iE SIEPOKTS @M
'
INDUSTRIAL
MOBILIZATION
News of the nation's activity in marshaling its resources to m e e t the international e m e r g e n c y Zinc, Nickel, and Aniline Expansion Goals Determined DPA has set its 1955 expansion goal for zinc at 1.32 million short tons, in the form of metal and in salts and pigments. This expansion will increase the annual supply by about 230,000 short tons over the 1950 level of slightly under 1.1 million tons. Of this additional supply, 190,000 tons of annual production will be provided by new facilities. T h e remaining 40,000 tons will be accounted for by increased production from existing sources. Of the 190,000 tons of additional supply from new facilities, 178,000 tons has already been certified for rapid tax amortization, for working-capital loans, or for minimumprice purchase contracts. Applications for government assistance for the balance of 12,000 tons of annual production are currently being reviewed. In 1950, U. S. mine production of zinc amounted to 623,000 tons. About 67,000 tons of slab zinc was obtained from secondary remelting and redistilling processes and 403,000 tons was imported, chiefly from Mexico and Canada. DPA has announced an expansion goal to provide an anticipated 132,000 short tons of nickel from foreign and domestic sources of supply. This amount will, it is estimated, be made u p of about 1400 tons of domestic primary production, 9000 tons of domestic scrap, and 121,600 tons of imports. Since the only nickel produced in this country is the small amount obtained as a by-product of copper mining, the increased production will mainly come from foreign sources. Supplies of nickel obtained from Canada are expected to increase from 87,400 tons in 1950 to 106,000 tons in 1954. T h e Nicaro plant in Cuba, scheduled to come into production this year, is expected to produce about 15,000 tons annually by 1954. Expectations are that the U. S. supply of nickel available in 1954 will be about 31,500 tons more than it was in 1950. T h e 1950 supply, amounting to 100,500 tons, consisted of 900 tons of domestic primary production, 8000 tons of domestic scrap, and 91,600 tons of imports. As far as aniline is concerned, the 1954 goal for annual domestic production has been set at 135 million pounds, exclusive of plant capacity in the National Industrial Reserve. This represents an increased capacity of about 28.6 million pounds over the Jan. 1, 1951, capacity of 106.4 million pounds producible b y privately owned plants. Of the 28.6 million poundr of increased capacity, 13 million pounds will represent unaided private investment, while the remainder will be private investment assisted by rapid tax amortization. Expansion of aniline capacity is required mainly because of the need for rubber processing chemicals, which consume about 54% of the nation's aniline. Requirements for such chemicals have greatly increased as a result of the defense program's demand for synthetic rubber. Government Takes Action on Rutile and Chrome Steel The National Production Authority has amended NPA Regulation 1 to include rutile a n d non-nickel-bearing stainless steel (chrome steel) on its list of materials subject to inventory controls. I n explaining its action, NPA said that industrial inventories of rutile, a form of titanium dioxide, have been virtually exhausted, largely because of t h e decline V O L U M E
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FEBRUARY
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in imports. On the other hand, chrome steel supplies have improved to a point where N P A has removed t h e metal from allocation under the Controlled Materials Plan. However, since t h e demand for chrome steel is high, inventory controls a r e still necessary. Under present government regulations, inventories of rutile are limited to 4 5 days or a practicable minimum inventor/, whichever is less. The same restriction applies to chrome steel inventories. T h e U . S. annually produces between 6000 and 8000 tons of rutile, b u t this falls far short of meeting the full d e m a n d , which in 1951 amounted to more than 23,000 tons. Last year, about 12,000 tons went into the coating of welding rods, t h e largest single use. World production of rutile is about 40,000 tons, virtually all of which comes from Australia, except for the amount produced in t h e U. S. Indications are that American industry will need about 35,000 tons of rutile to meet military and civilian requirements in 1952. According to NPA, the recent action of the Office of Price Stabilization in removing t h e price ceiling from rutile should result in much larger imports in the months ahead. However, there is little likelihood of increased domestic production unless n e w deposits are found. U. S. to Receive British Rubber As a n outgrowth of Winston Churchill's recent visit to t h e U . S., an agreement has b e e n reached on the transfer of 25,000 long tons of crude natural rubber from the United Kingdom to the U. S. The transfer will take place over t h e forthcoming months, with p a y m e n t based on the present American buying price of 50 cents a pound. T h e purchase will in no way affect present U . S. buying plans for its natural rubber stockpile. T h e General Services Administration is the exclusive buyer of natural rubber in this country for both industry and the government stockpile. GSA began its exclusive procurement program on Dec. 29, 1950. NPA Reviews Insecticide Supply Picture NPA officials, in conference with t h e Household, Industrial, a n d Dairy Insecticides Industry Advisory Committee, have indicated that, with t h e exception of pyrethrum, insecticides are now in good supply. A Munitions Board representative told t h e committee that no plans are currently under consideration for the release of pyrethrum from t h e government stockpile. Although no stockpile purchases have b e e n m a d e for more than a year, present plans are to maintain reserves at their present level. The. availability of allethrin, it was explained, has permitted the Government to discontinue the additional stockpiling of pyrethrum. Allethrin can be substituted for pyrethrum for most insecticide purposes. Supplies of principal insecticides were outlined b y NPA as follows: Allethrin. No shortage has developed thus far. Military requirements for use in aerosol bombs have not been sufficient t o limit availability for civilian use. Present output of the sole producer of allethrin will be augmented by another plant which will begin operation this year. A third plant in 1953 will bring total U . S. production to about 500,000 pounds a year. Chlordan. Supplies in 1952 will probably meet d e m a n d .
