Asian Glass - AG19-6

Is this your own copy? subscribe online at www.asianglass.com AG19-6

VIETNAM:

A BRIDGE TO NEW MARKETS

Inside:

Asian ultrathin The business of recycling Indian refractories

PLUS!

F R EE IN S ID E!

YOU R 202 0

YEA R P L A N

N ER!

news, views, analysis and much, much more!

TOP ROLLER TOP STANDS FOR QUALIT Y – OF COURSE

Top rollers are among the most important parts of a tin bath.

These machines are used in pairs in the forming section.

Each pair, consisting of master and slave, works synchronously and has to create optimal conditions for a smooth production process.

That requires nothing but the highest quality standards!

Since 1884 we are passionate about building glass melting technology and driven by innovative thinking. That’s why we constantly try to improve every little technical detail along the whole process line to provide our customers with tailor-made solutions.

LET‘S GO FULL CIRCLE. WWW.HORNGL ASS.COM

More Valuable Output. More Benefit.

You increase your profit with the new B‘CHAMP generation.

• Higher yield • Shorter changeover times • Footprint reduced by up to 50% You will find additional information on our dedicated page and those who are clever, register immediately and secure an exclusive presentation of the new B’CHAMP.

www.bystronic-glass.com/newbchamp

ENDTOEND Full-Process Excellence

Discover the building blocks behind End to End.

These are the building blocks behind End to End; they are the technology behind the process. Future-proof machines and control systems. Enhanced process stabilization and insight. From data collection and analysis, to container traceability and tracking, End to End is here to help you increase your efficiency.

Emhart Glass SA - Hinterbergstr. 22 CH-6312 Steinhausen - Switzerland - Phone +41 41 749 42 00 - webmaster@bucheremhartglass.com - www.bucheremhartglass.com

Contents: AG 19-6 Regulars

Features

6 Welcome

32 The business of recycling

Calling the SCHOTTs in pharma.

8 Headline News

As the environmental pressure builds on all industries, the glass sector across the continent – and indeed worldwide – has focused attention even more on the reusability of the material.

Yogender Malik looks at how the business of recycling is becoming more mainstream…

18 Global View

40 Vietnam: a country in focus

Openings, closures and industry moves from across Asia.

Our eye on the international arena.

24 People and Places Movers and shakers, ups and downs.

26 Batch

Raw material news and updates.

28 Comment & Analysis O-I suitors in the final straight.

Jahir Ahmed looks at how steady economic development within Vietnam has gradually enabled the domestic demand to make a significant contribution towards glass industry fortunes, whilst the rise of foreign brewery ownership in the country could also provide an extra boost…

56 Ultrathin glass markets

AG looks at how manufacturers of ultrathin glass continue to push the technical and market boundaries…

60 The Indian refractory industry

With tentative signs of recovery, has the sub-continent refractory sector perhaps turned a corner?

56

Anaylsis 32 Your favourite magazine is now available at the App Store… download today to see your first sample issue!

Asian Glass: now for mobiles, ipads and androids 4

asianglass AG 19-6

64 In Focus

As the USA looks for its next trade target, it appears that industry groups State-side are seeing the opportunity to bring anti-dumping actions to the table thick and fast, with container glass makers in the Peoples’ Republic the next in the sights…….

68 Window

Analysis and insight into South Korea.

72 Refractory Zone

In his final despatch of 2019, P Carlo Ratto discusses how fused cast refractories remain a game changer for the glass refractory sector. www.asianglass.com

CONTINUALLY DESIGNING, BUILDING AND MODERNISING

www.teco.com TOTAL FURNACE CAPABILITY TOLEDO ENGINEERING / TECOGLAS / ZEDTEC / KTG ENGINEERING / KTG SYSTEMS / EAE TECH

Welcome G

Is this your own copy ? subscribe online at www.asianglas s.com AG19-6

VIETNAM:

erman pharmaceutical glass major SCHOTT AG is eyeing to double its manufacturing A BRIDGE TO NEW facility in India in a year by infusing total MARKETS Euro 47 million, which includes its existing investment of Euro 21 million.

The company has just inaugurated its new glass tank F R EE IN Inside: SID E! facility in Jambusar, Gujarat - which was set up with an Asian ultrathin The business of recy cling investment of Euro 21 million last year.

Indian refractories SCHOTT also eyes rapid growth prospects for high PLUS! news, views, ana lysis and much, muc quality glass material driven by pharma industry, and h more! has lined up additional investments of Euro 26 million for yet another tank facility in 2020, which will double its total capacity from existing 17,000 tonnes per annum to about 35,000 tonnes per annum by 2020.

“Each of the new production facilities with a combined investment of €47 million, will double the capacity of SCHOTT Glass India’s manufacturing plant, allowing the group to produce its highly specialised FIOLAX® tubing material for both domestic and export demands,” stated Georg Sparschuh, Managing Director, SCHOTT Glass India Pvt Ltd. SCHOTT looks at India and the South-East Asia as the promising market to unlock the next level of growth for its tubing business.

“In the last two-three years, there has been significant increase in growth in Asia and more specifically in India and China. In early 2018, SCHOTT decided to expand its only Asia capacity, because this is where the market is growing and developing,” stated Dr. Patrick Markschlaeger, Executive Vice President, SCHOTT AG, Business Unit Tubing.

“More medicines are produced and packaged in India and sent to global markets. They need to be made with global market standards as well as to be packed in the global packaging standard material. And our products are globally certified,” Sparschuh stated.

The company began the construction of its first new tubing facility last year on the occasion of completing two decades of operations in India.

“SCHOTT also takes cognizance of the Indian Health Ministry’s initiative to provide affordable and accessible healthcare to its citizens. In this regard, we wish to be part of such initiatives by contributing to the pharmaceutical value chains and by providing high-quality glass products for pharma packaging, ensuring highest global safety standards,” stated Sparschuh.

On the occasion, Marja Einig - Deputy German Counsel stated, “SCHOTT is playing a pivotal role in giving a fillip to our efforts in strengthening the Indo-German partnership... With its expanded operations, it is catering to the needs of the Indian health industry and contributing to the Indian government’s initiatives such as Make in India and Pharma Vision 2020.”

With pharmaceuticals becoming even bigger business in India and the wider sub-continent, it remains to be seen if other makers will follow suit.

YOUR

2020 YE

ARPLAN

NER!

AG Covers_CURR

ENT.indd 2

CONTACT DETAILS EDITORIAL Publishing Director Andy Skillen Email: askillen@asianglass.com Direct line: + 44 (0) 208 123 0196

ADVERTISING AND DESIGN Advertising Sales Valerie Adamson Email: vadamson@asianglass.com Direct line: + 44 (0) 208 133 5273

13/12/2019 14:01

Happy new year!

Paul Russell Email: prussell@asianglass.com Direct line: + 44 (0) 208 638 0619 Production and design Tim Mitchell Email: tim@bowheadmedia.com Direct line: + 44 (0) 208 123 0839

RESEARCH Research Manager Alex Murphy Email: amurphy@bowheadmedia.com Direct line: + 44 (0) 208 123 0839

EXHIBITIONS AND CONFERENCES Contact the team on: Email: events@bowheadmedia.com Direct line: + 44 (0) 208 123 0839

Bowhead events Creating Opportunities: Delivering Results OVERSEAS OFFICES

China Professor Wen Xin Email: 18980921123@163.com Tel: +86 28 8701 9077 Fax: +86 28 8701 9077 Bangladesh Jahir Ahmed jahir@asianglass.com India Yogender Singh Malik yogender@asianglass.com

Andy Skillen Publishing Director

Sri Lanka Rohan Gunasekera rohan@asianglass.com

HEAD OFFICE Bowhead Media Ltd, The Old Casino 28 Fourth Avenue Hove East Sussex, BN3 2PJ

Got a general enquiry? use enquiries@asianglass.com 6

asianglass AG 19-6

Asian Glass (ISSN: 1475-6501), is published by Bowhead Media Ltd, registered in the UK no: 6127651

www.asianglass.com

Prepare for the future it’s less expensive than you think.

Monitoring

Smart Factory is approaching and, thanks to the YOUniverse, it has become far easier to prepare for. It’s also cost effective because the Tiama Hot-End Monitoring System is modular: you choose what you need and when you need it, building the YOUniverse that suits you.

www.growth-group.com

TIAMA HOT MASS For gob weight control, gob shape and temperature monitoring

TIAMA HOT MOVE Article positioning management with early warning to avoid jam

TIAMA HOT EYE For critical defects detection and recognition, dimensional measurements

TIAMA HOT FORM For infrared radiation monitoring and real time statistics

… and they can take action autonimously – now that’s Smart! So, whatever your choice, it will improve your knowledge of the process and it is backed by our service, support and training, along with constant research. For more information visit youniverse.tiama.com.

Data – the deciding factor

HEADLINE NEWS ASIA Pioneer suffers as Chinese glass floods in Philippines The country’s lone float glass maker has endured a sales decline of roughly 50 percent resulting from the widespread sale of reportedly substandard glass products from China.

Pioneer Float Glass Manufacturing Inc. President Paul Vincent C. Go disclosed the firm’s sales from January to November slumped by anywhere between 40 percent and 50 percent. Providing no figures, he attributed the decline to stiffer competition with imports from China, which he said are mostly substandard. “[Sales decline is] 50 percent as of this yearly performance,” Go told reporters here on Monday. “Now we are in the budgeting stage. Sales really slumped about 40 percent to 50 percent, and there is a slowdown generally right now.”

Go said Pioneer Float Glass is failing to benefit from the country’s surging demand for construction materials brought about by the government’s infrastructure program. He added that bulk of the requirements are being sourced from importers, who ship their glass products mostly from China. However, Go claimed there’s an anomaly in this scenario: Chinese glass is exported first to Southeast Asian economies close to China, such as Myanmar, before they are transported to the Philippines—a case of transhipment, which is illegal under multilateral trading rules, if proven true.

“There are lots of imported glass in the market, imported that are not paid the right taxes, imported that are substandard,” the Pioneer Float Glass chief argued. “Importers claim their glass products are standard, but we don’t actually have any means to check except during market monitoring.” Go bared that, “Just last week, an importer shipped

8

asianglass AG 19-6

five containers of glass. The COO, or certificate of origin, states they were made in Myanmar, but when we opened the container, it’s from China. There are no glass plants in Myanmar. It’s like transhipment. There really are many anomalies taking place here.”

Go is hoping the Makati and Pasay courts would lift the injunction they imposed on Department Administrative Order 19-05 issued by the Department of Trade and Industry. The DAO was imposed by the DTI in March in order to regulate flat glass products in the market by subjecting them to mandatory certification.

However, the Makati and Pasay courts, acting on the petition filed by importers, in May slapped an injunction on the DTI-issued DAO. The DTI filed its petition to lift the injunction, but to no avail. Up to now, the trade body has no superior control over the movement of flat glass in the market as long as the injunction is in effect.

“If the state of the effect on the overall institution [is looked at], we are affected. Our sales declined. We recovered overhead, but our sales is really taking a lot of damage. We are happy in spite of it all, in spite of losing profits, because we are hoping this will turn around one day totally,” Go said.

If there’s any upside, the Pioneer Flat Glass chief said it is the provisional safeguard duty placed by the DTI on clear and tinted float glass.

The DTI in July decided to apply a safeguard duty of over P2,500 per metric ton (MT) on imported float glass to protect Pioneer Float Glass, the country’s lone manufacturer of the product. In its decision, it argued increased imports of float glass between 2013 and 2017 caused serious

injury to the domestic industry, particularly in market share, local sales, capacity utilization, production, employment and profitability.

As such, Customs is charging in the form of cash bond P2,552 per MT on clear float glass and P2,835 per MT on tinted float glass.

The Tariff Commission is investigating whether there is a need to impose a definitive, or a long-term, safeguard measure on imported float glass. However, public hearings on the matter are suspended as of latest.

Pioneer Float Glass is the country’s only manufacturer of glass products with a daily production capacity of 550 MT and a labor force of over 400 workers. …but coated glass shows upturn Pioneer Float Glass Manufacturing Inc. is expanding its product line by investing P100 million in coated glass production in the Philippines.

Pioneer Float Glass president and chief executive Paul Vincent Go said Tuesday the company managed to buy new machineries to produce a wide variety of coated glass either for industrial, institutional or residential use.

“Nobody else produces coated glass in the Philippines. Those who were importing said we don’t have the capability to bring the technology here. Now we do,” he said.

Go said the investment would bring value to an otherwise plain product, with the colors of the rainbow to choose from.

The company also aims to change the way people use glass. It said that while consumers used to have clear and tinted glasses, they now have the option to choose glass products they want for their

homes and/or projects with different applications.

Go said the new product line was expected to provide more options to consumers in terms of features. He said the new product line is energy-efficient with solar-control capacity.

Pioneer’s under-utilized 550-metric-ton glass manufacturing facility has two integral parts, with the 250-MT portion catering to coated glass production and the other half catering to clear, flat glass.

“Right now we’ve only used not even half of our total capacity.

We’re just about at the 40-percent utilization rate. There’s still more we can do with the untapped capacity we have,” Go said.

He said the country’s infrastructure and construction sector had been steadily growing with the implementation of the “Build, Build, Build” program.

Go said with the continuous growth of the sector, there was an opportunity for Pioneer to become a stable player in the coated glass segment.

“It is in this coated glass segment where our competitors have an edge over us. With the new machines we have, we hope to compete head on even if we have to bring down the price of our goods,” Go said.

News, views and analysis

www.asianglass.com www.asianglass.com

Schott inaugurates new Gujarat facility India Schott has inaugurated its new glass tank facility in Jambusar, Gujarat, India following an investment of €21 million last year.

The company has also committed additional investments of €26 million for another tank facility in 2020.

Each of the new production facilities will double the capacity of Schott Glass India’s manufacturing plant, allowing the group to produce its highly specialised FIOLAX tubing material for both domestic and export demands.

Schott began the

construction of its first new facility last year on the occasion of completing two decades of operations in India.

The facility finished construction within a record time of one year, enabling employment of another 100 skilled local workforce.

Talking about Schott Glass India’s future plans, Managing Director, Georg Sparschuh said: “While domestic market remains our key focus, our India plant also caters to the Asian market, thereby contributing to pharmaceutical industr y exports and the

Indian government’s vision of becoming a global pharmaceutical hub.

Schott also understand the Indian Health Ministr y’s initiative to provide affordable and accessible healthcare to its citizens.

It aims to contribute to the pharmaceutical value chains and by providing high-quality glass products for pharma packaging, ensuring highest global safety standards.

Dignitaries from the German Embassy- Mumbai in India, and Marja Einig, Deputy German Counsel also attended the

inauguration of the new facility.

On the occasion, Ms Einig commended the efforts and said: “Schott is playing a pivotal role in giving a fillip to our efforts in strengthening the Indo-German partnership.

“Time and again, Schott has showcased its commitment towards India.

“With its expanded operations in the countr y, it is catering to the needs of the Indian health industr y and contributing to the Indian government’s initiatives such as Make in India and Pharma Vision 2020.”

Auto-glass adhesive to be “sanction” buster?

Iran Researchers at the Sharif University of Technology in Iran have synthesized a special adhesive used in manufacturing float glass for the automotive industry, after foreign sanctions hindered the export of the glue to Iran.

Director of the Sharif University of Technology’s office for interaction with the industries

hailed the production of auto glass glue as one successful example of cooperation between the university and the industrial centers.

Researchers at the Sharif University have been working on the project to make the adhesive used in manufacturing auto glass, because the material has been always imported

from abroad.

Manufacturing float glass for a single car requires approximately one kilogram of adhesive, whose export to Iran has become an arduous task in recent years due to the escalation of sanctions.

Although a series of efforts had been made to make the special auto glass glue in

Iran, a product that would be suitable to use in the weather conditions of Iran and meet the automotive standards had not been developed until recently.

Now the Sharif University of Technology has gained the technical know-how to manufacture the adhesive, which is undergoing the final tests.

