CHEMICAL & ENGINEERING
NEWS VOLUME 39, NUMBER 13
τ ^ chemical World This Week
MARCH 27, 1961
Plasticizer Production Heads for Record Year Plasticizer output should reach 575 million pounds this year, a 4% gain over 1960. Price situation is uncertain Plasticizer producers can expect an other year of record output in 1961. Production of all types should reach 575 million pounds, a 4% gain over 1960. But aside from rising production, the plasticizer industry has little to cheer about this year. With more naphthalene available for phthalic an hydride, weaker prices are possible— a situation not without precedent in the plasticizer business. Moreover, the vinyl plastics busi ness has leveled off—temporarily, ac cording to most observers—and this, coupled with lower vinyl prices, could stymie efforts to find new products, heretofore the stimulus for vinyl growth. In addition the average an nual growth rate for plasticizers is now running below that of the vinyls, in dicating a reduced rate of use for plas ticizers in vinyls. Roughly 70% of all plasticizers pro duced are used in polyvinyl chloride and vinyl copolymers. The balance goes into other vinyls as well as into rubbers, cellulosics, gasoline additives, and functional fluids. About 57% of all plasticizers are phthalate ester types, chiefly the dioctyl types such as di(2-ethylhexyl) and diisooctyl phthal ate. The balance is made up of phos phate esters, such as tricresyl phos phate, and esters based on such ma terials as sebacic, stearic, adipic, or azelaic acids. Plasticizers are added to plastics to add flexibility. In polyvinyl chloride, about 1 pound of plasticizer is used to 2 pounds of resin. Record Despite Shortage. Phthal ate ester output probably totaled 316 million pounds last year, better
ing by 10 million pounds the record set in 1959. Dioctyl phthalates alone accounted for 155 million pounds. This year, phthalate production should rise another 3 to 5%, assuming poly vinyl chloride consumption grows as much as is forecast. Phthalate producers were plagued by shortages of naphthalene and phthalic anhydride in 1959 and 1960. But, with naphthalene now being pro duced from petroleum and with the outlook bright for more coke oven naphthalene, shortages should be less of a problem this year. In fact, long term forecasts call for a naphthalene glut to develop by 1962 or 1963. However, excess phthalic anhydride has historically led to downward price movements in plasticizers. Dioctyl
phthalate and diisooctyl phthalate sell for 26 cents a pound now (tanks, de livered ). Another reason for possible down ward price movements lies in the highly competitive nature of the plas ticizer business. The Tariff Commis sion lists 23 producers of dioctyl phthalates alone. Total domestic plas ticizer capacity is about 900 million pounds a year, but the actual level varies since some plasticizers take longer to make than others. Phthalate ester capacity is around 550 to 600 million pounds a year. Monsanto, Union Carbide, and Allied are the biggest producers, with com bined capacity of around 250 million pounds. Other major producers are Tennessee Eastman, Pittsburgh Chem-
Plasticizer Growth Is Hitched to Vinyls Production (Millions of Pounds)
Source:
Year
Polyvinyl chloride and copolymers
1950 1951 1952 1953 1954 1955 1956 1957 1958 1959 1960 1961 1965
324.8 411.0 356.0 434.8 369.9 527.1 636.9 689.5 657.2 905.3 920.0 960.0 1400.0
Phthalate ester plasticizers
Plasticizers, all types
142.6 157.3 149.8 165.2 170.6 212.8 237.4 251.3 237.5 306.4 316.0 330.0 410.0
243.3 280.7 267.7 292.9 300.7 396.1 416.8 442.2 417.9 538.8 550.0 575.0 725.0
U.S. Tariff Commission and C&EN estimates
MARCH
2 7,
1961 C & E N
21
ical, B. F. Goodrich Chemical, Reichhold, Dewey & Almy, and Food Machinery and Chemical. Collectively, these firms have about 180 million pounds of phthalate capacity. The balance comes from firms which can make between 1 and 5 million pounds a year. Lower Growth Rate. Plasticizers have grown at an average annual rate of about 9Vc a year during the past decade. Plasticizer production increased about ll r /c a year from 1950 to 1955 and about 7(A a year from 1955 to 1960. Through 1965, the average rate should drop to around 5 to 67c a year. By 1965, total plasticizer production should reach 725 million pounds, with about 57 CA still accounted for by phthalate esters. After World War II, and until the mid-1950's, the plasticizer growth rate followed closely that of vinyl resins. During the past five years, vinyl production has increased about V2AA a year while plasticizer production has increased only 7(A a year, a sign of decreased use of plasticizers in resins. Long term forecasts call for polyvinyl chloride production to maintain an average annual growth of about 107