1952
541
INDUSTRIAL MOBILIZATION D D T . The estimated 1952 supply of 130 million pounds will balance requirements, which are estimated as follows: Department of Agriculture, 8 5 million pounds; military, 5 million pounds; and export, about 4 0 million p o u n d s . Production of D D T is expected to rise from 105 million pounds in 1951 t o 155 rnillion in 1955. L i n d a n e , No shortage reported. Additional capacity will be in operation during a part of 1952. Pyrethrum, Although present stocks are very low, 1952 imports probably will equal imports received in 1951. A report from Kenya, Africa, states t h a t 1951 production was 20% above 1950. Increase in Brazilian production probably will a d d little t o amounts available for U. S. use. Imports for the first 11 months of 1951 totaled 6.1 million pounds, compared with 8.3 million in 1950. Department of Agriculture requirements for 1952 are set at 5 million pounds. Rotenone. The supply is reported t o b e high. Imports in 1952 will dep e n d upon demand. Imports for the first 11 months of 1951 totaled 5.6 million pounds, compared with 9.8 million for 1950. D e p a r t m e n t of Agriculture requirements are set at 10 million p o u n d s . DPA Approves 573 Additional Certificates of Necessity Certificates of necessity for the accelerated tax amortization of 573 new or expanded defense facilities, involvi n g a proposed investment of $739.1 million, w e r e approved by the Defense Production Administration from D e c . 22 to Jan. 18. Of these certificates, 272 are for facilities involving proposed expenditures of $100,000 or less. D P A gives special consideration to applications covering such facilities, in an effort to encourage small defense-plant expansion. Of the 10 largest certificates approved in the most recent action, t w o involve the chemical industry. Both certificates g o to Union Carbide and Carbon Corp.—one for a $33.8 million investm e n t in the manufacture of ethylene oxide in Kanawha County, W. Va., and the other for a $17.7 million investment in the production of polyethylene plastic at Texas City, Tex. Among the certificates approved most recently, those of particular interest to t h e chemical industry are ind i c a t e d in the accompanying table. According to DPA, accelerated tax amortization has now been approved for 6016 new or expanded facilities, representing a proposed investment of $12.3 billion. 542
AMOUNT APPLD3D F O R
P R O D U C T OR SERVICE
N A M E O F C O M P A N Y AND L O C A T I O N OF F A C I L I T I E S
AMOUNT CERTIFIED
PERCENTAGE ALLOWED
Liquid Carbonic Corp. L a Grange Park, 111. Exolon Co. Tonawanda, N. Y. Exolon Co. Ontario, Canada Allied Chemical & Dye Corp. Erie City, N. Y. Reynolds Mining Corp. near Alexander, Ark. Honolulu Gas Co., Ltd. Honolulu, Hawaii Koppers Co., Inc. Kearny, N. J. Union Carbide & TCarbon C o r p . Niagara Falls, N . Y. Stauffer Chemical Co. Lowland, Tenn. Union Carbide and C a r b o n Corp. Kanawha County, W . V a . Ohio Manganese, Inc. Youngstown, Ohio Ohio Ferro-Alloys Corp. Philo, Ohio E. I. du Pont de Nemours & Co. Deepwater Point, N. J . Allied Chemical & Dye Corp. North Claymont, Del. Pennsylvania Salt Mfg. Co. Calvert City, Ky. Bethlehem-Cuba Iron Mines C o . Cornwall, Pa. Puritan Mining Co. Bessemer, Mich. Shook & Fletcher Supply Co. Russellville, Ala. Sloss-Sheffield Steel & I r o n Co. Irondale, Ala. Columbian Carbon Co. Trenton, N. J. Standard Lime and Stone Co. Hanistoe, Mich. Union Carbide & Carbon Corp. Marietta, Ohio Koppers Co., Inc. Jefferson, Ala. Air Reduction Co., Inc. Central Falls, R. I. National Cylinder Gas C o . Conshohocken, P a . Union Carbide & Carbon Corp. N e w York, N . Y. ( H o m e office) Monsanto Chemical Co. Monsanto, 111. Barrett Division, Allied Chemical & Dye Corp. Chicago, 111. Monsanto Chemical Co. St. Louis, Mo. Sherwin-Williams Co. Chicago, 111. E. I. du Pont de Nemours & Co. Orange,Tex. Union Carbide & Carbon Corp. Texas City, Tex. Special Chemical Co. Cleveland, Ohio Carborundum Co. Vancouver, Wash. Union Carbide & Carbon Corp. Portland, Ore. Dow Corning Corp. Midland, Mich. General Electric Co. Waterford, N. Y.