Glaston Group to supply Xinyi Glass China Glaston Group has closed a deal for several pre-processing machines with Chinese Xinyi Glass Holdings Limited, one of the biggest glass companies in China covering float glass, solar glass, coated glass and automotive glass. The deal is put into effect in two phases.

The first phase, with a value of approximately EUR 1 million, is booked in Glaston’s Q4/2019 order intake. The machines will be delivered during the early

www.asianglass.com

part of 2020.

Founded in 1988, Xinyi Glass Holdings Limited currently operates seven manufacturing facilities in China with a total area of over 6.83 million sqm and around 15,000 employees.

The company is one of the world’s largest automobile glass manufacturers.

Xinyi Glass is a longtime Bystronic glass customer and there is a total of 34 Bystronic glass automotive machines

installed and running at Xinyi Glass’ premises. Now Xinyi Glass will set up a completely new factory in Malaysia with automotive glass as one of the main businesses. For the new factory Xinyi Glass has ordered a total of six pre-processing machines for windscreen, sidelite and backlite glass processing. The second phase of the deal is realised upon completion and acceptance of the first phase. The value of the

second phase delivery is on the same level as the first one.

“We were successful in closing this deal thanks to our suitable solution, stable quality, good ser vice and competitive commercial package. Xinyi Glass is one of our key customers and we are ver y happy to continue working with them”, says Jeffrey Zhao, Vice President, Sales and Ser vice, China at Glaston Group.

AG 19-6 asianglass

9

News

Smart futures for Research Frontiers & Gauzy Israel/Germany Research Frontiers Inc. Israelbased material science company Gauzy Ltd., and executives from the automotive, and architectural smart glass industries, invited guests and government officials, joined together in early December to celebrate the opening of Gauzy’s new stateof-the-art production facility in Stuttgart, Germany.

This facility is dedicated to the production of Research Frontiers’ patented SPD-Smart light control film for the entire SPDSmartGlass industry. Gauzy has developed, and is manufacturing SPD-Smart light control technology, from the chemistry to the final product. The company has a production plant in Tel Aviv making the chemical emulsion and special light-controlling nano-particles that are coated in Stuttgart to become SPD-Smart light control film. The custom designed roll-to-roll production line in Germany can produce one million square meters annually of SPD-Smart light control film up to 1.8 meters wide. Designed for the expanding needs of customers for SPD-SmartGlass, the machine offers various roll widths to reduce costs, and can offer laser patterning for custom designs with invisible lines when transparent.

The event today hosted over 150 guests from around the world, including leaders from renowned companies such as Daimler, Audi, BMW, Hyundai, Sekisui, AGC, AGP, Carlex, NSG, SGG, Henkel, and Vision Systems. Speakers included Eyal Peso, Gauzy CEO, Joseph Harary, Research Frontiers CEO, a special greeting from Sandra Simovich, Consul General of Israel to South Germany, and Alexander Satanowsky from Daimler.

Standing in front of the new 11 thousand square meter facility, Eyal Peso, CEO of Gauzy, noted: “Our LCG® SPD nanotechnology is revolutionizing mobility and smart cities, contributing to smarter light control solutions.

We have invested millions of euros to build this state-of-the-art facility in Stuttgart, the heart of

10

asianglass AG 19-6

Germany, strategically because of the strong demand and our deep order pipeline, especially in the automotive, architectural, aircraft, train and marine glass industries that we have seen.

We are honored to be bringing Israeli Innovation to the region, and have a deep sense of pride to be creating jobs and working with and alongside some of the finest people and companies in Germany.”

SPD-Smart light control film, invented and patented by Research Frontiers, is a key component in SPD-SmartGlass products. This film allows users to instantly, precisely and uniformly control the shading of glass or plastic products, either manually or automatically. Products using Research Frontiers’ smart glass technology are being used in tens of thousands of cars, aircraft, yachts, trains, homes, offices, museums and other buildings.

Joseph M. Harary, President of Research Frontiers noted: “This is indeed a milestone event for the smart glass industry. This is the world’s first factory dedicated exclusively to the production of SPD-Smart light control film.

Its state-of-the-art production techniques have brought down the cost of SPD-Smart light control technology significantly, has shortened delivery times to customers, and have added new capabilities and functionality to the world of smart glass.”

The markets for SPD-Smart film are already well-established.

Research Frontiers has licensed over 40 chemical, film, and glass companies which are selling products for the automotive, aircraft, marine, train, museum and consumer electronics industries. Gauzy’s established and growing network of over 55 glass fabricators worldwide brings additional synergies, infrastructure, and growth opportunities to the smart glass industry.

Research Frontiers patented SPD-SmartGlass technology is the same best-selling smart window technology that can be found on various car models from Daimler, McLaren Automotive,

and other auto makers. The MAGIC SKY CONTROL feature, which is now in use on tens of thousands of Mercedes-Benz SLs, SLC/SLKs, Maybach and S-Class models around the world, and more recently on four announced McLaren models, uses patented SPD-SmartGlass technology developed by Research Frontiers to turn the roof transparent by electrically aligning tiny particles in a thin film within the glass. With the touch of a button, drivers and passengers can instantly change the tint of their roof to help keep out harsh sunlight and heat, and create an open-air feeling even when the sunroof is closed. Glass or plastic using Research Frontiers’ patented SPD-SmartGlass technology effectively blocks UV and infrared rays in both clear and darkly tinted modes, helping keep the cabin cooler, and protecting passengers and interiors while also enhancing security inside the vehicle. These benefits become even more important when a car uses large surface areas of glass, especially in warm climates.

Some of the other benefits of SPD-SmartGlass include significant heat reduction inside the vehicle (by up to 18ºF/10ºC), UV protection, glare control, reduced noise and reduced fuel consumption. Independent calculations also show that use of SPD-SmartGlass can reduce CO2 emissions by four grams per kilometer, and increase the driving range of electric vehicles by approximately 5.5 percent.

Shortly after its introduction into serial production in the automotive industry, SPDSmartGlass has become standard equipment on many different aircraft, and is also used in residential and commercial architectural applications, in trains, yachts and other marine vehicles, in display applications, and to protect light-sensitive artwork and documents in major museums around the world.

Gauzy is currently focused on LCG® (Light Control Glass)

technology, including Liquid Crystal formulations and SPDSmartGlass emulsions. The company has a dedicated R&D team that focuses on each technology, multiple laboratories, and an on-site production line with custom machinery for high quality products with on time delivery.

Through strategic partnerships with certified partners, Gauzy’s distribution network ranges over 40 countries. Gauzy’s technology offers diverse applications to the glass industry including solar/energy control, shading, privacy, and transparent displays. Gauzy LCG® is featured in notable projects worldwide, including automotive collaborations with leading OEMs and Tier 1 suppliers, hotels, corporate offices, luxury residences, retail chains and consumer electronics.

Gauzy is a world leader and vendor of material science and nanotechnology, focused on the research, development, manufacturing, and marketing of technologies which are embedded into and onto raw materials.

Amongst Gauzy’s core areas of expertise are Liquid Crystals and SPD, which are used to produce LCG® (Light Control Glass). The company is headquartered in Tel Aviv Israel, with additional offices in Germany, China and multiple US cities.

Research Frontiers is a publicly traded technology company and the developer of patented SPD-Smart lightcontrol film technology which allows users to instantly, precisely and uniformly control the shading of glass or plastic products, either manually or automatically. Research Frontiers has licensed its smart glass technology to over 40 companies that include well known chemical, material science and glass companies. Products using Research Frontiers’ smart glass technology are being used in tens of thousands of cars, aircraft, yachts, trains, homes, offices, museums and other buildings.

www.asianglass.com

Crystal clear solutions

We manage all your raw materials including cullet and provide sophisticated batch charging technology.

As the leading supplier of batch plants, cullet handling equipment and batch charging technology, EME has developed and successfully delivered specific solutions for all types of glass production.

Enjoy these benefits - go with EME

ts an pl

EME GmbH · E-Mail: contact@eme.de · www.eme.de

r Afte

ice v r e ss sale

h tc Ba

Ba tc te h c ch ha no rg lo ing gy

Cull e recy t treatm clin g sy ent & stem s

Upgrades and modernization

From raw material intake to batch charging

Glass is our Passion

News

Piramal returns to profit Sri Lanka Sri Lanka’s only glass bottle marker, Piramal Glass Ceylon PLC returned to profit during the September quarter (2Q20) amid improved domestic sales following a capacity increase carried out in the first quarter of the financial year.

The firm reported earnings of 8 cents a share or Rs.73.4 million for 2Q20 compared to a loss per share of one cent or Rs.8.5 million for the same period last year.

The sales revenue for the quarter rose 3 percent year-on-year (YoY) to Rs.1.94 billion.

“This growth came in primarily from the domestic market, which grew 14 percent over the corresponding period of the previous year.

All product categories showed

an improvement, but the growth in liquor segment was significant.

After a gap of 3 years, domestic markets are indicating positive trends. Due to the local demand, a few export orders were deferred to the next quarter,” Piramal Glass Ceylon said in an earnings release.

Export sales for the quarter under review stood at Rs.659 million as against Rs.757 million of the previous year.

During the period, the company launched a premium liquor bottle for the Indian market and a green hued water bottle for the Maldives market. The quarter witnessed sampling of a few new products for new markets, which will be commercialised in the second half of the year.

The company expects to enter the premium liquor specialty segment with these new products.

The gross profit of the company improved 19 percent YoY to Rs.367.9 million while the operating profit rose 10 percent YoY to Rs.202.8 million.

For the six months ended September 30, 2019, the company reported earnings of 10 cents a share or Rs.94.5 million compared to earnings of four cents or Rs.38.5 million reported for the same period last year.

Despite flat revenue of Rs.3.5 posted for the six months, the company was able to cut its sales cost to Rs.2.9 billion from Rs.3.04 billion to report higher

gross and operating profits.

“The investment on the sixth production line during the first quarter this year paid dividends during second quarter. The enhanced capacity helped the company to cater to the increased domestic demand.

“Also the increased production volumes helped the company to absorb the cost escalations and to better its profitability as against the similar period of previous year,” Piramal Glass Ceylon said.

Piramal Glass Private Limited holds 56.45 percent stake in Piramal Glass Ceylon as the controlling shareholder.

Employee’s Provident Fund has 9.51 percent stake in the company being the second largest shareholder.

Breakthrough in glass protect systems Middle East Today, creating a secure environment is the priority for residential complexes, banks, schools, shops, airports and vehicle windshields. A revolutionary nanotechnology glass system by Salama Pro-tect, which was recently introduced in the UAE, is taking the idea of security to a whole new level. The product focuses on preventing glass penetration, dramatically enhancing glass strength, heat reduction and complete UV rejection. It can even be upgraded to ballistic protection.

The new technology is dedicated to offering customers a stress-free, secure feeling of ultimate protection. After extensive research, some of the best minds in the world have merged the brilliance of science with practical utility and safety in designing this glass system for people's well-being.

To the naked eye, the glass looks perfectly smooth. In reality, however, it has many microscopic defects and cracks, forming an uneven surface. This causes it to break when force or shock is applied.

Salama Pro-tect proprietary technology covalently bonds to and repairs the identified surface imperfections, dramatically increasing the mechanical

12

asianglass AG 19-6

performance properties of the glass unit while maintaining original glass design integrity.

This concept was developed in the US for special use. Apart from providing high levels of safety and security, this technology is also environment-friendly.

Samer Chaya, general manager at Salama Pro-tect, says: "The product itself is 10,000 times lighter than the human hair, but 100 times stronger than steel.

In terms of security, strength and performance, it is amazing and is 99.9 per cent clear. When the water-based technology consisting of carbon nanotubes and water is applied on a glass surface, it does not impair vision at all."

Currently, majority of Dubai's financial institutions, shops in the Gold Souq, Mall of the Emirates and high-end retail brands at The Dubai Mall, are already enjoying the benefits of this state-of-theart technology.

Easy to install, immediate retrofit and risk reduction One of the groundbreaking features of this product is the fact that it can be retrofitted. The team can simply come in and install this product on all the existing glass works, without affecting the visibility or thickness of the surfaces. In the case of your car

windshield, it takes just a couple of minutes to coat.

It is now leading the niche market with its strengthening and hydrophobic coating solution.

At the moment, there are no other products for glass security systems in the region, within the automotive, household, retail, or security sectors.

"Our product has a hydrophobic agent, so in the event of rain, it will repel the water from the windshield surface to guarantee better visibility while also preventing stone chipping at the same time. In the security industry, the only alternative to our product is bulletproof glass, which is much thicker, heavier, more expensive and more difficult to install," Chaya continues.

The security facet of this product has two applications ballistic resistance and protection from forced entry. Many highprofile customers want to secure themselves and their families.

After the system is applied to glass windows or facades, bullets cannot penetrate the glass thanks to the product's oneway ballistic resistance.

Besides the vast security advantage, it is a cost-effective solution as other bullet-proof glass options tend to be expensive, cumbersome and impractical. The

product can easily be installed by retrofitting existing glass panels or facades.

In the case of forced entries such as burglaries, Salama Protect is the only product that can not only delay but also prevent glass from being broken for up to three minutes; the average police response time is one to three minutes.

"Generally, a theft happens rapidly within the first few minutes, as the thieves break in and exit before the police have time to respond. Salama Pro-tect products delay the break-in time, giving authorities enough time to get to the site and deter robbery attempts," Chaya continues. "The ballistic resistance product has passed the US National Institute of Justice standards and the forced entry resistance feature has UAE certification."

Salama Pro-tect works on this new-age glass system in partnership with Houston University in the US and Swansea University in the UK. The nanotechnology system is already prevalent in the US and used to enhance security in government institutions, educational facilities and airports; the company is now offering these products in the UAE.

www.asianglass.com

glass technology

Future-proof: Combined Expertise with HEGLA.

Combined know-how for your future solutions With machines and systems from HEGLA, you can achieve maximum precision, quality and automation. Efficient and modern software solutions from HEGLA-HANIC optimize your production control and planning. Innovations such as laser-assisted glass finishing and gentle laser marking from HEGLA boraident further increase your added value. The high-performance tempering furnace technology of HEGLA-Taifin offers you optimum production results for maximum customer satisfaction.

Upgrading Glass Products

s

Robust Software Solution

HEGLA • Industriestr. 21 • D-37688 Beverungen • E-mail: info@hegla.de

aces

Advanced Tempering Furn

Recycling initiative gets green light Russia The Magistralinvest company has launched in Kolomna, Moscow, a complex for processing glass waste into raw materials for the production of glass containers and building materials. The news was broken initially by the press service of the Corporation for the Development of Small and Medium Enterprises (SMEs), with the support of which the project was implemented.

"The grand opening of the complex has now taken place

and the project operator is the Magistralinvest company, which also produces innovative, high-tech equipment for processing glass waste” said the communiqué.

“SME Bank (a subsidiary of SME Corporation - approx.

TASS) in 2018 provided financial support for the construction of a plant for 52 million rubles over a period of seven years under the program of concessional lending to small and medium-sized enterprises," the report added.

The launch of the project helped to also create 45 jobs.

On one production line, sorting, crushing, cleaning, material separation into fractions and loading of finished raw materials into soft containers takes place whilst in addition, there is a line for processing thermoplastic bottles into crumbs. The results of this processing of glass waste is a range of raw materials ready for the production of glass containers and building materials, such as

insulation products.

The principal purchaser and consumer of the products from the plant will be the French construction company SaintGobain. "Our joint work with Russian and foreign partners allows us to expand our sales markets and increase the competitiveness of domestic small and mediumsized enterprises," the press service quoted Yevgeny Ivliev, Deputy Director General of SME Corporation.

Glass LLC reaches 45% market share UAE With breakthrough advances and innovative concepts in glass solutions, Dubai Investments’ glass holding subsidiary (Glass LLC) has now raked in a 45 per cent market share, gaining a stronger foothold and giving a major impetus to the group’s growing glass business. The glass business performance has registered a growth in revenue from Dhs412 million to Dhs562 million over the last 5 years, resulting in a compounded annual growth rate of approximately 35.8 per cent Glass LLC provides premium quality glass solutions across a wide array of industries, from construction to automotive, at a total of 5 production facilities, incorporating glass companies namely Emirates Glass, EG, Lumi Glass, LG, Saudi American Glass, SAG, Emirates Insolaire and Emirates Float Glass, EFG. The company continues embarking on aggressive expansion of its production capacities across various subsidiaries catering to the architectural and flat glass businesses. In line with government initiatives promoting and encouraging manufacturing firms to seize available localisation opportunities, the companies under Glass LLC have intensified efforts, stimulating the local production capacity and producing a total of 14,157 million m2 in the past year.

