Oi! import quota up 38% for '67 The oil import program for 1967 is being received with mixed emotions by U.S. petrochemical producers. They are grateful for the new increase in petrochemical import quotas which will enable them to bring in overall about 38% more low-cost foreign feedstock this year than last. But despite the increase, many producers are complaining privately that the 1967 level of allowable feedstock imports falls far short of the amount they will need if they are to compete with foreign producers for world markets. Under the 1967 program, petrochemical producers will be permitted to import a total of 44,151 barrels a day of foreign oil. Of this, 39,892 barrels a day are for petrochemical plants in Districts I-IV, and the remainder for plants in District V (states west of the Rockies). This compares with a 1966 allocation for the industry of 31,965 barrels a day, of which all but 1990 barrels were to plants in Districts I-IV. The 1967 import quota for petrochemical producers represents some 7.6% of their total feedstock input in Districts I-IV, and 15.7% in District V. The corresponding figures for 1966 were 6.7 and 7.85%, respectively. But many petrochemical producers maintain that they must be permitted to bring in 60% or more of their total feedstock needs from abroad. Interior Secretary Udall also disclosed a number of regulatory changes in the program for 1967. One permits companies with import quotas based on both petrochemical plant and refinery inputs to process their foreign oil in any of their plants, or to exchange it for domestic oil which also may be processed in any of their plants. Also, carbon black producers who use the channel black process now are eligible for import quotas on the same basis as companies who use the furnace black process.
Du Pont wins Vokin suit Du Pont has won its trade-secrets suit against Vokin Holdings, Inc., White Plains, N.Y. The final judgment in the five-year-old case, signed by Judge Dudley B. Bonsai of the U.S. District Court for the Southern District of New York, awards Du Pont and its Argentine affiliate, Ducilo, S.A.I.C., $6.8 million in damages. In 1961, Du Pont charged Vokin (then known as Von Kohorn Interna^ tional Corp.) and its principal officers with unfair competition and misappropriation of trade secrets. The defendants were alleged to have used or
to have offered to use information concerning Du Pont's secret processes for making cellophane, nylon, Dacron polyester fiber, and Mylar polyester film in the design, construction, and operation of plants in Europe, South America, and Asia. The judgment enjoins and restrains the defendants from using any technical information with respect to casting cellophane from viscose at speeds in excess of 70 meters a minute. It also enjoins them from the continuous polymerization of polyester and nylon 66, continuous spinning and drawing of nylon and polyester yarns, and highspeed tube spinning of rayon. Moreover, the judgment restrains the defendants from further use or disclosure of the trade secrets and prohibits them from hiring any former Du Pont or Ducilo employee unless such employee is not required to work in any product area where he has knowledge of, or has had access to, secret or confidential information of either Du Pont or Ducilo. It also requires the defendants to return Du Pont documents and drawings containing Du Pont technology and to assign any patents containing Du Pont information. The judgment dismisses Vokin's countercharges against Du Pont of antitrust violations. The injuction applies to Vokin, to Vokin's owners, and to German and Panamanian affiliates. No damages were awarded against the owners, Henry von Kohorn and Ralph S. von Kohorn.
NICB sees economy slowing The end of the long-running U.S. business expansion isn't in sight, but a slowdown in 1967 is. This is the opinion of 12 economists who gathered at the National Industrial Conference Board's annual economic outlook forum. Martin R. Gainsbrugh, NICB's chief economist, led the group, which foresees a slowdown in growth this year becoming more pronounced as the year moves toward its end. A 6% jump in gross national product is predicted for the year, resulting in a GNP of $787 billion. While increase in GNP will come to 3.2% in the first half of the year, growth will slow and GNP will rise about 2.7% in the second half. In general, the group of economists foresees a good year although not as good as 1966. However, the economic future appears cloudier than usual. Mr. Gainsbrugh says this year's forum "faced the almost impossible task of analyzing the outlook for the year ahead with more unknowns than I believe have ever confronted this
group in the 21 years it has met.,> The forum's record as a group of forecasters has been quite good if a bit on the conservative side. In 1965, the group predicted a 6% gain in GNP for 1966. The actual gain will be around 8 V 2 % . The index of industrial production by year end was placed at 150. The highest single estimate was 154; the actual is about 160. The forum predicted full employment in 1966 but missed the mark; its unemployment figure was higher than it actually was. The biggest blindspot, as Mr. Gainsbrugh calls it, in predicting 1966 was the Vietnam war. This again appears to be the case in forecasting ?· 1967. Vietnam hangs over virtually every economic projection for 1967. Significant shifts in the war effort could have far-reaching effects on the economy. Mr. Gainsbrugh notes that should there be marked and unexpected changes in Vietnam or in the economy as 1967 unfolds, the economic forum will be called back to reappraise its forecast. Some of the forum's specific projections include: • Industrial production to advance about 4% during 1967. • T h e consumer price index up 3 % in 1967, compared to 4% in 1966. • Continued "full employment" with the unemployment rate rising slightly in late 1967 to 4.2% at year's end. • A slowdown in fixed business investment, which could total $85 billion to $86 billion by the end of the year. In short, as one of the forum members said, 1967 will be a year of "worrisome prosperity."
Economist Gainsbrugh More unknowns than ever JAN. 9, 1967 C&EN
19
