PVC will remain Europe's leading plastic - C&EN Global Enterprise

Aug 3, 1970 - West European demand for the plastic, some 2.15 million metric tons in 1969, will climb to nearly 4 million metric tons by 1975. Annual ...
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PVC will remain Europe's leading plastic West European use of polyvinyl chloride will almost double by 1975; biggest gains will likely be in the rigid form the low-cost ethylene available in western Europe. So PVC could lose markets to other plastics. Another problem associated particularly with PVC is pollution. PVC refuse is very hard to eliminate. A lot of research effort, however, is being focused on the problem. For instance, Battelle Institute in Frankfurt is working on the incineration and elimination of PVC waste under a contract from the West German government. Expanding. Despite these problems, the outlook in general for the plastic is rosy, and most European PVC producers are planning major expansions of their capacity. Belgium's Solvay & Cie., Europe's biggest producer of PVC, will boost its capacity in western Europe to 650,000 metric tons per

Order a bottle of mineral water in a restaurant in France and the bottle will probably be made of polyvinyl chloride. Buy a drink on a European airline, and chances are that it will be served in a PVC "glass." These are only two examples of PVC uses, but they are indicative of a wide variety of markets that have made the plastic the biggest selling one in western Europe. PVC will likely maintain its leading role in Europe, at least through the late 1970's. West European demand for the plastic, some 2.15 million metric tons in 1969, will climb to nearly 4 million metric tons by 1975. Annual growth in demand will be about I0c/c over the next 10 years. Contributing to this favorable outlook are stepped-up applications for

West Germany is Europe's largest consumer of PVC

West Germany France Italy Netherlands Belgium/Luxembourg U.K. Sweden

1965a

Consumption (Thousands of metric tons) 1969

1975

420 180 160 60 30 187

700 340 310 115 60 315

1050 610 610 230 100 550

37

66

150

a Organization for Economic Co-operation and Development figures. Source:

C&EN

the plastic, particularly for rigid PVC. Consumption of rigid PVC pipe, for instance, is expected to double to 450,000 metric tons between 1968 and 1973 in the European Economic Community. If the 1970's hold new growth prospects for PVC, they also hold problems. For one, even though sales volume is going up, the price of the plastic (currently about 14 cents per pound in western Europe) isn't likely to decline and may actually increase over the next few years. This is because of a continuing shortage of chlorine in Europe. Meanwhile other plastics will likely decrease in p r i c e particularly polyolefins as a result of 30 C&EN AUG. 3, 1970

year by the end of 1971. Solvay's present capacity is about 450,000 metric tons. In Italy, Montecatini Edison will increase its PVC capacity from 300,000 metric tons at present to 420,000 metric tons by 1973. Chemische Werke Huels, A.G., West Germany's largest PVC producer, plans a capacity increase from 270,000 metric tons to 400,000 metric tons by 1973. France's major PVC producer, Pechiney-Saint-Gobain, will reach a capacity of 450,000 metric tons when its Lavera plant goes on stream in early 1973. Its current PVC capacity is 250,000 metric tons. In the U.K., Imperial Chemical In-

dustries will raise its capacity from 180,000 to 200,000 metric tons this year at Hillhouse. ICI is also building a 70,000-metric-ton PVC plant at Runcorn, to go on stream this year. Net exporter. With these and other expansions, western European PVC capacity will increase to nearly 4 million metric tons by 1973. Capacity is now about 2.8 million metric tons. With a PVC output of about 2.25 million metric tons last year, western Europe is a net exporter of the plastic. About 30,000 metric tons of this output were shipped to the U.S. "The fact is, EEC is the Free World PVC salesman," says a Montedison plastics expert. Of the 2.15 million metric tons of PVC consumed in western Europe in 1969, about 1.5 million metric tons were accounted for by the EEC. The U.S. consumed 1.3 million metric tons last year. E E C demand is expected to reach 2.6 million metric tons by 1975. During the past 10 years, PVC demand has been growing at an average annual rate of more than 207c in western Europe, and demand will likely maintain an annual growth pace of about 10% during the next decade. Bottles big. One of the major applications responsible for PVC's high growth rate is bottles. PVC use in bottles, about 35,000 metric tons in 1968 in the EEC, is expected to soar to 180,000 metric tons by 1973, according to J. P. Armanet, director of PVC marketing at Pechiney-Saint-Gobain. "By 1973 we will reach the point where it will be almost impossible to buy vegetable oil, wine, and mineral water in France in a non-PVC bottle," he adds. Of the two forms of PVC (flexible and rigid), the biggest gains will likely be in rigid. Flexible PVC consumption in the EEC in 1968 amounted to 660,000 metric tons or 54% of the total PVC market. By 1973, however, flexible PVC will account for only 40% of the market. Rigid PVC consumption in the EEC will probably reach 1.29 million metric tons in 1973 (total EEC demand will be 2.27 million metric tons). In the field of flexible PVC, demand for flooring will rise at an annual average rate of 6% to reach 200,000