Commenting on the

14

asianglass AG 19-6

performance of Glass LLC, Abdulaziz Bin Yagub Al Serkal, CEO, Industrial Platform, Dubai Investments, said, “Combining extensive experience with an ambitious vision, Glass LLC has adopted sustainable growth strategies and aims to accelerate the overall demand for glass as an energy efficient alternative for construction industry. According to industry reports, the market for flat glass, extensively used in construction industry, is poised for solid growth with its sales likely to surpass the $130-billion mark by 2024.”

Glass LLC’s glass companies are focused on catering to changing regulations and stringent performance criteria’s in construction design and continue augmenting their range of products. The companies are thriving to reinforce product range by strengthening existing line up with advanced products, complementing multifunctional offerings.

Emirates Glass has introduced new products and is aiming a market share of 35 per cent compared to 31 per cent last year. As the leading supplier of sputter-coated energy saving glass across the Gulf and with presence in markets across the globe, Emirates Glass currently operates a 60,000 sq m production facility in Al Quoz industrial area and a 32,825 sq.m. post-temperable glass

coating line in Dubai Investments Park, DIP, operational since 2010.

Emirates Glass today supplies glass and glass solutions to GCC countries such as the KSA, Oman, and Kuwait as well as to Azerbaijan, Australia, Kenya, Lebanon, Turkey, India, Sri Lanka, Pakistan, Bangladesh, East and South Africa, and Canada. This highlights the focus of the company to further enhance its geographic footprint and evolve as a leading provider of quality glass products globally.

The Emaar Skyview project in Dubai has been Emirates Glass’s latest phenomenal project alongside others namely Ministries Complex in Kuwait, The Glasshouse at The Quranic Park in Dubai, the Enterprise Command and Control Centre (EC3) for Dubai’s Roads and Transport Authority; and the ITCC and MAAD towers in Saudi Arabia.

Redefining aesthetics and providing a new dimension to the usage of glass is Emirates Insolaire’s coloured solar panels. Emirates Insolaire’s coloured solar glass and coloured photovoltaic modules using the Kromatix patented technology provides coloured solar glass for both photovoltaic and thermal solar panels, providing a complete solar solution that can be adapted into any façade or roof of a

residential or commercial building, and integrated into any architectural design.

Emirates Insolaire products have been installed across UAE on the kindergarten building for Dubai Municipality in Al Twar, Mirdif Hills project, Carrefour in Dubai Investments Park including projects in other emirates like Ajman and Ras Al Khaimah. Globally, the Kromatix technology has been implemented across projects in Switzerland, Austria, Denmark, Germany and Brazil Glass LLC’s EFG subsidiary’s new manufacturing facility in Abu Dhabi, UAE, spread over 320,000 Sq.mts of land is equipped with state-of-theart machinery from Europe, US and Japan, achieving 100 per cent capacity utilization, the highest benchmark for efficiency levels worldwide.

The hi-tech manufacturing unit currently holds a production capacity of 600 tonnes per day of high quality tinted, clear and pyrolytic coated float glass per day and over 190,000 tonnes of glass products per year.

EFG supplies its products to Architectural and Automotive glass sectors spanning over 65 countries including South America, Europe, Australia, Asia and Africa. EFG has ambitious plans to double its production capacity in the near future with a new production line.

www.asianglass.com

News

SplitFin

Unique solution for processing with water jet technology

Configure online now www.lisec.com/configurator The SplitFin is an integrated and continuous solution for fast, effective and uncomplicated processing of glass sheets. The line is aimed especially at the complete processing of sheets. A significantly higher output is achieved in comparison with individual machines as a result of the distribution of the processing steps (edge polishing and grinding / drilling and milling with water jet / washing & drying) and the associated permanent use of the individual devices. The SplitFin sets new standards, not only through extremely fast cycle times, unparalleled in the industry, but also with regard to ease of maintenance as all of the most important mechanical assemblies are easily accessible and in the dry area as far as possible.

Use our configurator for possible machine and line configurations: www.lisec.com /configurator

www.asianglass.com

best in glass processing

AG 19-6 asianglass

15

News

Container glass producer to invest INR 1,300 million India AGI glaspac, second largest container glass producer in India will invest up to INR 1300 million in technology upgrades that will see its capability to produce lighter bottles and reuse glass, get a big shot in the arm.

The Hyderabad-based company will obtain the latest technology called NNPB from Europe for producing light weight bottles.

The technology helps reduce bottle weight by a third without compromising on the quality

of performance.

“We have production capability and will need about ₹100 crore investment to get the special technology and harness it for manufacturing products that will mostly be exported,” says Rajesh K Khosla, President & CEO of the company.

AGI glaspac, the Packaging Products Division of HSIL Ltd, is the first Indian company to export light bottles to beer majors in Europe. It will expand the market

to North America and Africa in a big way. Demand for wine bottles, too, is high. The target is to earn up to 10 per cent of revenues from exports.

The other major investment will be in setting up ‘Cullet Systems’.

The company is getting the sorting system from an Austrian firm. It helps in separating caps, wrappers, glass, etc, systematically, paving the way for an efficient reuse of collected bottles.

The first unit with funding of

INR 150 million will come up in the Bhongir manufacturing plant, about 50 km from Hyderabad.

The second with the same investment will be set up in the Hyderabad production unit next year. The recycling and reuse in glass industry is just 40 per cent compared to 70-75 per cent in Europe. Its usage is limited to liquor, beverages, pharma and FMCG, now. AGI wants to push up this percentage by tie ups with collection people.

LED facility inaugurated Dumping duty to remain on float imports

Russia The grand opening of a new high-tech production line of new generation LED lamps has taken place in Tomsk.The project was created by Tomsk Electric Lamp Plant (trademarks - “LEADlight” and “TOMICH LAMP”) together with Tomsk University of Control Systems and Radio Electronics (TUSUR) and has no analogues in Russia.

This highly automated line is

capable of producing modern LED lamps with special filamentous LEDs (filaments). With a capacity of 6.5m. pieces per year, the line – when fully up to speed – will provide up to 10% of the domestic lamp market. Spread over an area of 680 sq metres, the production equipment employed cost a total of around 115m. rubles out of a total project investment cost of some 350m. rubles.

Glasstech Asia 2019

The Glasstech Asia series which was officially opened on 12 November 2019 by Guest-of-Honour, Mr Dody Widodo, Senior Advisor to Minister for Deepening, Strengthening and Spreading of Industry, Ministry of Industry, Republic of Indonesia, successfully ended its 2019 edition on a high note today which saw a total number of 3,500 visitors and conference delegates from 16 countries.

The three-day international glass showcase for the Southeast Asian architecture and building industries spanned over a gross exhibition area of 10,000 square metres at the Indonesia Convention Exhibition (ICE) and saw the participation of 124 exhibitors from 14 countries. The showcase was jointly organised by Conference & Exhibition Management Services (CEMS) and Singapore Glass Association (SGA). The event was hosted by Indonesia Flat & Safety Glass Association (AKLP), and locally partnered with Royalindo Convention International.

The Glasstech Asia series is reputed as the ‘Glass Hub of Southeast Asia’ which provides regional and international industry players a broader understanding and deep knowledge in glass manufacturing, processing, products and materials sector. Apart from being the preferred sourcing platform for architectural glass and processing needs, the showcase serves industry players from across the globe who are looking into tapping the growing market of Southeast Asia. The showcase also hosts the gathering of international experts from the glass industry who present the latest in glass technology and innovation, as well as to address the latest developments and challenges facing the industry.

Glasstech Asia 2019, which was held concurrently with Fenestration Asia 2019, played an important role as a learning hub when it hosted two conferences for delegates who represented all areas of the architectural glass industry - The Living Glass Conference 2019 by Indonesia Flat & Safety Glass Association (AKLP), and the soft launching of Greenship NETZERO conference by the Green Building Council Indonesia (GBCI).

The conferences presented topics pertaining to the growth outlook on construction and flat glass industries in Indonesia and ASEAN, the applicability of glass in Indonesian and ASEAN architecture, as well as a

16

asianglass AG 19-6

India India is likely to continue with existing anti-dumping duty on imports of clear float glass from UAE, Pakistan and Saudi Arabia India’s commerce ministry's investigation arm Directorate General of Trade Remedies (DGTR) has recommended continuation of anti-dumping duties on float glass imports from UAE, Pakistan and Saudi Arabia after concluding a probe into it.

The government is expected to extend existing anti-dumping duty on imports of clear float glass as the commerce ministry has recommended for continuation of the levy. The existing duty will expire in December.

The directorate has said there is a likelihood of dumping and

injury to the domestic industry, if the existing anti-dumping duties are allowed to cease. Due to this, the authority is of the view that continuation of duty is required against Pakistan, Saudi Arabia and United Arab Emirates.

Indian float glass producers constituting Saint-Gobain India, Sisecam Flat Glass India Ltd and Gold Plus Glass Industry Ltd had filed an application few months back before the authority, on behalf of the domestic industry, alleging likelihood of continuation or recurrence of dumping of the glass from these countries. They have requested for a review of the same for continuation and enhancement of the antidumping duties.

forum to discuss on achieving sustainability for building facades. The conferences were attended by prominent glass associations from around the region, leading architects as well as experts from the construction and glass manufacturing industries.

For the very first time, the Glasstech Asia series featured a Glass Installation Competition bearing the theme of ‘Fabricated Transparency’. A total of five glass exhibitors - Toko Wahyu Abadi, PT Himalaya Jaya Abadi, PT Glassindo Adimukti Abadi, PT Fantasi Aneka Gelas Internasional, and Simpati Kaca took part in the competition where they were given the challenge to perfectly install glass panels on window steel frames within an allotted period of time in the presence of a panel of judges and audience.

Toko Wahyu Abadi won the competition as the Gold trophy winner, Simpati Kaca and PT Himalaya Jaya Abadi were awarded the Silver and Bronze trophies respectively at an award presentation ceremony.

The international showcase was supported by Association of the German Trade Fair Industry (AUMA), Australian Glass & Glazing Federation (AGGA), Flat Glass Alliance of the Philippines Inc.(FGAPI), Glass and Glazing Federation (GGF), Green Building Council Indonesia (GBCI), Malaysia Glass Association (MGA), Malaysian Institute of Architects (PAM), National Glass Association (NGA), Philippine Chamber of Glass & Aluminium Industry Inc (PCGAII), Safety Glass Processors Association of Malaysia (SGPAM), Taipei Glass Commercial Association (TGCA), Taiwan Association of Machinery Industry (TAMI), Thai Plate Glass Industry Association (TPGIA), United Architects of the Philippines Singapore Chapter (UAPSG), and Vietnam Glass Association (VGA).

www.asianglass.com

News

Our conveyor chain transports glass around the world.

All Pennine Conveyor Chains : www.pennine.org

www.asianglass.com

100% UK manufactured 100% European steel

sales@pennine.org

AG 19-6 864733 asianglass +44 (0)1484

17

News

Global View Şişecam opens second flat glass plant ITALY

Şişecam Group has opened a plant in Manfredonia, Italy, its second flat glass investment in the county. The company, which had acquired and incorporated the Porto Nogaro plant in northern Italy in 2016, also completed the acquisition of the Manfredonia plant in Monte Sant’Angelo in June last year.

Due to the renovation and modernization investment done by Şişecam Group in a short time, according to the company, the flat glass production facility had become operational two months earlier than planned.

The inauguration ceremony held on November 30, 2019 was attended by Italian Prime Minister Giuseppe Conte, Ambassador of the Republic of Turkey in Italy Murat Salim Esenli, President of Puglia Region Michele Emiliano

and Mayor of Monte Sant’Angelo Pierpaolo D’Arienzo, as well as the guests and employees.

Conte said in his speech at the ceremony that the government always supports foreign investments. “… Şişecam has come with a sustainable project both economically and environmentally, and taken an important step by putting this facility into operation. Şişecam Group will also be pleased with this investment,” he said. Şişecam Group vice chairman and CEO Ahmet Kırman in his opening speech stated that the company continues to create social and economic value in all geographies in which it operates. “Şişecam Group is one of the largest Turkish investors in Italy.

And Italy is a special country for Şişecam with a population

of more than 60 million, an economy reaching $2 trillion, and a long-established industrial history. The total amount of our investments in the country has exceeded [$166 million] as of today,” he says. “Our group operates in Italy with investments in chemicals, glassware and flat glass. Thanks to our operations in flat glass and exports from Italy, we aim to escalate the total sales revenues of our operations in Italy to [$221 million] in 2020 and to increase our contribution to the Italian economy.”

“We have launched the Manfredonia plant with the renovation and modernization investment that we have realized in a short time. Together with additional investments, we have invested more than EUR 55 million for Manfredonia, including

the acquisition value and working capital,” Kırman added. “We have not only rebuilt the furnace with an advanced design in the facility opened today, but also managed to activate the coating and lamination lines.

As Europe’s largest flat glass producer, we are proud to commission Manfredonia, our second flat glass production facility in Italy and third in the European Union, in a very short time as promised.”

The Manfredonia plant has an annual production capacity of 190,000 tons, bringing the company’s annual production capacity in Italy up to 410,000 tons. The plan’s lamination line will produce 37.7 million square feet per year and its coating line will produce 53.8 million square feet per year.

Closing the loop on recycling EUROPE The European glass packaging industry has set in motion “Close the Glass Loop” – a major stewardship programme that aims to boost glass “collection for recycling” rates to 90% by 2030 in the EU. The move comes as a response to new EU rules to increase net recycling targets for glass packaging to 75% by 2030.

Over 76% of glass packaging placed on the European market is collected for “bottle to bottle” recycling, already putting the circularity of glass in a league of its own.

Industry CEOs have agreed to set up the “Close the Glass Loop” programme with the common ambition to achieve an EU-wide 90% collection for recycling target for glass packaging by 2030. The programme will be shaped in the coming months with value chain

18

asianglass AG 19-6

partners, with initial discussions on collaboration already underway. The official platform launch is planned in June 2020.

“Our goal is to keep increasing the sustainability credentials of the glass packaging solutions we provide to our customers and consumers,” stated FEVE President Michel Giannuzzi. “We are proud to lead ‘Close the Glass Loop’, an industry-wide initiative that will have real benefits for the market and our planet alike: it is our call for action to deliver an ambitious Circular Economy Action Plan for glass.”

This initiative aims to bring together the different stakeholders of the glass collection and recycling loop under a common European platform with a two-fold objective of closing the collection gap and improving the quality of recycled

glass (cullet), so that resources remain productive in a bottle-tobottle manufacturing loop.

More availability of good quality cullet means a more resourceefficient production process, providing a premium level, safe and truly recycled packaging material, the industry says.

It all starts with collection.

The “Close the Glass Loop” programme will boost collection and involve the many committed European and national partners, from municipalities, to glass processors and industry customers, including the Extended Producer Responsibility schemes operating across EU Member States.

“To be successful, we need to work locally in every EU Member State, while sharing best practices and raising ambitions via a European

platform. We don’t believe in a single European model for glass collection, but we do believe in a single ambition,” stressed Michel Giannuzzi.

“We are very proud to have been able to set the foundations for such an ambitious programme, which has a very strong support inside the membership and perfectly matches the objectives of both the UN Sustainable Development Goals (SDGs) and the European Green Deal of the new European Commission,” stated Adeline Farrelly, Secretary General of FEVE.

ASIA... is one click away

www.asianglass.com

News

Bovone to relocate operations UNITED STATES

Reidsville is getting a new North American headquarters of a foreign company in 2020.

