\
REPORTS ON
"
IXDVSJRIAL
MOBILiZATION
News of the nation's activity in marshaling its resources to meet the international emergency Chemical Supplies Increase, Although Few Items Are Still Tight All categories of basic materials, except metals and s o m e miscellaneous items, h a v e shown a "marked easing" in supply since the first week in March, DPA said in releasing the sixth issue of its "List of Basic Materials a n d Alternates." For chemicals, a consistent softening reflects lessened d e mand, partly seasonal. Chemicals which w e r e added to the G r o u p I list, those insufficient to m e e t defense and essential civilian d e m a n d s , included: alkyl phenol resins, β,γ-picoline, isonicotinic acid, zinc chloride, zinc ammonium chloride, and monoehlorotrifluoroethylene. Except for t h e items m e n t i o n e d above, other changes in the list reflected an over-all easing in the tight supply situa tion. Shifting from Group I to Group I I ( i n approximate balance with defense and essential civilian d e m a n d ) w e r e : basic lead carbonate, chlorine, hexylresorcinol, lead arsenate, red lead oxide, litharge, orthophosphoric acid, phosphate plasticizers, phosphorus, resorcinol and its resins, and sty rène. Nicotinic acid m a d e the j u m p from G r o u p I to G r o u p I I I (in fair to good supply). Other chemicals now i n fair to good s u p p l y are: acetic acid, aniline, anthraquinone dyes, cellophane, glycerol, hydroquinones, phenol, and polytetrafluorethylene. Now in plentiful supply are: calcium chloride, caustic potash, caustic soda, Epsom salts, a n d soda a s h . T h e metals picture is n o t so rosy. Titanium has b e c o m e most critical in the last t w o m o n t h s , as have h e a v y castings of gray iron and gray iron alloy. Low alloy steel castings (over 3000 p o u n d s ) have been a d d e d to t h e Group I list. Zinc and lead have both become more available, however. Beryl ore, cryolite, and the rare earths are now highly critical. Ceiling on GR-S Lowered OPS has cut back the ceiling price on GR-S synthetic r u b b e r an average of three cents a pound, in keeping w i t h t h e Reconstruction Finance C o r p / s recent p r i c e reduction (C&EN, M a r c h 17, page 1 0 6 8 ) . T h e new ceiling price regulation allows distributors to keep the same dollars-and-cents margin over the Government's prices which were in effect during t h e base p e r i o d D e c . 19, 1950 to Jan. 25, 1 9 5 1 . Potash Producers Concerned over Imports Sharply increased imports of potassium carbonate, resulti n g from the large-scale expansion of production facilities abroad, loom as a major problem to the domestic potash industry, according to American producers attending t h e first meeting of DMPA's Potash Business Advisory Committee. Industry representatives said that imports of potash, n o w running at the rate of 300,000 tons a year, are sure to increase as other countries, including F r a n c e and Spain, expand their output. High wages p a i d in the American mining industry, plus employee benefits, make competition w i t h low-cost foreign producers extremely difficult, they said. About 90% of t h e potash consumed in the U . S. goes into t h e manufacture of fertilizer. The estimated p o t a s h supply in the fertilizer year 1950—51 was 1.5 million tons. By t h e 1954-55 season, because of t h e increased food needs of an expanding population, it is expected that a n additional 740,000 tons will b e required for agricultural use alone, VOLUME
3 0,
NO.