Montedison will boost PVC capacity at Brindisi (above) and Porto Marghera

metric tons in the EEC by 1973. Use of PVC coatings is expected to grow 117c annually to 150,000 metric tons within the next three years. PVC will find growing application in particular in packaging and in the construction industry. New applications are in the works, however. Some European companies such as

France's Aquitaine-Organico and Ugine-Kuhlmann are developing simulated wood made of expanded PVC. Italy's Societa Italiana Résine says it is working on plastic paper made of a mixture of PVC and polyethylene. Biggest user. Western Europe's biggest consumer (and producer) of PVC is West Germany. PVC demand, about 700,000 metric tons in 1969, will be 800,000 metric tons this year. In 1975, it will be more than 1 million metric tons. PVC has a long history of use in West Germany, particularly as building materials—an application which traces back to World War II when metals were scarce in the country. Rigid pipes account for 15% of total West German PVC demand; rigid profiles account for about 10%. Use of PVC bottles in West Germany is expected to grow sharply over the next few years. France is western Europe's second largest user, providing a market for 340,000 metric tons of PVC last year. Demand is expected to grow about 15% per year to reach 600,000 metric tons by 1975. France is also the biggest market for PVC bottles—it accounts for nearly 60% of EEC demand for such bottles. Use of PVC

bottles to package wine and mineral water will probably boost the country's demand for PVC for this application to nearly 100,000 metric tons by 1973. In Italy, PVC demand was about 310,000 metric tons in 1969 and production topped 480,000 metric tons. Consumption will almost double to 610,000 metric tons by 1975. Biggest growth will be in rigid profiles, sheets, and films. PVC use in the U.K. has climbed somewhat slower than that of most of the countries on the Continent. Since 1965, U.K. PVC demand has grown about 11% annually and is expected to continue to grow at this pace over the next few years. Demand, which was about 315,000 metric tons last year, will increase to about 550,000 metric tons by 1975. Rigid sheet and film use will probably rise 18% per year to some 22,000 metric tons by 1973. PVC bottle use will grow by 25%; rigid profiles by 2 1 % . PVC demand in the Netherlands doubled between 1965 and 1969, and is expected to double again by 1975 to 230,000 metric tons. In 1969 more than half of the PVC consumed in the Netherlands (about 115,000 metric tons) was imported.

Planned expansions would boost PVC capacity to nearly 4 million metric tons by 1973

Location

Capacity, Planned Curaddirent tions (Thousands of metric tons)

WEST GERMANY Chemische Werke Huels WackerChemie Badische Anilin-& SodaFabrik Farbwerke Hoechst Deutsche Solvay Dynamit Nobel TRANPF r rt M IM u Pechiney-Saint-Gobain Solvic 1 Plastimer^ Rhone-Poulenc Aquitaine-Organico ITALY

Location

Capacity, Planned Curaddirent tions (Thousands of metric tons)

NETHERLANDS Marl Burghausen; Cologne

270 175

130(1973) 75(1973)

Ludwigshafen Gendorf; Knapsack Burghausen Troisdorf; Rheinfelden

100

65(1973)

100 70

175 (1975) 50(1971)

60

40(1971)

DSM Shell Nederland Chemie

Beek Pernis

50

75(1972) 110(1972)

90

25 (1971)

50

50(1973)

180

170 (1975)

140

90(1972)

50 (1971)

BELGIUM

L· Saint-Auban; Saint-Fons Lavaux Brignoud Péage de Roussilon Balan

250 140 70

200(1973) 40 (1971) 70(1973)

40 30

40(1971) 30 (1971)

Solvic a Jemeppe Badische Anilin-& SodaFabrik Antwerp UNITED KINGDOM UNITED M N 6 D O M Imperial Chemical Hillhouse; Industries Runcorn BP Chemicals Baglan Bay; Barry SPAIN Hispavic 1

Barcelona Miranda de Ebro

50

RepQSa

Monsanto

Monzon

30

45

Porto Marghera; SCANDINAVIA Brindisi 300 120 (1973) . . .. .. _ . _. . _. Fosfatbolaget, Sweden Stockholm 85 0 Societa Italiana Résine Porto Torres, " ' Sardinia 70 70(1975) Norsk Hydro, Norway Heroya 50 ANICC Ravenna 50 60 (1971) Pekema Oy., Finland Naantaly — a Solvic Ferrara 50 50 (1972) Rumianca Cagliari, Sardinia 50 30 (1975) a 75% Solvay &Cie. ( 25% Imperial Chemical Industries, b 50% Ugine-Kuhlmann, 53% Progil. c l n cooperation with Wacker Chemie. d Solvay and ICI, participation undisclosed, na = not available Source: C&EN

na 60(1972)

Montecatini Edison

— — 50 (1972)

AUG. 3, 1970 C&EN

31