Bovone, an Italian manufacturer of machinery and technologies for the second processing of flat glass and natural and synthetic stones, plans to renovate the former Wolf Creek Harley-Davidson dealership at 2018 Barnes Street for offices, warehouse and mechanical workshop space.

The location is just west of U.S. 29, which is part of the planned upgrade to Interstate 785. The company’s total investment in the 13,380-square-foot building is expected to be about $1 million, Leigh Cockram, director of the Rockingham County Center for

Economic Development, Small Business & Tourism, told Triad Business Journal. The company is expected to employ fewer than 10.

Because of the size and scope of the project, it did not qualify for incentives.

The new headquarters is a strategic decision aimed to answer market demand from Bovone’s regional distributor, Salem Distributing Company in WinstonSalem. The new location will allow Bovone to guarantee faster response times and more efficient sales support.

"Bovone has been successfully selling its machines in the United States for 45 years and the time has come that we expand into this

market with a physical location so we can continue to effectively and efficiently meet the demands of our loyal customer base,” said Federica Bovone, president of Bovone.

Founded in 1954 and based in Ovada, Italy, in the province of Alessandria, Bovone manufactures stand-alone machines for grinding, beveling and washing of glass and stone.

“To have another international company invest in our county proves that the economy is strong and that our strategic location for reaching major U.S. markets continues to be attractive to companies looking to move product to market in a

timely manner,” Cockram said.

“It’s also exciting to see the repurposing of a previously vacant commercial building.”

Bovone chose the Triad for its North American headquarters because of its history in the furniture industry, a leading sector for glass.

“This is another example of how strong the Reidsville economy is and how assets such as Interstate 785 and other infrastructure investments are paying dividends,” said Reidsville Mayor Jay Donecker. “Reidsville is also becoming a hotbed of international companies with over $50 million in foreign direct investment in the past 18 months.”

AGC starts up flat glass plant BRAZIL

Japanese flat glass manufacturer AGC Vidros has inaugurated its R $700 million (US $167 million) plant in the city of Guaratinguetá in São Paulo, Brazil.

The company has expanded its production capacity by 140%, becoming the second largest glass manufacturer in the country after eight years of activity.

The new plant is located next to the current one and houses a new furnace with capacity to produce up to 850 tonnes of flat glass per day.

The previous production capacity

was 600 tonnes per day, but had already required investments of approximately R $900 million in AGC Vidros’ implementation of the first unit in Latin America.

With the new furnace that went into operation in April 2019, the Guaratinguetá unit's production capacity rose to 1,450 tonnes per day.

Jean-François Heris -Global President of the Building and Industry Glass Division, Fábio Oliveira - Chief Executive Officer and General Manager of Finance and Business Support for South

America were all in attendance at the inauguration.

During the ceremony Isidoro Lopes was announced as the new Managing Director of the Glass Division for Building and Industry for South America, replacing Francesco Landi who returns to AGC Glass Europe.

AGC has hired around 200 workers in the Guaratinguetá region, expanding its staff to 1,000, becoming one of the largest employers in the region.

The new employees underwent technical training,

safety and compliance with industry standards.

“With the new plant, AGC also increased its built-up area by approximately 50% to a total of 150,000 m², ”said Isidoro Lopes, Managing Director. of the Division of Glass for Construction and Industry for South America.

He added: “Continuing its investments, AGC demonstrates the Group's confidence in Brazil and at the same time recognises the support it has received from the local community, partners and our customers."

Anchor Hocking successfully delays furnace rebuild with SmartMelter® UNITED STATES Anchor Hocking, a leading designer, marketer and manufacturer of a comprehensive portfolio of quality glassware, used SmartMelter® to safely delay a scheduled repair on it’s furnace in Monaca, PA. The data from SmartMelter® monitoring allowed the company to dedicate resources to other projects by operating the furnace eleven months longer than initially planned. When the furnace was drained for repairs, data from the SmartMelter® report was validated.

“SmartMelter® data gave us the

20

asianglass AG 19-6

confidence to push the furnace rebuild into 2019 so that we could prioritize our spending,” said Bob Ryder, Senior Director of Engineering at Anchor Hocking.

He explained, “Without this information, we couldn’t be certain about the risk involved with that decision.”

The SmartMelter® team inspected the Monaca furnace in June 2018, when the original repair was scheduled. However, the first inspection showed that the furnace was not in critical need of repair, and regular

monitoring could extend the furnace campaign.

Based on this information, the company decided to delay the repair in order to meet two goals.

First, they required additional time to build inventory prior to shutdown in order to better bridge the repair and meet customer needs.

Second, the company wanted to allocate 2018 capital expenditures toward other projects.

The furnace was drained and repaired in May 2019, eleven months after the original repair date. When the furnace was

examined, SmartMelter® 's assessment was shown to be accurate.

“SmartMelter® is making it easier for furnace managers and finance teams to agree on maintenance decisions,” said Yakup Bayram, CEO of PaneraTech. He added, “This is the perfect example of a decision that might have caused tension between decisionmakers who have different goals.

However, the deterministic data that we were able to provide eliminated that tension and made the decision simple.”

www.asianglass.com

Automatic Sealing Robot - Art. SR

WATCH THE VIDEO! The automatic sealing robot Art. SR by Forel is designed for high productivity with outstanding sealing quality and flexibility. The machine has a load capacity of 400 kg/m and can process stepped units with offset up to 100 mm. The Art. SR can process double and triple IG units, using up to 3 different sealing products.

www.forelspa.com

News

EMC gets funding for flexible glass solar UNITED STATES

Energy Materials Corporation (EMC), the global leader in high speed manufacturing of high performance solar energy modules (panels), announced today that the U.S. Department of Energy Solar Energy Technologies Office selected EMC to advance perovskite photovoltaic module research and development.

The Energy Department’s selection supports EMC’s ongoing scale-up of high efficiency and stable perovskite solar modules. Leveraging existing pilot scale manufacturing facilities at the Eastman Business Park in Rochester, N.Y., the project will demonstrate high speed printing of entire perovskite devices on

paper-thin flexible glass, including the transparent conductor layers that are traditionally done by costly vacuum deposition techniques.

Ultimately, EMC will fabricate entire BackbonePV(TM) perovskite panels on high speed, roll-to-roll manufacturing lines.

“Unlocking the potential of solar energy to become a relevant portion of global energy generation requires a new manufacturing technology for solar panels that is scalable and sustainable,” stated Dr. Stephan DeLuca, EMC Chief Executive Officer. “EMC’s high speed printing process can lower the cost of building solar

panel factories by 95%, and reduce the selling price of high efficiency modules by 50%. At these disruptive cost points, our gigawatt scale factories can be rapidly replicated in the U.S. and around the world to fill local demand while supporting the industry’s determination to reach unsubsidized $0.02 kWh solar energy.”

“The U.N.’s 2050 emissions goal challenges our industry to expand from the current 700GW installed to more than sixteen terawatts globally in the next thirty years. Combined with existing workhorse module technologies, this type of manufacturing innovation is an urgently needed

compliment to meet that timeline,” said Frank Depew, CEO of Urban Grid, a national utility scale solar developer.

EMC was selected as a part of the Solar Energy Technologies Office Fiscal Year 2019 funding program, an effort to invest in new projects that will lower solar electricity costs, while working to boost solar manufacturing, reduce red tape, and make solar systems more resilient to cyberattack. EMC is one of several photovoltaics research projects that will focus on improving the performance and reliability of PV cells, modules, and systems and reducing materials and processing costs.

testing response with drinking water and sodas, and this means that we will expect companies to have enough capacity to cover this progression” said Dmitry Mikulenok.

The Minister went onto emphasise that only three large glass factories operate in the country presently and together they provide about 70% of the Belarusian market.

These are mainly beer and spirit bottle oriented.

The MInister commented that although glass industry in Belarus is constantly being modernized

with a view to reducing costs and costs, developing new products and increasing its competitiveness, there was definite scope for adding additional capacity for glass containers.

"The necessary calculations are being carried out. Since this type of product is also in demand in foreign markets, the construction of a new plant would enable us to increase exports several times over also. Presently, our enterprises are sometimes forced to refuse foreign buyers in order to satisfy the needs of the local consumers," he added.

The general director of Grodno Glassworks OJSC Yuri Skripko commented that any new enterprise could appear in Grodno.

“Demand for glass containers as environmentally friendly packaging is increasing in the domestic and foreign markets and we are preparing for this. We are closely engaged in our new project. In fact, a new factory may appear at the entrance to Grodno,” the director said and emphasized that this enterprise will produce a wide range of products, including bottles for drinks presently poured into plastic.

New container plant mooted BELARUS

The Minister of Architecture and Construction, Dmitry Mikulenok, has announced that a new container glass facility could be constructed in the country in order to meet growing demand for glass packaging. With plastic packaging feeling the pressure, the country is moving towards a “greener” solution domestically, and sees this new factory as a key strategic point on that path.

"It is important that the industry is ready for such a serious transition and as such we are going to enact a phased shift towards glass. We will start

Don't miss our 2020 schedule.... online at www.asianglass.com Asian Glass Edito

rial & Distributio

A wealth of exciting

n Schedule

opportunities

✷ ON-PAGE: full and half display advertising ✷ DIGITAL: full and half display advertising…and ✷ DUMMY COVERS: more! the ultimate, high impact creative… ✷ BELLY-WRAPS: take ownersh high profile, hard-hitt ✷ ON-PAGE: full ip of the issue and half display ing message conveya advertising nce ✷ DIGITAL: full and half display advertising…and AG19-6 ✷ DUMMY more!

FIN COVERS:

Asian Glass…Edito

rial & Distributio

A wealth of exciting

Asian Glass... Market leading analysis for the global glass industry

●●●●●●

●●●●●●

●●●●●●

●●●●●●

■ Vietnam: a country in focus ■ Asia: the business of recycling ■ China: an auto glass investor ■ Asian ultrathin: ●●●●●●

●●●●●●

●●●●●●

●●●●●●

AL ISS

UE ✷ BELLY-W OF 2019 RAPS:

AG20-1

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

■ Packaging: profiles and penetration ■ ASEAN float glass supply dynamics ■ Safety glass on the sub-contine nt ■ Bonding and binding: silicones ■ Southern China glass facades in Japan EVENTS: China Glass, Mir Stekla

AG20-3

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

■ Glass façade inspection ■ Keeping up appearances: container ■ Bangladesh: a market in focus ■ Ultrathin glass: supply/dem and ■ ●●●●●●

●●●●●●

●●●●●●

!!

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

AG20-4

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

AG20-1

●●●●●●

●●●●●●

●●●●●●

●●●●●●

AG20-5

●●●●●● ●●●●●●

●

impact creative… take ownersh high profile, hard-hitt ip of the issue ing message conveya nce ●●●●●●

●●●●●●

●●●●●●

●●●●●●

AG20-2

●●●●●●

●

●●●●●●

●●●●●●

●●●●●●

AG20-6

●●●●●●

●●●●●●

glass decoration

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

AG19-6

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●

●●●●●●

FIN AL

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●

AG20-4

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

AG20-3

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

.com

AG_ed_sched_09-1

9.indd 1

●●●●●●

●●●●●●

AG20-5

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●

●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●

●

AG20-6

●●●●●●

●●●●●●

●●●●●●

●

●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

Ma xi mise you r expos u re, ma xi mise you r bu dget…

find out how by contacting: Paul Russell, Tel: +44 (0) 208 638 0619 Email: prussell@ asianglass.com Valerie Adamson , Tel: + 44 (0) 208 Email: vadamso 133 5273 n@asianglass.com

www.asianglasss

●●●●●●

Indonesia: Window Eurasia Glass, Door facades using China, benders Glass and thin glass & Middle shapers East, ■ Future glass EVENTS: Glasstec, for a modern Asia Egypt World Soda Ash ■ Thin glass in façade construction ■ Chinese auto glass markets EVENTS: ZAK Glasstech, ■ Packaging: profiles and Glasstech Asia penetration ■ ASEAN float ■ Container glass production glass supply dynamics costs ■ Safety glass ■ Indonesia: benders and shapers on the sub-contine FREE nt ■ Bonding and ■ Future glass INSI DE binding: silicones for a modern Asia in The ■ Thailand: ■ Thin glass Japan Southern China ■ AG Yearp in façade construction a glassglass industry facades lan ner! in focus ■ Chinese auto ■ State ofChina EVENTS: the Art: glass markets Glass, the perfect Stekla Asian container ■ Vacuum insulated Mir EVENTS: ZAK Glasstech, factory glass: an outlook Glasstech Asia ■ Scale of the problem: thin glass upgrades ■ Float futures for China FREE EVENTS: Architectural Glass ■ Glass façade INSI DE inspection Ukraine, PV The AG Japan '21 ■ Keeping up ■ Thailand: a glass industry appearances: container Yearp lan FREE INSIDE: YOUR in focus ■ Bangladesh: ner!

■ State of the glass decoration 2021 YEAR PLANNER a market Art: the perfect in focus Asian container ■ Ultrathin ■ Vacuum insulated glass: supply/dem factory glass: an outlook and dynamics ■ Solar futures: ■ Scale of the problem: thin an ASEAN approach glass upgrades ■ Float futures to BIPV EVENTS: Intersolar for China Europe, Glassman Glassbuild America, EVENTS: Architectura Latin America, SNEC l Glass Ukraine, PV Japan '21 FREE INSIDE: YOUR 2021 YEAR PLANNER ●●●●●●

dynamics Solar futures: an ASEAN approach to BIPV EVENTS: Intersolar Europe, Glassman Glassbuild America, Latin America, SNEC

n Schedule

opportunities…

the ultimate, high

●●●●●●

■ Vietnam: ISS UE a country in focus OF 2019 ■ Asia: the business of recycling !!

■ China: an auto glass investor ■ Asian ultrathin: movers ■ Automotive SEE US AT: Architectura and shakers glass in the Middle l Glass Ukraine; ■ Container FREE East glass: a new corporate WITH THIS ISSUE Baku Glass 2019; - THE 2020 YEARPLANN ■ Energy efficient landscape glazing: a future ER! ■ Putting the fizz back: beverage hope? packaging trends ■ PLUS: Adaptive ■ Façade recyclingfacades using thin glass and re-use EVENTS: ■ Turkey:Glasstec, World a country Soda Ash in focus ■ Automotive ■ Fenestraton glass in the Middle trends: a window ■ Container ■ Make-up glass: a new corporateEast your mind: cosmetic for today?

■ Energy efficient landscape packaging trends ■ Safety glass glazing: a future standards: matching ■ Putting the requirements ■ Container fizz back: beverage hope?

EVENTS: Glassman glass production packaging trends Asia, PV Japan, ■ PLUS: Adaptive costs ■

●

standards: matching requirements EVENTS: Glassman Asia, PV Japan, Window China, Eurasia Glass, Door Glass Middle East, & Egypt

AG20-2

●●●●●●

movers SEE US AT: Architectura and shakers l Glass Ukraine; FREE WITH THIS Baku Glass 2019; ISSUE - THE 2020 YEARPLANNER!

■ Façade recycling and re-use ■ Turkey: a country in focus ■ Fenestraton trends: a window ■ Make-up your mind: cosmetic for today? packaging trends ■ Safety glass

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●●●●●●

●

Ma xi mise you r expos u re, ma xi mise you r bu dget…

find out how by contacting: Paul Russell, Tel: +44 (0) 208 638 0619 Email: prussell@ asianglas s.com ianglass. www.as com Valerie Adamson , Tel: + 44 (0) 208 Email: vadamso 133 5273 n@asianglass.com

www.asianglasss

.com

AG_ed_sched_09-1

9.indd 1

05/09/2019 16:08

www.asianglass.

com

05/09/2019 16:08

www.asianglass.com 22

asianglass AG 19-6

www.asianglass.com

End of the road for ‘cat-scratch’ cord drains Almost 200 PSR Cord Dispersal Systems installed Money-back guarantee Pay-back time measured in weeks

WE HAVE THE BETTER SOLUTION www.parkinson-spencer.co.uk

News

People and Places Grenzebach acquires CNUD Europe The Grenzebach Group has announced that it has agreed with the BMT Group to acquire its float glass engineering division CNUD EFCO GFT. CNUD EFCO GFT is well known in the glass market as one of the leading annealing lehrs and tin bath solutions providers including accessories with a global presence and locations in Belgium, Germany, Romania and China. Besides the glass business where CNUD EFCO GFT has worked on more than 300 float glass production lines, the company is active in the metal construction business with its manufacturing site in Romania.