19
» » » » MAY
12,
plus another 192,000 tons for export and for the production of chemicals. Industry members stated that domestic potash production can b e readily expanded in times of national emergency. However, since the industry has b e e n built u p entirely b y private capital, without government supports, any expansion, they said, w o u l d have to be approached cautiously in the face of h e a v y imports. Sebacic Acid Decontrolled; No Order on Hydrofluoric Acid to Be Issued Sebacic acid has b e e n removed from allocation control, as predicted in C&EN's April 28 issue, and hydrofluoric acid has b e e n found in sufficient supply to make a n order limiting its use unnecessary, according to the National Production Authority and DPA. Decontrol of sebacic acid was m a d e possible b y increased production. I t was p u t u n d e r control last July after increases in older uses a n d development of new uses created a shortage. Principal uses of the acid are in t h e preparation of monomelic ester plasticizers, seam sealing and caulking compounds, and in t h e manufacture of plastic-type nylon. T h e latter item was itself removed from allocation control in January. Last January, N P A expected to issue a limitation order on the u s e of hydrofluoric acid, b u t since then the agency has taken a closer look at the supply-demand picture, which it believes is in a well balanced condition. Selenium Supply Improves Temporarily Users of selenium will get 100% of their requirements for May because one manufacturer has released an accumulated quantity of t h e crude metal. Supplies of selenium h a v e b e e n sufficient to m e e t only two thirds to t h r e e fourths of requirements since the metal was placed u n d e r complete allocation F e b . 1, 1952. T h e present easing-up is only temporary, N P A says. Advisory Committee on Military Fuels to Hold First Meeting in San Francisco, M a y 12 T h e Military Fuels General Advisory Committee to t h e Petroleum Administration for Defense will hold its first meeting in San Francisco on May 12 in connection with t h e meeting of t h e refining division of the American Petroleum Institute. O n t h e meeting agenda will b e : a review of t h e tetraethyllead reserve stock program; review of the aviation gasoline supply situation and the expansion program for alkylation facilities; a n d a discussion of materials allocations and accelerated tax amortization. Expansion Planned for Niobium and Tantalum A contract to expand production of niobium and tantalum has b e e n negotiated b y D M P A with t h e Fansteel Metallurgical Corp. Fansteel, at its own expense, has agreed to d o u b l e its facilities for t h e production of potassium tantalum fluor i d e at its N o r t h Chicago plant, a t an estimated cost of $455,280. In addition, Fansteel will recover niobium oxide from lowgrade ores a n d residues. In return, t h e Government guarantees a m a r k e t for t h a t portion of production t h a t is not immediately r e q u i r e d for defense purposes.
1952
2005
INDUSTRIAL
MOBILIZATION
BHC O u t p u t Increased
Although export requirements for benzene hexachloride a n d its formula tions have increased, so has U . S. pro duction of BHC. Output, in terms of 12.5% gamma isomer, has risen from about 8 million pounds in 1947 to about 126 million pounds in 1 9 5 1 . Production is expected to show a further substantial rise in 1952. Ex ports of B H C , which have been under control since March 20, 1951, have since then totaled about 5 1 million pounds. The improved supply-demand situ ation has permitted the decontrol of exports. T h e Office of International T r a d e will now allow exporters to ship B H C and all B H C formulations, except those containing 20% or more sulfur, to most destinations without applying for individual export licenses. Shipments to Iron Curtain countries, Hong Kong, and Macao will still re quire licenses. Production Pool Formation Accelerating
Formation of defense production pools is being accelerated by the Small Defense Plants Administration. Within the past year, 14 such pools, made up of 376 individual small firms employing 15,607 persons, have been established. During World W a r II, over 2000 individual small business firms were organized .into 250 pools, which handled over $600 million in war contracts. T h e pool idea was conceived to help small business get defense contracts too large for indi vidual companies to handle. Steel D r u m O r d e r R e v o k e d
Present a n d expected future avail ability of "ample quantities of sheet steel" led NPA to revoke M-75, which restricts sale, deliveries, use, and in ventories of steel shipping drums. The order, originally issued July 6, 1951, limited u s e of new drums to 90% of 1950 tonnages; limited inventories of new and used drums to 45-day sup plies; a n d prohibited t h e packing of certain specified products in steel drums.
DPA A p p r o v e s 2 0 5 N e w Certificates of NecessityCertificates of necessity for 205 n e w or expanded defense facilities, involving a proposed expenditure of $301 million, were approved by t h e Defense Produc tion Administration between April 11 and 17. With t h e certificates most recently announced, accelerated amortization has now been approvecl for 9 3 7 4 new or expanded facilities amounting to a proposed investment of $ 1 7 . 9 billion. In t h e new list, those certificates of particular interest to the chemical industry are listed below. NAME OF COMPANY AND LOCATION O F FACILITIES
Butanes a n d butylènes Carbon electrodes Cholic acid C o m p o n e n t s for bcnzi in- and toluene Ferrosilicon F o r m a l d e h y d e bisulfite
S u n Oil C o . Toledo, Ohio W a r r e n P e t r o l e u m Corp. Garvin C o u n t y , O k l a . Shamrock O i l & Gas Corp. Sunray, T e x . Ralph E . Fair, Inc. Duval County, Tex.
