthalic anhydride, butylene derivatives, sodium compounds. United Kingdom: Creosote oil, naphthalene, trichlorethylene, butylene derivative mixtures, barium oxide, sodium cyanide, sodium bicarbonate, sodium compounds, calcium chloride, magnesium compounds, synthetic gums and resins. West Germany: Creosote oil, naphthalene, phthalic anhydride, quinidine and salts, ammonium chloride, barium carbonate, magnesium sulfate, refined potassium nitrate, sodium cyanide, sodium compounds, ferrous sulfate copperas, and "Kieserite." Mexico: Benzene, arsenic trioxide, "Strontianite," "Celestite," and refined glycerol. Sweden: Saccharin, ammonium compounds, potassium hydroxide, and sodium hydroxide. Denmark: Sodium silicofluoride, phthalic anhydride, and lactic acid. AND
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