“We have many times built our cold end glass production line alongside CNUD’s tin baths and annealing lehrs in the past and we could clearly see that our two companies share the same passion for technology and quality”, says Egbert Wenninger, Senior Vice President, Business Unit Glass at Grenzebach.

“Grenzebach has an

outstanding image and position in the market which will provide excellent possibilities to strengthen and grow our business even further. Together we can serve our global customer base better and offer integrated solutions instead of separated delivery shares”, states Robert Lamy, Chief Sales Officer at CNUD EFCO GFT. Dennis Schattauer, CEO of GFT GmbH adds: “After joining forces with CNUD EFCO in 2017 we are very glad that with Grenzebach the leading supplier for the global glass production industry is completing the scope of supplies.

Together we are a unique partner for our customers.”

Tin bath and annealing lehrs are strategic and highly complementary additions to Grenzebach’s float glass knowhow and product portfolio.

Ranging from the tin bath to the cold end line to transporting finished goods to the warehouse, Grenzebach can now deliver an increased scope of supply.

Customers not only benefit from synergies in design, co-developing and planning integrated production lines as well as a seamless execution of projects but also from advanced analytics possibilities.

“We want to emphasize and further strengthen our position as technology and market leader in the global float glass industry.

With our own digitalization platform SERICY we are already able to offer added digital value for our customers. By extending our services, we will now be able to analyze end-to-end processes and provide recommendations based on closed loop algorithms.

The digitalization of float glass production lines is one of the key drivers in the glass industry”, explains Renato Luck, CEO of the Grenzebach Group.

“We are impressed by CNUD’s know-how and experience regarding the thermal treatment of glass which will help us to transfer the results of our inspection systems into

recommended adjustments of the production process. The complexity of a float glass line has increased significantly.

We have seen more and more demand for more sophisticated services, and we will be able to provide a profound offering for this demand”, says Egbert Wenninger.

Combining the know-how and experience of CNUD EFCO GFT and Grenzebach and enhancing it with gathered digital data gives the customer a perfect basis for decision making in the glass production. Moreover, Grenzebach will be able to provide customers with equipment, services and solutions from a single source which results in improved customer value.

The transaction is expected to close in the fourth quarter subject to regulatory approvals, as well as certain other customary conditions.

The technology of CNUD EFCO GFT will be integrated into Grenzebach’s Glass Business Unit.

FORGLASS unveils CelSian partnership Poland FORGLASS Sp. z o.o. has partnered with the Dutch company CelSian Glass & Solar BV to provide their GTM-x software for computer modelling studies of FORGLASS’ furnace designs. After a thorough assessment, FORGLASS chose CelSian because of

the many possibilities of cooperation the company offers. CelSian’s glass melting expertise and laborator y work were also important factors in the decision. It is clear that CelSian has been investing heavily in the GTM-x software, adding many advanced

features, as well as a more friendly user inter face. The glass industr y is presently facing significant challenges with respect to emissions and energy consumption. By using the GTM-X mathematical modelling software, FORGLASS can provide better solutions

to those challenges, while enhancing product quality and furnace lifespan. Both companies look for ward to working together on projects that will improve their clients’ operations, while supporting the glass industr y’s quest to better efficiency and ecology.

HEGLA and Bystronic part ways Europe HEGLA and Glaston Corporation have decided to terminate their cooperation agreement due to changes in the companies’ competitive positions.

The agreement, which was entered into in 2012 by Bystronic Lenhardt GmbH, Conzzeta AG, HEGLA GmbH & Co. KG, and LEWAG Holding AG, will be terminated by year-end 2019.

The purpose of the co-

24

asianglass AG 19-6

operation agreement has been to be preferred partners, meaning cooperation in cross selling by products for architectural market and making use of each other’s sales and service network. The cooperation has had limited commercial value.

The termination of the agreement has been made in mutual understanding.

With over 42 years of

experience, the HEGLA Group provides forward-looking system solutions for cutting and processing flat, automotive and functional glass. We provide comprehensive, expert and personal support and consistently deliver the perfect total solution to suit the customer’s needs. Our customers include most major flat glass manufacturers,

coating fabricators, processors of architectural and automotive glass, the fenestration industry, glass wholesalers and glaziers.

More than just a manufacturer, we see our main role as that of a service provider. With our subsidiaries HEGLA boraident, HEGLA-HANIC and HEGLATaifin, we offer additional solutions for digitisation and glass processing.

www.asianglass.com

AG 18-5 Issue advert_Advert 11/09/2019 10:43 Page 1

Board shuffle at Messe Duesseldorf

, Tomorrow s Technology Today

Germany Gathering on 4 December 2019, the Shareholders’ Meeting of Messe Düsseldor f GmbH, presided over by the Chairman, Lord Mayor Thomas Geisel, appointed Wolfram N. Diener (55) as the new President & Chief Executive Officer and Erhard Wienkamp (61) as the new Managing Director Operative Trade Fair Business. The Shareholders’ Meeting has thereby followed the recommendation of the Super visor y Board of Messe Düsseldor f GmbH. In his new position, Wolfram Diener succeeds Werner M. Dornscheidt (65), who will retire at the end of June 2020 after almost 17 years at the helm of the Düsseldor f trade fair company. Diener will take up his post on 1 July 2020.

Erhard Wienkamp will succeed Hans Werner Reinhard (49), who left the company on 30 September 2019, as Operative Managing Director on 1 Januar y 2020.

Werner M. Dornscheidt is convinced by the new management team: “Markets are shifting, the world is becoming more international, more digital and more complex. With their many years of trade fair experience worldwide, Wolfram N. Diener and Erhard Wienkamp are the ideal torchbearers to lead Messe Düsseldor f into the future. They stand for both renewal and continuity.” He points here to their excellent industr y expertise, broad management experience and international trade fair success. Dornscheidt believes this creates the best conditions for further developing Messe Düsseldor f’s product portfolio at home and abroad with the customer mind and for strengthening the Düsseldor f location.

The Board of Management at Messe Düsseldor f has become leaner as a result of the personnel changes. Alongside Wolfram N. Diener as President & CEO, Erhard Wienkamp will

be the only Managing Director Operative Trade Fair Business.

Bernhard J. Stempfle, responsible for finance and technology, completes the management team. Lord Mayor Thomas Geisel (56) welcomes this restructuring. Commenting on this the Chairman of the Super visor y Board of Messe Düsseldor f said: “Messe Düsseldor f will have a streamlined, power ful and above all expert management team that will give the company the necessar y agility to face the future in these times of digitalisation, global challenges and growing responsibility.” Geisel believes this guarantees the strategic positioning of the trade fair therefore providing continuity both in terms of addressing customers and generating a positive economic impact for the state capital.

NEWS IN BRIEF Yes, we did it again!”

Mappi wins 2019 USGlass Magazine Reader’s Choice Award.

US Glass magazine announced that Mappi International has won the 2019 Readers Choice Award for Machinery - Tempering with our Industry 4.0 Technologies. Nancy Mammaro, CEO of Mappi, said: “We are very excited to receive this award, an achievement for our industry 4.0 technologies, recently awarded, first in glass industry, with Powered By Siemens signature, and thanks the reader´s and our customer trust”.

Are you interested in CO2 reduction? l Innovative all-

electric furnace designs l Electric boost for extra tonnage and reduced emissions l Versatile bubbler systems to eliminate floor wear l All-electric forehearths reducing energy consumption by up to 80% l Mathematical modelling l Proven technical innovations

www.fic-uk.com +44 (0) 1736 366 962

, The World s Number One in Furnace Technology FIC (UK) Limited Long Rock Industrial Estate, Penzance, Cornwall, TR20 8HX, United Kingdom

GLASS SERVICE

A Division of Glass Service

News

Batch TCE to invest GBP30m United Kingdom // Soda ash Tata Chemicals Europe (TCE) is to invest £30m in futureproofing at its Lostock soda ash manufacturing site in Northwich.

The company has been the principal soda ash supply partner to customers in the glass, chemicals and detergent sectors for more than 100 years.

The cash injection – which is being lined up in addition to the

ongoing £7m-a-year sustenance capital spend – is designed to help ensure this remains the case.

It will build on the announcement earlier in the year that TCE will benefit from an agreement for Lostock Sustainable Energy to construct, own and operate the £480m Lostock Sustainable Energy

Plant on the same site. The deal also includes a 25-year contract for TCE to supply to the facility of its Briskarb sodium bicarbonate.

TCE managing director Martin Ashcroft said: "As well as providing both light ash and heavy ash to our customers for use in a range of applications, the Lostock soda ash plant is pivotal to the other arms of

our business.

"The Lostock plant also ensures a consistent high quality soda ash supply for brine purification at our British Salt business in Middlewich; the biggest salt business in the UK." Work has already commenced on the Lostock soda ash plant upgrade and is due to be completed within 18 months.

Production fall hits Ciech results Romania // Soda ash The impending production halt at Ciech's Romanian soda ash plant has forced the company to write down 37 million zloty ($9.4 million) in its secondquarter results, offsetting better demand for its products and currency effects.

The impact on output from the halt at the plant, which has capacity of 600,000 tonnes per year, will not show up until later this year, the company said contrary to reports that it had already cut production there to

80% of capacity in July.

The Polish company produces 2.6 million tpy of soda ash across four sites in Europe - a figure that will drop to 2 million tpy once the Romania plant suspends operations after September 18.

The plant will come offline because of a steep increase in the price of steam, a raw material for soda ash production.

Although it is unlikely to resume operations before 2020, Ciech is assessing several options

including a joint venture to develop its own steam supply.

Ciech’s second-quarter revenues rose by 1.2% to 944.7 million zloty from 933.5 million zloty a year earlier. But it reported a drop of 80.7% in its net earnings to 19.1 million zloty from 98.8 million zloty.

The company’s secondquarter results were "positively influenced" by the weakening zloty against the euro and the dollar, lower gas prices and increased local demand for

soda ash due to production expansions by flat glass producers Guardian and Euroglas.

But headwinds included higher raw material prices and the cost of CO2 certificates.

European soda ash contract prices rose this year due to the tightness in the market. Given the imminent drop in supply from the Ciech closure at a time of strong demand, this trend could continue into negotiations later this year.

Aura signs j-v with YSG Malaysia // Silica sand Aura Avenue Sdn Bhd, a subsidiar y company of KTS Group, has signed an agreement with YSG Silica Sdn Bhd to develop a joint venture silica sand project on Balambangan Island.

The agreement was signed

by Yayasan Sabah director Datuk Jamalul Kiram Datuk Mohd Zakaria and KTS Group managing director Dato Henr y Lau, and witnessed by Chief Minister Datuk Seri Panglima Mohd Shafie Apdal.

Following the signing, Shafie said the collaboration was significant to reduce dependency on the oil and gas and timber industries as sources of income for Sabah.

“Silica is a new resource for us to explore which could not only benefit us in Sabah, but foreign investors as well.

26

asianglass AG 19-6

This cooperation between Aura Avenue and YSG Silica could not only produce silica but lead to a downstream industr y as well, such as producing glass products, to be developed in the future,” said Shafie.

He emphasised that the agreement would create a winwin situation for both parties, where YSG Silica provides land and raw materials while Aura Avenue provides capital and expertise from being in the industr y for 50 years.

There might also be collaboration on how products could be sold abroad, Shafie added.

“We want a win-win situation where both parties benefit. We don’t want one party getting more out of this agreement than the other.

This would also be for the benefit of YSG Silica, as KTS Group has been in the field for many years. We also believe it is better for this project to be given to a local company with the know-how, rather than bringing in a company from overseas,” he said.

According to Shafie, staff are already on the ground and await machiner y from Sarawak for the project to commence further.

As for environmental concerns, the Chief Minister assured the project would have minimal impact on local communities.

Meanwhile, Lau said the joint venture project would strictly abide by the requirements of the Environmental Impact Assessment (EIA) report.

News, views and analysis

www.asianglass.com www.asianglass.com

VRX makes deposit progress Australia // Silica sand VRX Silica has unveiled a maiden ore reserve and bankable feasibility study for its Muchea silica sand project in Western Australia – making it the third advanced study to be completed across VRX’s advanced silica sands assets in the region.

The study anticipates revenue of $3.345 billion for the Muchea project compared to $2.773 billion for its recently completed BFS on the Arrowsmith North Asset.

This revenue is projected over 25 years, with cashflow and finance after tax predicted of $1.23 billion for the period.

Underpinning the first 10-year mine life are ore reserves of 18.7 million tonnes at 99.9% silica. Of this, 14.6Mt of the ore lies within the mining lease application area.

VRX managing director Bruce Maluish said the reserve was only a small portion of the wider inferred resource estimate for the project, but produces a “very high-grade product” which is currently in demand within Asia’s specialist markets.

The study estimates capital expenditure of $32.82 million would be required to develop a 2Mtpa operation. Payback is predicted within 2.3-years.

Mr Maluish said Muchea is a “world-class” silica sand project which can support a substantial export industry for WA – offering flow-on benefits to the state and the project’s Muchea-Gingin district.

“We have already had significant interest in the Muchea product that will command higher prices than products from our Arrowsmith

North and Central silica sand projects.”

He added the company’s plan was for Muchea to provide alternative high-grade products to Arrowsmith and diversify the company’s available products.

Earlier in the year, the company entered into a memorandum of understanding (MoU) with China Southern Glass (CSG) Holding to form a strategic alliance in connection with the Muchea silica sand project. CSG is the largest architectural glass manufacturer in China and is currently involved in the manufacture and sale of glass products including float, display, automotive, coated, colour filter, solar and conservation glass.

Under the terms of the MoU, CSG has agreed to assist VRX

in determining demand and logistics requirements for silica sand supply in China, including specification for silica sand products and tonnages, pricing across a range of specifications, contract supply length and transport alternatives.

The MoU also states that the parties are to “act in good faith and fair dealing” with one another in a “co-operative working relationship”, although the alliance remains nonexclusive which means VRX can continue to seek out other offtake partners.

In addition, the parties will consider the potential for developing a high-quality glass manufacturing facility in Western Australia for silica sand products generated from Muchea.

AllSteel_HalfPagAd2_Asian Glass_Layout 1 7/29/2019 4:17 PM Page 1

RAMSEY ALL-STEEL.

100% STEEL. WILL NOT CRACK UNDER PRESSURE. Ramsey All-Steel® Wear Protected Conveying Chains are tough enough for the most demanding applications. Protected against lateral chain and pin head wear by 100% steel, hardened, alloy side links, the links in this chain will never crack under pressure.

Contact Ramsey at www.ramseychain.com, (704) 394-0322 sales@ramseychain.com

News Anaylsis

News

28

O-I suitors in the final straight A

rdagh has emerged as one of the final contenders to purchase the Australian and NZ division of O-I, according to reports.

While second-round bids are due around December 16 (as AG goes to press), in the Goldman Sachs-run contest to acquire the division, the situation is said to be fluid, with a third round added to the competition that will see final bids due in the new year.

Many are taking the fact that three rounds exist for the process as a signal that strong competition exists for O-I’s Australian and New Zealand operations. One of the other firms in the mix is believed to be BGH Capital.

BGH was established in 2017 by Robin Bishop, Ben Gray and Simon Harle with the objective of creating the pre-eminent private equity firm in Australia and New Zealand.

Headquartered in Melbourne, Australia it remains an independent firm, owned and managed by its founding partners.

BGH Capital Fund I had a final close of approximately A$2.6 billion in May 2018. This represents the largest private equity fund focused on Australia and New Zealand that is actively deploying capital.

O-I had confirmed it was conducting a strategic review of its Australian and New Zealand (ANZ) glassmaking business back in October this year.

It said the review was aimed at exploring options to maximise investor value and may result in a divesture.

Last month Glass International reported that the world’s largest container glassmaker was considering selling its ANZ business for AU $1 billion ($675.1 million).