Michael C. Brunner, Shell Oil's production manager in the Midland, Tex., area, has been named assistant director of t h e Production Division of t h e Petroleum Administration for Defense. H e succeeds D o n R. Teis, w h o has left P A D to join Lawton Oil Corp. of Magnolia, Ark. Mr. Brunner joined P A D in February. James F . King has been appointed deputy administrator for international activities and defense materials of t h e D e fense Production Administration. H e w a s formerly DPA
100,000 1,546,800 167,TOO 3,860,000
PlCnCENTAGE ALLOWED 90 65 45 65
251,000
55
594,000 119,000 337,000 1,760,000
75 50 15 65
9,500
Manganese sulfate
737,465
Metol
118,500
45
82,776
50
553,300 280,500 181,605
65 40 70
1,050,000
65
Natural gas Nonyl phenol Phosphorus oxychloride Propane and butane R e c l a i m e d rubber
135,047
60
R e c l a i m e d rubber
79,121
50
R u b b e r b a t t e r y separators
104,800
65
S o d i u m silicate
392,390
55
Sulfur
80,000
70
Sulfur
1,290,000 260,000 177,350
70 40 70
325,000 1,618,000 16,100
50 75 45
Zirconium tetrachloride
73,930
65
Chemicals
20,832
45
2,125,000 315,000 130,700 12,000 32,300 2,944,899 435,409
65 45 90 50 15 65 45
732,000 7,820,800 2,495,200 187,000
90 65 40 65
1,044,000 5β,000 475,500 2,292,000 237,500 5,063,000 Gasoline 1,332,000 N a t u r a l g a s o l i n e a n d residue g a s 341,765 28β,084 640,427 D r y g a s , g a s o l i n e , g a s oil, a n d 1θ,550 coke 298,000 L i q u i d fuels
65 45 90 65 45 65 40 65 40 65 50 65
Sulfur S y n t h e t i c b e a d catalyst X-ray developers
Gasoline Gasoline
Farmers U n i o n Central E x c h a n g e , Inc. Laurel, M o n t . Magnolia Petroleum Co. B e a u m o n t a n d C o r p u s Christi, Tex. Mid-Continent Petroleum Corp. Tulsa County, Okla. Skelly Oil C o . Longview, T e x . Socony-Vacuum Oil Co. Augusta, Kan.
AMOUNT CEKTIF-JLED
$
Benzene
Monsanto Chemical Co. Near Muscle Shoals, Ala. E d w a l Laboratories, Inc. R i n g w o o d , ΠΙ. Tennessee Corp. Washington, D . C. E d w a l Laboratories, Inc. R i n g w o o d , ΠΙ. Michigan Gas & Electric C o . Holland Township, Mich. Jefferson C h e m i c a l C o . Port N e c h e s , T e x . Ohio-Apex, Inc. Nitro, W . V a . Standard Oil C o . ( O h i o ) Lima, Ohio B. F . G o o d r i c h C o . Akron, O h i o Continental Rubber Works Erie, P a . U n i t e d States R u b b e r C o . Providence, R. I. D i a m o n d Alkali C o . Dallas, T e x . Allied Chemical & D y e Corp. Monument, Ν . M . Esso Standard O i l C o . Linden, N . J. Sid Richardson Gasoline C o . Winkler County, Tex. Socony-Vacuum Oil Co. Paulsboro, N . J. E d w a l Laboratories, Inc. R i n g w o o d , I1L National L e a d C o . Elwood City, P a . E d w a l Laboratories, Inc. R i n g w o o d . I1L American Liberty Oil Co. Mt. P l e a s a n t . T e x . Cities Service O i l C o . East C h i c a g o , I n d .
Appointments . . .
2006
PRODUCT
S h e l l Oil C o . W i l m i n g t o n , Calif. Bay Petroleum Corp. Denver, Colo. U n i o n Carbide & Carbon Corp. N i a g a r a F a l l s , Ν . Υ. Wilson & Co., Inc. C a l u m e t C i t y , 111. Universal Oil Products C o . Mooringsport, L a .
Gasoline Gasoline Gasoline Gasoline Gasoline
deputy administrator for resources expansion. I n his n e w job, M r . King will replace Gabriel J . Ticoulat, who is re turning to his position with Crown-Zellerbacli. Succeeding Mr. King as deputy administrator for resources expansion is John H . Martin of Modesto, Calif. John C. Clay of National Starch Products, Inc., has ac cepted an appointment as director o f the Containers and Packaging Division of NPA's Chemical, Rubber, a n d Forest Products Bureau. He replaces Robert de S. Couch, w h o returns to General Foods Corp. after eight months' duty with NPA. C H E M I C A L
A N D ENGINEERING
NEWS