$
Acetylene gases
450,000
Aluminum oxide abrasive Aluminum oxide abrasive Aniline oil for synthetic rubber bauxite
$
450,000
172,500
172,500
404,46S
404,468
2,307,300
2,307,300
179,270
179,270
Benzene
243,427
243,427
Benzene
165,200
165,200
Calcium carbide
450,000
450,000
Carbon disulfide
995,964
995,964
33,844,008
7,507,597
Ethylene oxide Ferro-manganese
2,380,000
2,250,000
Ferro-silicons
170,000
170,000
*'Freon-22" for military items Hydrofluoric acid
817,000
817.000
402,088
402.088
Hydrofluoric acid
320,000
320,000
Iron ore
115,000
115,000
Iron ore
12,534,400
7,530,780
55 65 65 60 50 90 90 50 45 45 80 65 60 65 65 65 65
Iron ore
70,232
70,232
Iron ore
289,173
262,930
1,122,850
1,076,850
50,077
45,077
7,429,000
7,429,000
65
2,145,000
2,048,000
60
153,244
64,505
55
203,500
197,000
60
2,586,960
45 60 50
Iron
oxide pigments for military use Magnesite for refractories Electrolytic manganese metal Naphthalene Oxygen Compressed oxygen gas Liquid oxygen
65 65 60 50
Phenol
5,575,000
111,700 2,475.260 5,403,478
Phthalic anhydride
4,110.000
4,110,000
50
Phthalic anhydride
5,005,000
4,880,650
50
1,287,200
1,287,200
50
10,293,000
10,293,000
60
17,694,200
16,604,200
60
Refined phthalic anhydride Polyethylene for production of military items Polyethylene plastic for p r o duction of military items Polyvinyl acetate
100,000
100,000
45
Silicon carbide
3,319,248
3,319,248
65
Silicon metal
2,368,000
2,368,000
63
10,997,000
10,194,000
60
4,506,000
4,506,000
60
Silicone products for military items Silicone products for military items Sodium tungstate Sulfuric acid
60,807
60,807
1,067,000
1,067,000
70
Sulfuric acid
8,800,000
8,800,000
70
Zinc ore
2,423,211
1,765,193
60
791,500
716,500
50
S'ab zinc, cadmium, and copper Aviation alkylate
3,400,000
3,400,000
60
2,444,420
Aviation gasoline
4,500,000
Phillips Petroleum Co. Phillips, Tex.
Aviation gasoline
12,989,630
Caminol Co. Hanford, Calif. Upjohn Co. Kalamazoo, Mich. Wyeth, Inc. West Chester, Pa.
Motor gasoline and distillates Penicillin Penicillin G
2,086,695 352,225 1,965,000 1,475,000 585,000 9,485,630 45,000 2,344.000 550,000 35.000 35,000 3,345,813
90 50 65 90 45 90 65 45 15 65 15 50
3,266,232 1,566,707
60 30
W a h Chang Corp. Glen Cove, N . Y. Allied Chemical & Dye Corp. Port Chicago, Calif. Monsanto Chemical Co. Monsanto, 111. New Jersey Zinc Co. Ogdensburg, N. J. Silverstein and Pinsof, I n c . Franklin Park, Chicago, 111. American Zinc Co. of Illinois St. Louis, Mo. Shamrock Oil & Gas C o r p . Sunrav, Tex. Ashland Oil & Refining C o . Catlettsburg, Ky.
Zinc oxide
C H E M I C A L
AND
250,709 3,345,813 4,844,954
ENGINEERING
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