It appointed Goldman Sachs investment bank to negotiate the sale of the segment, which generated about 10% of its global sales last year.

In its latest financial report the company said: “The strategic portfolio review is aimed at exploring options to maximise investor value, focused on aligning the company’s business with demand trends, improving the company’s operating efficiency, cost structure and working capital management,

asianglass AG 19-6

while ensuring the company remains wellpositioned to address its legacy liabilities.

“The review is ongoing and may result in divestitures, corporate transactions or similar actions, and could cause the company to incur restructuring, impairment, disposal or other related charges in future periods.”

Disentanglement…

Given enough time, even Fortune 500 companies can get messy.

Owens-Illinois, which can trace its roots back to 1903 and glass icons Michael J. Owens and Edward Drummond Libbey, has become a sprawling glass-making enterprise over the last century and is embarking on some house-cleaning.

The Perrysburg-based glass-packaging manufacturer is well underway with steps that it describes as a “corporate modernization” that will result in the formation of a new holding company, O-I Glass Inc. that would become the new parent company of Owens-Illinois.

The holding company also would replace O-I as the public company trading on the New York Stock Exchange and assume O-I’s current ticker symbol: OI. The company’s first move was to authorize attempts to gather the consent of bondholders and creditors that may have loans, bonds, or other finance arrangements with O-I or any of its many subsidiaries.

Once that is obtained sometime later this month, the company is expected to announce other moves that currently it cannot openly discuss because of restrictions that apply to it as a publicly-traded company But the glass-maker also said it expects to complete its process and begin to implement its corporate modernization by year’s end.

In a statement, O-I said it was taking the steps because it believes the move “would improve the company’s operating efficiency and cost structure, while ensuring the company remains well-positioned to address its legacy liabilities.”

It currently has three business segments,

based on geographic locations, that have to report their financial operations — O-I Americas, O-I Europe, and O-I Asia Pacific.

Each of those segments have multiple plants and glass-making operations under their control that must report their financial performances.

It also has multiple subsidiaries, such as Owens-Brockway Packaging Inc. and OI Australia Inc., whose performances must be reported.

If O-I is successful with gathering consent — and bondholders, creditors, and shareholders would be unaffected by the modernization — an overall holding company like the proposed O-I Glass Inc., would help eliminate some reporting redundancy by gathering all of the operations and subsidiaries under one financial roof.

O-I also said it wants to ensure that it remains well-positioned to deal with legacy liabilities, and its biggest liability is asbestos.

In its most recent annual filing with the Securities and Exchange Commission, Owens-Illinois continues to make substantial payments to resolve claims of people alleging exposure to asbestos‑containing products the company made in the 1940s and 1950s, mostly the company’s Kaylo brand of insulation.

O-I stated that it “may need to record additional charges in the future for estimated asbestos‑related costs” and those payments “may continue to affect the company’s cost of borrowing, its ability to pursue global or domestic acquisitions, its ability to reinvest in its operations, and its ability to pay dividends.”

From 1948 to 1958, a former O-I business unit made and sold approximately $40 million worth of Kaylo, a high-temperature, calcium silicate based pipe and block insulation material containing asbestos.

O-I exited the insulation business in April, 1958, but claims from persons alleging bodily injury and death as a result of exposure to Kaylo asbestos continue.

From 1993 through 2018, O-I said it has paid out approximately $5 billion in claims for asbestos-related liabilities.

www.asianglass.com

TRADITION ADVANCED Leading Refractory Concepts for Crystal Clear Results

Regenerator

Melting End

Working End

Forehearth

Feeder

Hot Gas Filtration

As a worldwide active producer and provider of high quality refractories, we offer you our comprehensive product range for the glass industrial applications. Covering your complete process chain for crystal clear results, we deliver refractory and insulating materials for regenerator chambers, furnaces, distributors, forehearths, and the original Emhart Glass System for feeder expendables.

www.rath-group.com/glass

ADVERTISER FEATURE

Vertech’ presents SIL4.0 Despite the bad press currently received by the plastic industry, glass is not outdone and should stay attractive for customers. Nowadays, glassmakers need to handle ecological, technical and financial issues. As a world-leading company in supervision system for the glass industry, Vertech’ is at glassmakers’ side to help them successfully overcome these challenges.

SIL is everywhere in the glass plant

For the last decades, the industrial field has known several evolutions, particularly due to new technologies. Machines are more and more sophisticated, glass matrices are even more optimized, infrastructures are even better designed… Nevertheless, glassmakers need to go even further due to an environment in constant evolution.

First of all, glassmakers aim to produce articles at the lowest cost.

One of the solutions to do so can be a minimal use of raw materials and an optimized use of cullet. However, the financial parameter cannot be the only one to be taken into account: of course, quality of produced articles must be in compliance with customers’

30

asianglass AG 19-6

expectations. This technical dimension cannot be isolated from the financial one. Finding the perfect balance between these two objectives already represents a big challenge for glassmakers. But on top of this, another significant parameter is part of the equation: ecology. Indeed, industries are submitted to an even stronger pressure – in all fields – regarding the reduction of their carbon footprint.

In order to help glassmakers to combine all these elements, Vertech’ has launched SIL4.0, an innovative software product corresponding to current needs in the industry.

www.asianglass.com

ADVERTISER FEATURE

What’s SIL4.0?

Vertech’ is a pioneer in digitalization with SIL creation in 1995, and keeps on investing in Research & Development in order to find more and more innovative solutions to increase productivity and make the workflow even smoother.

This new product is based on a simple principle: SIL connects and collects real-time data everywhere where sensors can be connected. From the batch to the palletizer, points are multiple (see illustration below). Once data are collected, SIL displays them on fully customizable dashboards: SIL collects data, and the glassmaker chooses which KPIs he wants to display. Energy consumption, temperature in the furnace or in the lehr or the stock of raw materials: all this information can be displayed on one screen. KPIs of several plants within one same group can even be simultaneously displayed.

Communication protocols at the heart of industry 4.0 Digitalization and industry 4.0 couldn’t exist without communication protocols. Vertech’ is totally independent and is able to connect to any machine. Modbus, Profinet, Arcnet, webservices, OPCUA… the quantity in protocols regularly used to communicate with SIL is high. In any case, additional developments can be carried out whenever necessary, for a new machine or a new protocol for example. Support is also provided to glassmakers wishing to develop their own communication protocol.

Display of KPIs on fully customizable dashboards

SIL4.0, a promising beginning SIL4.0 has already been installed in several plants and results are conclusive. But innovation has no limits. Vertech’ invests more than 25% in R&D and works in close relation with research institutes in order to find correlations to predict the future. Future of glassmakers cannot be serenely considered without the installation of a supervision system as complete as SIL.

Vertech’ Phone: +33 385 981 919 Email: vertechsales@vertech.eu Web: vertech.eu Follow us on LinkedIn

www.asianglass.com

AG 19-6 asianglass

31

ANALYSIS: Recycling

Breaking the recycling makes the mainstream

As the environmental pressure builds on all industries, the glass sector across the continent – and indeed worldwide – has focused attention even more on the reusability of the material. Yogender Malik looks at how the business of recycling is becoming more mainstream…

G

lass, which is 100% recyclable without loss in purity or quality has enabled glass producers across the globe to take advantage of the fact. It enables them to reduce the usage of raw materials, extending the life of the glass furnace, reducing total energy consumption in melting the batch.

Currently, European countries lead the glass recycling practice, followed by Americas. A number of the Asian countries, which were laggards in terms of glass recycling till a decade back are gradually improving the glass recycling percentage.

Worldwide, around 130 million tonnes (Mta) of glass are currently produced annually. The largest volumes of 63 Mta or 48 % are accounted for by hollow or container glass, 54 Mta or 42 % are accounted for by the various flat glass products (architectural and automotive), 5 % are accounted for by tableware and 6 % by all other glass products. Over 1350 glassworks with over 2500 glass furnaces are in operation today.

Global glass production capacities exceed 195 million tonnes per annum, of which 44 % are for flat glass and 46 % are for container glass. Global recycling volumes are currently estimated to be around 27 million tons per annum, which represents only 21 % of the amount of glass produced. The highest recycling rates are achieved for container glass, with an estimated 32 %, while the recycling rate for flat glass is only 11 %.

According to a recent research, Europe is the biggest glass recycling market at the moment, with US$ 1.6 billion of activity focussed there. By 2025, the worldwide glass recycling market is projected to reach US$ 3.7 billion. This presents a ‘robust’ compound annual growth rate of 6.6% throughout the forecast period 2019-2025. The Asia-Pacific region is likely to grow with a moderate compound annual growth rate of 4.3 % in terms of revenue in the years to come.

Data published by the European Container Glass Federation ( FEVE) showed that the EU28 average collection for recycling rate for glass packaging grew to the

32

asianglass AG 19-6

record rate of 76% in 2017.

Majority of the 30 billion collected containers go back into the batch of one of the 160 plants in Europe and make the glass packaging manufacturing industry an authentic and well-functioning Circular Economy.

Adeline Farrelly, Secretary General of FEVE said: “The high glass collection rate of 76% shows that the glass packaging circular economy works very well. Glass is a permanent material that can be endlessly recycled into new packaging, always maintaining its safety characteristics no matter how many times it’s recycled.”

Top performers included Sweden, Belgium, Denmark, Austria, Switzerland, Slovenia with over 90% glass collection rates and just behind are other high achievers like Germany, Ireland, Italy, The Netherlands and Luxembourg with well beyond 80% rates.

FEVE said that more is needed in countries like Poland, United Kingdom, Romania, Bulgaria, Greece, Hungary and Portugal where there is a potential for growth.

Glass recycling in Asia

Glass recycling in Asian countries is not as high as in European countries. In fact, a couple of decades back, the practice was unheard of in some of the major glass producing countries on the continent.

However, in last two decades glass recycling has gained momentum in most of the Asian countries. Though, it varies greatly from country to country in the region.

Japan and South Korea have highest percentage of glass recycling. On the other end of spectrum, countries like Pakistan, Bangladesh and The Middle East Asia have very low rate of recycling. China, India and the South East Asian region lies in the middle in terms of glass recycling.

Asian experience in promoting glass beverage bottle recycling through a government-led approach

www.asianglass.com

ANALYSIS: Recycling

glass ceiling

Speaking about the potential of glass recycling in India, Bernd Baunach, Area Sales Manager of German technology provider, EME GmbH says, “The use of additional cullet from internal or internal and foreign sources has various benefits for glass manufacturers. For example, 10 % cullet addition results in approx. 2,5 % energy savings in the furnace, 10 % cullet addition reduces approx. 4 % NOx, Six tons of recycled glass reduces approx. one ton of CO2 emission, Lower amount of raw material consumption results in less spillage/less cost, and even more advantages. Due to these factors many European producers already use up to 80 % cullet in their furnaces. The specification of the input quality of the available cullet is of upmost importance to design and configure a tailor-made glass recycling plant. Potential contaminations can be bulk waste, organics, plastics, ferrous and non-ferrous metals, CSP (ceramic-stone-porcelain), lead crystal glass, heat resistant glass, opal glass and off-colours. The contamination levels have to be specified in g/to or ppm, as well as the grain size distribution. One of the main

challenges for the Indian market is to configure the recycling plant to allow for varying input qualities.”

According to Pramod Shinde, an office bearer at Material recycling association of India, “There are numerous benefits of glass recycling. Using cullet in the batch mix saves over a ton of natural resources for every ton of glass recycled, including 589 Kg of silica sand, 186 Kg of soda ash, 172 Kg of limestone and 72 Kg of feldspar. Including cullet in the manufacturing mix makes it less corrosive and lowers the melting temperature of batch, prolonging furnace life. Unfortunately, despite these benefits, glass recycling percentage is quite low in India and in most of the South Asian countries.”

Pramod further says, “ In comparison to container glass, there are a number of difficulties in recycling float glass, which is used in architectural and automotive application. There are no official records on the recycling figures of these type of glasses, but the recycling rate of these glasses are in single digits. The bottleneck in

Asian experience in promoting glass beverage bottle recycling through a government-led approach Country Japan South Korea

Taiwan

Year of implementation Collection and processing Recovery rate 1997 Manufacturers to meet recycling targets and properly recycle recovered More than 98 % glass beverage bottles on their own OR discharge such obligations by paying a fee to a fund which supports processing operations 2002 Manufacturers to meet certain recycling targets on their own OR discharge More than 92 % such obligations by paying a fee to a fund which supports processing operations 1997

www.asianglass.com

Manufacturers to pay a recycling fee into a government fund which supports processing operations as well as other education projects

Remarks

Manufacturers to produce easy-to-recycle products as a mandatory requirement

More than 90 %

AG 19-6 asianglass

33

ANALYSIS: Recycling

the process is collection-related costs, which is excessively high. . In addition to the excessive collection cost, the collected glass has a high concentration of foreign materials, which need high investment in segregation.” The Material Recycling Association of India (MRAI) is the apex National Association that represents India’s Recycling Industry.

South Korea

Legislation and government policies have enabled South Korea to achieve high rates of glass recycling in last two decades. In fact, in 2018, South Korea became the only non-European country to be in the top five recycling nations with an overall recycling rate of 53.7% (kindly note this is not glass recycling rate of the country). South Korea also implemented numerous policies. Waste disposal and recycling policies are set by the Ministry of Environment, and garbage collection is organized at a municipal level. Following this system is mandatory and penalty charges are levied for non- compliance.

Strict recycling regulations were introduced in South Korea 1995 and require residents and business operators to separate out trash that can be recycled, including glass, plastics, and metal cans.

The country’s Ministry of Environment has enforced a new tax system from 1st December that levies differing rates on plastic and glass bottles depending on their recyclability. The decision is in line with the worldwide environmental policy of “making polluters pay.” As of last year, Korea’s recycling rate of plastics stood at 34 percent, according to the environment ministry. The government is in the process of benchmarking France’s grading system, where the tax differentials are as wide as 20 times depending on the packaging type. Glass bottles are the most easily recyclable and are charged 1.21 euros ($1.37) per kilogram in France.

The Middle East

The Middle East region has a vibrant glass industry composed of more than 20 large scale glass producers in float and container glass segments. Cumulatively, huge amount of waste glass is dumped in the landfills across the region. Glass recycling in the region is very low as compared to the rest of Asia. Recently, an Omanese company has taken the initiative of setting up a large scale glass recycling plant in the Sultanate.

The inauguration of the first large scale glass recycling this year in the shape of the National Glass Recycling Company, SAOC provided a fully automated glass recycling plant with a capacity of 650 tonnes per day at Sohar Industrial Estate, Sultanate of Oman.

The Glass Recycling plant is specifically designed to meet the needs of varied Glass Manufacturers within the GCC region in terms of specifications, volumes and pricing.

National Glass Recycling Company has already entered in long term import agreements for the broken glass i.e. raw materials and export sales agreements with leading glass producers in the region, which has ensured the pre-booking of the capacities well in advance.

NGRC is headed by Ramesh Mani, a glass industry veteran in the region’s glass industry. The project is supported by public sector company - PEIE (which comes under the Ministry of Commerce and Industry) and has investors both from the government and private sectors.

According to Ramesh Mani, “ A total of 2.4 million tonnes of glass is used and dumped annually. It is high time that we look into the problem and address it.

Currently in Oman alone about 90,000 tonnes of glass is dumped into the landfills.

NGRC will be the first fully automated glass recycling plant which guarantees glass pertaining to each glass industry’s specifications without any contamination on consistent basis. This is a boom for glass producers in the region. The glass recycling plant has been particularly designed to meet the needs of varied glass manufacturers within the GCC region (container glass, float glass, sheet glass, perfume glass and many more) in terms of specifications, volumes and pricing. I have seen unorganised sector players- mainly composed of scrap collectors. These players collect mixed glass in small vans. These collected glasses are segregated manually and later sold to glass producers in the region. Most often, quality of cullet produced through this route is of doubtful standards. ”

34

asianglass AG 19-6

SOUTH KOREA IS THE ONLY NON-EUROPEAN COUNTRY IN THE TOP FIVE RECYCLING NATIONS Thailand

Thailand in the South East Asian region has been able to register a consistent growth in terms of recycled glass in last ten years. In addition to small glass recycling facilities, the country has about eight large and organised glass recycling facilities.

Recently, Siam Cullet Co. LTD, part of the Osotspa Group, which is parent company of Siam Glass, one of the leading glass producers in Thailand has installed a new glass recycling plant. The recycling plant, which become operational in March 2019, includes metal and non-metal separation, organic separation, ceramic, stone, porcelain separation (KSP), as well as colour sorting. The capacity amounts to 30 tonnes/hour whereby the plant can be extended up to 45 tonnes/ hour later on.

Zippe designed and delivered the complete plant control systems, all main components such as the screen and magnet technology as well as the optical sorting machines. The customer supplied the conveying belts as well as the steel construction.

Siam Cullet’s sister company Siam Glass Industry Co Ltd is Thailand’s third largest glass container producer, behind Thai Glass Industries and Bangkok Glass.

The company operates a total of four production plants with an installed capacity of more than 1500 tonnes per day. The company has recently expanded its installed capacity.

Company’s parent company, Osotspa started off as a small pharmaceutical company in 1891. Osotspa has continually expanded its product portfolio to include energy drinks, sports drinks, RTD coffee, functional drinks, baby care products, and beauty care products. The company is a leading energy drink player in Thailand and Myanmar. Most of the packaging of company’s products is through glass bottles, manufactured by Siam Glass.

Another organised sector glass recycling company, Krung Thai Glass Company Limited, which was established in 1983 as a collector of scrap glass and glass bottles for recycling has emerged as one of the leading glass recycling companies in the country.

Located in Klong Luang District, Patumthani Province, the company collects scrap glass for recycling into new glass bottles and collects used glass bottles for reuse by processing them through cleansing processes.

Krung Thai Glass Company Limited buys and sells scrap of glass by collecting pieces of glass scrap from domestic minor scrap material operators and sell them to local and international glass producers for further use. The company buys two types of scraps glass scrap and broken glass bottles, and reused glass bottles such as alcoholic beverage bottles, which are usually beer bottles.

The company generally buys from minor scrap material operators and classified its materials into three groups-large bottles such as fish sauce bottles, liquor

www.asianglass.com

ANALYSIS: Recycling

bottles, and beer bottles, small bottles namely energy drink bottles, and pharma glass bottles with low turn-over rate. The company classifies its scrap materials for selling into two major groups: glass scrap and reuse bottles. The company pulverizes broken glass bottles or glass that are difficult to clean or that have a low value, such as medicine bottles based on orders received, and delivers them directly to the customers.

The company separates reuse bottles and cleanses them before selling them back to their manufacturers for further use. The main market for reused bottles is the local market, which generates approximately 300,000 tons of reused bottles per year. For the international market, about 40,000 tons of glass scrap are being exported per year, with the main destinations for export being the Philippines, Vietnam, China and Malaysia, respectively, in terms of volume.

Krung Thai operates a number of glass recycling companies, which carries out operations across the country. Company’s subsidiary, Kaew Sarn Siri Company Limited located in Sam Ngam District, Pichit Province, Tang Yu Huad Hong Kee Corporation located in Ban Sang District, Pranburi Province, Ma Tung Song Recycling Company Limited located in Tung Song District, Nakorn Sri Tammarat Province and V.S. and B. Recycle Network Company Limited located in Din Daeng District of Bangkok City.

Australian experience

Australia has been able to register a consistent average of more than 50 % in terms of container glass recycling. According to latest available dat, the country’s glass packaging recycling rates were around 56 per cent in the year 2017. The rate is considered to be reasonable given the relatively low commodity value of glass per tonne compared to plastic or cardboard, and the difficulty of recovery from mixed waste loads.

Most glass packaging is collected in co-mingled form from households or commercial sites such as pubs, clubs, sporting venues, hotels and restaurants.

Glass is also collected through container deposit depots and allied return routes.

Co-mingled material is sent to material recovery facilities (MRFs) in capital city and regional centres where the glass is sorted from paper grades, plastics and metals. Mixed glass (with tops and labels included) is then sent to one of six beneficiation plants in Melbourne, Adelaide, Sydney and Brisbane. These plants receive some loads from regional locations including glass into Adelaide Table 1

2014 2015 2016 2017 2018

Table 1

146,563 152,658 147,041 151,937 155,102

2014 2015 2016 2017 2018

Challenges ahead

Glass packaging is produced in three different colours; amber (brown), green and flint (clear). To produce new glass packaging from recycled cullet, there are restrictions on what colours can be blended. Amber packaging (used mostly for beer) can utilise flint and green cullet, green can use flint and green cullet, while flint glass packaging requires clear cullet.

Beyond packaging glass, there is sheet glass used in a range of application including automotive windows and windscreens and in windows and skylights for buildings. Glass is also used for household and commercial durable applications such as drinking glasses, plates, cookware, vases etc. These different forms of glass melt at different temperatures to packaging glass. Due to this, they are not compatible with packaging glass recycling systems.

Table 1

2014 2,015 2016 2017 2018

Table 1

Table 1 2014 2015 2016 2017 2018

123,216 126,102 124,739 111,630 117,455

from Western Australia and the Northern Territory, and glass into Melbourne from Tasmania.

Recyclable glass packaging is generally collected at the kerbside in mechanised, bin-based, fully co-mingled systems. While this delivers collection efficiencies, mixing materials and compaction result in cross contamination and reduced quality of the material collected. Highly-mechanised sorting also tends to break glass into small pieces that are not easily recoverable. These fragments can get lost to landfill or be sorted with other materials. They can also be at a size that prevents detection from stone and ceramic fragments. Of concern is the impact of glass fragments on other materials, particularly paper.

The glass itself is of much lower value when collected through co-mingled kerbside systems. Larger recycling sorting plants increasingly have technologies to deal with these small fragments.

Glass collected from kerbside recycling is recycled back into glass packaging in Brisbane, Sydney, Melbourne, and Adelaide. Glass from the Northern Territory and Tasmania is shipped to Adelaide or Melbourne. Some glass shipped to Adelaide is used in wine bottle production. Glass collected in Western Australia is almost entirely used in civil construction projects such as road base applications.

Stockpiling of recycled glass has occurred in the past before state-of-the-art optical sorting equipment was available in beneficiation facilities. The poor quality of Australia’s collected glass and the relatively low price received for this material has been an issue in kerbside recycling collection, sorting and sale for many years.

2014 2015 2016 2017 2018

2,788 2,755 2,700 2,670 2,647

91,619 102,758 125,062 109,045 103,950

Table 1 146,563 152,658 147,041 151,937 155,102

2014 2015 2016 2017 2018

1,144 1,138 1,115 1,089 1,100

1 1

1

36

asianglass AG 19-6

www.asianglass.com

EX H IB N IO

IT

www.asianglass.com

W

Thanks to the overall stable and progressive development of China's economy, the production of China's glass industry in the first half of 2019 was stable on the whole with high-quality development.

There are remarkable results in the transformation and upgrading of the industry, and increasing profitability. The total output of flat glass was 460 million weight cases, rising 6.8% year-on-year by the end of June. There was a slight increase in the output of processed glass sector, including tempered glass, insulating glass and laminated glass. Total revenue of flat glass industry reached 32.9 billion yuan from January to May, up 6.4% year-on-year. The glass industry still keeps the growth momentum in output and profit under a downward pressure.

The promotion of national policies and the internal demand for industrial transformation and upgrading have brought multiple benefits to the glass industry. The Chinese government is strongly promoting the transformation and upgrading of the traditional construction industry to the construction industrialization, as well as promoting energy-saving technology and assembled buildings. A large number of enterprises in glass deep processing serving in the field of building energy conservation are showing great demand for accelerating the structural adjustment of products, improving craftsmanship and technology content, and promoting energy conservation and environmental protection. They are mainly focusing on the improvement of technological equipment and investment in environmental protection facilities. The innovation and upgrading of technical glass have brought new growth points to China’s glass industry, especially the development of ultra-white glass, ultra-thin glass, photovoltaic glass and energy-saving glass, as well as innovations in liquid crystal displays (LCDs) and substrate.

Facing opportunities and challenges, many glass enterprises are actively seeking for transformation and upgrading, as well as technological breakthroughs. China Glass, as a professional exhibition in the glass industry, always adheres to its philosophy of both being based on and serving the industry. It continuously explores, innovates, expands exhibition scope, enriches activities, improves service, helps enterprises seek new business opportunities and reach new corporations, and promotes industry transformation and upgrading.

Organized by the Chinese Ceramic Society and contracted by Beijing Zhonggui Exhibition Co., Ltd., China Glass 2020 will take place at Shanghai New International Expo Centre on April 14-17, 2020. With cultivation and development in over past 30 years, China Glass has become an international well-know exhibition with full independent intellectual property rights. It is the most commercially valuable exhibition in China's glass industry as well as the platform for innovation exhibition, technology exchange and business talks.

China Glass 2020 will be held at Shanghai New International Expo Centre (SNIEC), including 7 indoor and 3 outdoor exhibition halls. Various subjects will be displayed and allocated among the 10 exhibition halls: E1 for international brands, E2 for glass production, E3 for tempering furnace and refractory materials, E4 – E7 for deep processing equipment and domestic glass, outdoor exhibition halls for raw and auxiliary materials. Total exhibition area will exceed 90,000 square meters. It is expected to attract approximately more

IE EV PR

China Glass returns to Shanghai in 2020

than 900 top enterprises and more than 40,000 professional visitors in the glass industry.

The popularity of China Glass and the difficulty of finding stands are the consensus of numerous enterprises. In this case, a large number of enterprises had submitted their applications for China Glass 2020 even before 30th China Glass exhibition would be over. We have already received many reservation applications since the stand sales started in July. To satisfy the great demand from many other small and medium size enterprises, the organizer managed to expand 3 new exhibition halls for extending more exhibition space. So far, there are over 400 domestic companies and 150 foreign companies have confirmed their participation at China Glass 2020.

Those domestic companies include: China Building Materials Academy, Triumph Group, Ruitai Materials Technology, Qinhuangdao Glass Industry Research & Design Institute, China New Building Materials Design & Research Institute, Sinoma Advanced Materials, China Yaohua, Luoyang Float Glass Group, China Glass Holdings, TAIWANGLASS, Xinyi Glass, CSG Holding, Jinjing Group, Shanghai SYP Glass, Kibing Group, Flat Glass Group, Shanxi Lihu, Hebei Yingxin, Shahe Glass Group, North Glass, Mountain Glass, Land Glass, South Glass Technology, Tenon(Beijing), Yinrui Intelligent Technology, Fangding Safety Glass, Beijing MGM Glass, EI Automation Equipment, GOLIVE, Guangdong Fushan Glass, Beijing BOZA, Jinan Weili, Liaoning North Glass, Lewei Science & Technology, Tianjin Dinganda Glass, Guilin Champion Union, Dardi Water Cutter, Shandong Sanjin Glass, Mr. Glass, HIHO Glass, Shanxi Dahua Glass, Weifang Sanjiang Glass, Zibo GT Industrial Ceramics, ZIBO ASAHI, etc.

Foreign companies include: Lisec, Glaston, AGC, Vonardenne, Vesuvius, Sefpro, Dip-tech, Bentele, Henry F. Teichmann, Buhler Leybold, Grenzebach, Five Stein, Precision, Hegla, Zippe, Air Liquide, Bottero, Fenzi, Intermac, Ocmi, Carl Zeiss, Horn, Koemmerling, Technoform, Teka, Viprotron, Glasstech, Teco, Honeywell, etc.

China Glass 2020 has got the great support from many related organizations at home and abroad including: China Architectural and Building Glass Association, China Association for Glass Industry, Italian Trade Commission (ICE Italy), The Association of Italian Manufacturers and Suppliers of Machinery, Equipment and Special Products for Glass Processing (GIMAV), Germany Federal Ministry for Economic Affairs and Energy (BMWI) and the German Engineering Federation (VDMA). The organizer will continue to cooperate with relevant industry organizations to set up German, Italy and American national pavilions in E1 hall. Nearly 100 glass manufacturers from the three countries will showcase on the stage of China Glass 2020.

In order to promote business communication and attract more professional buyers from all over the world, the organizer has established the cooperation with over 20 professional media in the glass industry and advertised across Europe, Middle East, South Asia and Latin America. All those who are interested in participating in or visiting China Glass 2020 can register on-line (www.chinaglass-expo.com) or subscribe via our official account on Wechat (Wechat ID: chinaglassexpo) for more detailed information and submitting application.

AG 19-6 asianglass

37

ANALYSIS: Vietnam

Vietnam in focus growing presence and influence Jahir Ahmed looks at how steady economic development within Vietnam has gradually enabled the domestic demand to make a significant contribution towards glass industry fortunes, whilst the rise of foreign brewery ownership in the country could also provide an extra boost…

H

igher and steady economic growth since past decade has boosted up consumptions in Vietnam in almost all sectors, and most particularly, in the sectors of housing and building and in beverage, drinks and foods. Riding on booming consumption, Vietnam is becoming the major growth point in Asia for architectural and packaging glass industry in the coming years, according to the industry sources. Food and beverage industry sectors are expanding rapidly in Vietnam with the country’s stable economic growth of at 6-7 percent a year since past several years. Equally rising the demand for residential houses and commercial and non-commercial buildings. Also growing the demand for superior quality glasses. Leading building glass manufacturer, Viglacera Corporation, said as the demand for modern and innovative glasses are rising, it is going to invest more on high quality ultra-clear white glass and energy saving glasses.

Many foreign beer manufacturers, including Japanese and Thai, are planning to open plants in Vietnam to exploit the double-digit growth, while existing foreign operators as well as domestic breweries, including market leader SABECO, have expanded production, said Vietnam Beverage Association (VBA).

With expansion of food sectors, the demand for glass packaging has been increasing steadily and new products are raising demand for glass bottles and jars. In recent years, fish sauce has emerged a major food packaging industry that uses glass bottles. In Vietnamese dining tradition, seasoning is an essential item. Its demand in the domestic markets of Vietnam is increasing rapidly since past few years. The sector is growing at an estimated 25-32 percent per year, according to the researcher Nielsen Vietnam.

Among seasonings, fish sauce is considered to have the greatest potential growth. Its consumption has reportedly increased to about 90,000 to 100,000 tonnes in 2019 from about 16,000 tonnes in 2005. Roughly, five tons of fishes

40

asianglass AG 19-6

produce one ton of pure fish sauce. Industry sources said, Vietnam’s fish sauce market is worth about US$700 million in 2019, of which industrial production accounted for three quarters. Many of the traditional producers have reverted to selling their pure fish sauce to industrial producers, who then make and sell products under their own brands, preferably in glass. Industrial manufacturers of fish sauce have been using glass bottles for its packaging by replacing previous favourite PET bottles. Glass bottles are used for quality packaging to ensure hygiene and better shelf life. The glass bottles used are mostly of 500 ml.

In housing and building sectors the consumption of flat glass, both processed and raw, have increased the production capacity of float and sheet glass causing over capacity. As a result, the Vietnamese government has imposed barriers in imports of raw and processed glass and restriction on new investment in flat glass manufacturing. Yet, investment is still continuing in approved sectors of latest high-tech technology based newer versions of glasses, such as, ultra-clear and energy saving glasses. In terms of value, Vietnam’s imports of processed glasses, under HS code 7007, have increased to US$263.44 million in 2018, from US$33.67 in 2014, because of demand for variations and high-quality glasses.

Because of huge supply of domestic flat glass under HS code 7005, imports came down to worth US$174 million in 2018, from over US$244 million of the previous year.

Over-capacity issues?

However, existing flat glass manufacturers said despite over capacity in the market, the companies are operating profitably. Formerly state-run and currently stock-market listed, Viglacera, which claims to have some 40 percent market shares in flat glass, reported profitable operation in its glass business. Viglacera claims the float glass production line that Viglacera Float Glass Company (VIFG) currently operates is the most advanced in technology, with a designed

www.asianglass.com

ANALYSIS: Vietnam

Malaya Vietnam Glass Limited (MVG)

production capacity of 420 tons of glass a day equivalent to 23 million square metres of glass per year. Viglacera also has 30 percent stake in another major 500 tons a day capacity float glass plant, Vietnam Float Glass Co Ltd (VFG), under joint venture with Japan’s float glass major NSG group.

VIFG said it enhances the value and efficiency of exploiting high quality natural resources in Vietnam. The silica sand accounts for 60 percent of the weight of the exploited aggregate and is washed through best known Canh Canh quarry with the superior quality in the area. Dolomite, lime, and feldspar are processed on modern lines of Spain. There are also some raw materials such as: soda, sodium sulphate and colouring chemicals for glass, imported from famous brands in the world.

VIFG float glass is widely used in construction and interior decoration, such as, low-E glass, silver-coated mirrors, auto glass, windows, doors, table tops, cupboards, stalls, picture frames, face watch glasses and many other uses.

VIFG also has export markets abroad. Viglacera has proved the efficiency in operation of float plant is able to overcome the impact of over capacity and may be competitive in the global market. Despite over supply in the domestic market, in 2018, Vietnam’s exports of flat and processed glass declined in value to US$128 million and US$103 million, respectively, from over US$129 million and more than US$132 million, respectively, of 2017. The manufacturers said due to oversupplied domestic market they had to reduce capacity utilization, and exploited protected domestic prices.

Viglacera accounted for 40 percent domestic building glass production capability with 3 factories manufacturing glass; 2 factories manufacturing flat glass, 1 factory manufacturing energy saving glass and 1 plant producing afterglass products (processed glass). The total volume of flat glass manufactured in 2018 was approximately 59.7 million sq metres, while its production of low-E glass was 0.7 million sq metres during the year.

www.asianglass.com

(O-I BJC Vietnam Glass Ltd) Location: Ba Ria-Vung Tau, My Xuan Industrial Estate, 80 km east of Ho Chi Minh City, Vietnam.

Products: Beverage, drinks, food and medicine packaging glass Markets: Domestic and export markets Others: Malay Vietnam Glass Ltd is the leading beverage packaging glass manufacturer in Vietnam. It caters beer, soft drink, food, wine, spirits and pharmaceutical packaging of Vietnam and other ASEAN markets. As taken over in 2010, the company is now 70 percent owned by BJC and O-I. It is a manufacturer and distributor of glass containers serving producers of beer, beverages and foods, such as, PepsiCo Vietnam, CocaCola Vietnam, SABECO, Vietnam Brewery, Asia Pacific Brewery and SABMiller. Its production capacity of about 300 tons per day is being expanded, following higher demands in the domestic market. It is well-equipped with world-class modern technology and natural gas is being used as a source of energy to reduce production costs.

San Miguel Yamamura Haiphong Glass Co Ltd

Location: Ngo Quyen District, Hai Phong City, Vietnam Products: Beverage, drinks, food and medicine packaging glass.

Markets: Domestic and export markets Others: San Miguel Yamamura Haiphong Glass Co Ltd operates as a subsidiary of the Philippines based San Miguel Yamamura Packaging International Limited of San Miguel group. In Vietnam, its glass containers are used mainly for packaging beer, soft drinks, spirits and liquors, among others. It is a major manufacturer of packaging glass in Vietnam with international standard, and daily production capacity of about 140 tons of amber and flint glass bottles.

AG 19-6 asianglass

41

ANALYSIS: Vietnam

In some ongoing projects Viglacera is investing heavily for manufacturing ultra-clear and energy saving glasses.

Energy-saving

In the growing markets of Vietnam, VIFG has considerably substituted low-E and solar control glass with its 5 million square meters a year production capacity, in nearly equal two plants, in VIFG’s factory site Binh Duong, just north of Ho Chi Minh City, and in Bac Ninh, east of the capital city of Hanoi. The Binh Duong plant is in operation since last three years, while Bac Ninh is in progress. The technology is transferred from Von Ardenne Group GmbH of Germany.

Viglacera’s energy saving glasses are popular among the high-segment users, in three years of its coming into stream at a total cost of US$22.3 million with a production capacity of over 2.3 million sq metres per year. Energy-saving glass currently has two widely used product lines, low-E and solar control. It is a highperformance product manufactured by coating nano-sized inorganic layers on the surface of white glass billet to control the solar energy transmitted through the glass. The coatings have the ability to selectively block the heat radiation from the sun and create glass colours.

VIFG’s solar control glass is processed from its flat glass with a system of ultra-thin coatings composed of metal or metal oxide. This type of glass is designed to reflect most of the radiation from the sun and prevent ultraviolet rays from damaging human health, which saves up to 51 percent of energy costs for cooling inside buildings. In particular, VIFG’s solar control glass can be used in single-layer panels, which can completely replace conventional glass in commercial and residential buildings. While in low-E glass, in addition to metal or metal oxide coatings, this glass coating also contains one layer of silver, which reduces the emission factor of the glass. This type of glass is designed to prevent heat transfer from outside to inside or vice versa, keep the room at a constant temperature, reduce energy consumption in the summer and heating systems in winter, said VIFG. However, Vietnam is a tropical country, yet, low-E and solar control glasses are popular for its energy saving features. Low-E glass is better suitable for cold climates as its characteristics prevent heat loss from the internal environment to the outside condition; also, it transmits more light and energy from the sun into the room helping stay warm. Solar control glass is more suitable in Vietnam, in the tropical region, for its reflective properties that absorbs solar heat radiation, preventing heat from the sun to flow into the room, saving electricity in operating the room air conditioner, and also with low light transmission, protecting from sun glare.

These glasses have a typical structure of 5 to 8 coatings, which can block up to 99 percent of UV rays and 79 percent of solar energy, helping to save 51 percent of electricity costs for air conditioning systems, maintaining the performance standard as expected in Vietnam, said Viglacera.

Nguyen Quang Cung, Vice Chairman of Vietnam Association of Building Materials, said that energy-saving glass gradually became an alternative to ordinary glass materials, because of the economic efficiency that it can bring to the market. “Energy saving glass has slowly becoming a necessity bringing benefits to save energy and reduce carbon emission,” he said. He suggested the application, which is most effective for Vietnamese consumers, is still taking time for high level of usages where affordable.

To meet the growing demand for solar glass in Vietnam and the regional ASEAN countries, NSG has revived NSG Vietnam Glass Industries Ltd, which will have total investment of JPY38 billion (about US$365 million). NSG plans call for raising capacity by about 30 percent for a special glass coated in a transparent conductive film that forms the topmost layer of thin-film solar panels. The glass can also be used for other purposes like construction. The Vietnam plant is scheduled for the official start-up in the second half of 2020. It originally produced glass for liquid crystal displays but was shut down in 2016 as intense competition from rivals undercut profitability.

High-tech investment

Go Vap Glass

Location: Vap Dist, Ho Chi Minh City, Vietnam Products: Glass tablewares, glass containers, glass decorative wares and other glasswares.

Markets: Domestic and export markets Others: Production capacity of the glass factory is about 100 tons per day. Started as container glass factory in 1960, the Vietnamese state owned Go Vap Glass Joint Stock Co started production of color and clear glass tablewares, especially, drinkwares, in 1985.

It has nearly 2,000 designs, and exporting to the world markets since 1993. Export serves mainly European Union and Scandinavian countries. In Vietnam’s large and deficit market, European and US companies are exploring markets for higher-middle and upper-end segments of consumers of glass tablewares. Chinese and other Southeast Asian glass tablewares are available in Vietnam to cater the increasing demand.

Dien Quang Lamp Jsc

Location: 125 Ham Nghi, Nguyen Thai Binh Ward, District 1, Ho Chi Minh City, Vietnam Products: Lighting glass and other glass products.

Markets: Domestic and export markets Others: Dien Quang is the top national brand in Vietnam in respect of brand awareness and customer trust in electrical lighting products and equipment, especially, in LED lighting glass. Dien Quang has 3 affiliates and 4 modern factories. Fluorescent lamp production lines were invested by Toshiba Corporation (Japan). 2 state of the art glass furnaces of Japan and Germany with capacity of 40 ton per day. Annual production capacity in lighting product units: 10 million LEDs, 100 million compact lamps, 15 million tube lights and 10 million electrical equipments.

Rang Dong Light Source & Vacuum Flask Joint Stock Company

Location: 2 production units, in Hanoi and Bac Ninh provinces, Vietnam.

Products: soda-lime glass tube, lighting glass and other glasswares Markets: Domestic and export markets Others: Reportedly, the company is expecting to add a borosilicate furnace in future

Hoya Lens Vietnam

Location: Binh Duong, Vietnam Products: Optical glass and other glass products.

Markets: Domestic and export markets Others: Hoya Lens Vietnam is a subsidiary of Hoya Lens Corporation of Japan. Its optical glass products and lenses serve various industries including electronics, imaging, healthcare and others.

With the Vietnamese flat glass market experiencing oversupply, new glass

42

asianglass AG 19-6

www.asianglass.com

“We have placed our trust in Bohle‘s cutting technology expertise since 2004!“

Since 1947, Henry F. Teichmann, Inc. has grown and progressed on the theme: “Satisfied clients are our most important asset.” Our employees are practical, conscientious, and experienced in every phase of the glass industry. As a result of our clients’ successes, we have become recognized worldwide as one of the largest independent – Engineers and Contractors to the Glass Industry.

The key to the success in turnkey projects is to seamlessly integrate ...

• Engineering • Procurement Services • Construction Services • Project Management • Annealing Lehrs

Intermac has exclusively relied on Bohle as an OEM supplier for its cutting table equipment since 2004. The GENIUS series cutting tables are fitted with Silberschnitt® cutting wheels, carbide axles and wheel holders at the factory.

Intermac prefers to use the type 432 complete module. Bohle also supplies the Italian engineering company with high-quality Silberschnitt® products for its spare parts business.

Engineers and Contractors to the Glass Industry 3009 Washington Road

www.bohle.com

•

McMurray, PA 15317-3202

+1 724 941 9550

Fax: +1 724 941 3479

info@hft.com

•

USA

www.hft.com

ANALYSIS: Vietnam

Tamron Optical Vietnam

Location: Hanoi, Vietnam Products: Optical glass and other glass products.

Markets: Domestic and export markets Others: A subsidiary of Tamron optical glass and lens company of Japan projects have not received licenses in the country for a couple of years. The only exceptions are special types of glass, for which investment is possible with the prime minister’s approval, according to the merit of the project. The Ministry of Construction (MoC) in a recent study on the glass market found that the total capacity of glass production in Vietnam is currently 285 million sq metres per year. With seven facilities, float glass makes up 248 million sq metres of this, and patterned glass stands at 37 million sq metres per year.

“In addition, five float glass projects are currently being invested in with a total planned capacity of 181 million sq.metres per year, which will increase Vietnam’s glass production to 466 million sq.metres per year,” the report said.

According to the Vietnam Glass Association (Vieglass), glass makers have reported in recent years that they had to run production below capacity, even temporarily suspend production due to high inventories and tough competition from cheap imported products from China, which caters almost entire import demands for flat and processed glasses in Vietnam.

Vietnam has been extremely successful at attracting high-quality FDI, with this investment primarily going into manufacturing and real estate projects. In the real estate sector, big Singaporean developers such as Keppel Land, CapitaLand, Sembcorp, and Mapletree have been significant contributors from the mid-1990s onwards. The next wave of significant investment came from Korea and developers such as GS E&C and Lotte continue to expand their presence to this day. There have been a number of successful Malaysian developers, including Gamuda and SP Setia, as well as other successful projects such as Park City in Hanoi. Japanese investors now involved in everything from relatively small minority positions to enormous projects such as Sumitomo’s smart city joint venture with BRG.

Packaging

Among the ASEAN countries, Vietnam has emerged as a high growth market for glass containers. To meet the demand for glass packaging in various segments a huge quantity is being imported from China and other ASEAN countries. The demand for glass containers in beer and other alcoholic beverage and drinks sector is rising at a high double digit growth annually.

The demand in non-alcoholic beverages including soft drinks, and food and pharmaceutical also has high growth. The demand is backed by a strong beer market that consumes over 10 billion litres annually. The beer sector is dominated

by SABECO, Heineken, Habeco, and Hue Brewery (Carlsberg).

Parallel to Vietnam’s economic growth of over seven percent in 2018 and 2019, Vietnam’s consumption of glass packaging is growing steadily. In beer consumption, it already ranks first in the ASEAN countries. With the expansion of economy, the high population of about 96 million has been pushing ahead the demand for beer and other alcoholic and non-alcoholic beverages, alcoholic drinks, and food and pharmaceutical products, resulting in steady growth of glass packaging.

44

asianglass AG 19-6

Kishiro Vietnam

Location: Hanoi, Vietnam Products: Optical glass and other glass products.

Markets: Domestic and export markets Others: A subsidiary of Kishiro optical glass and lens company of Japan.

Vietnam Special Glass

Location: Ving Tau, Vietnam Products: Touch panel and solar glass Markets: Domestic and export markets Others: Vietnam Special Glass is a subsidiary of NSG (Nippon Sheet Glass) group of Japan. It is major manufacturer of solar glass and touch panel in Vietnam.

Viglacera Corporation/Viglacera Float Glass Co (VIFG) Location: Tan Dong Hiep Production Area, Di An, Binh Duong, Vietnam Products: Float glass and glass processing Markets: Domestic and export markets Others: In addition to manufacturing normal float glass, Viglacera Corporation and its production unit Viglacera Float Glass (VIFG), started up in 2002 and now over 420 tons a day production capacity facility, operates glass processing utilizing processing plants in subsidiary units. The products include, decorative glass, mosaic glass, tinted glass, mirror glass (reflecting factor is more than 77 percent, clear view), grinding glass, rolled glass, insulating glass, tempered glass, opaque glass, laminated glass, etc.

Viglacera Energy Saving Glass Factory

Location: Tan Dong Hiep Production Area, Di An, Binh Duong, Vietnam Products: Energy saving glass Markets: Domestic and export markets Others: Viglacera’s newly installed energy-saving glass manufacturing facility has total production capacity of 5 million sq metres per year, The plant located in southern Bình Dương Province has a capacity to produce over 2.3 million sq metres a year, while the other new one in the northern Bắc Ninh Province has a designed production capacity of 2.3 million to 2.7 million sq metres a year.

www.asianglass.com

Tableware

Handling / Assembly

Container Glass Beverage Processing

Bulk Materials We are your partner for innovative and customized solutions in automation technology.

futronic GmbH | Tolnauer StraĂ&#x;e 3 - 4 | 88069 Tettnang Tel. +49 7542 5307- 0 | info@futronic.de | www.futronic.de

patented design

Quality & flexibility

automation in a new dimension

Hungary

www.refmon.hu

ANALYSIS: Vietnam

Viglacera DapCau Sheet Glass Joint-Stock Company

Vietnam is a major ASEAN importer of container glass. It imported over 200,000 tons of container glass in 2018, from China and other sources. To meet the growing demand of the country, its leading container glass plant, Malaya Vietnam Glass Limited (OI-BJC Vietnam Glass Co), located near Ho Chi Minh City, caters a significant part of quality glass demand.

With one furnace and four production lines the plant has an annual production capacity of over 100,000 tonnes of returnable and one way premium glass containers for Vietnam’s beer, soft drink, food, wine, spirits and pharmaceutical markets. It is a joint venture between BJC of Thailand, O-I of USA and Vietnamese beer and alcoholic drinks manufacturer SABECO. Other major glass container operator is Hai Phong City based San Miguel Yamamura Haiphong Glass Co Ltd, owned by Philippines’ San Miguel Corporation.

A huge quantity of imports of container glass are shipped into Vietnam annually from various countries, mostly from China, to meet the shortage of different types of glass bottles and other containers for packaging needs. This has caused pressure for expansion of the container glass industry in the country, according to the industry sources.

New investment in beverage production has been increasing demand for packaging glass. SABECO, Vietnam’s top brewer, is implementing a large-scale capacity expansion project starting with three breweries such as Cu Chi, Quang Ngai, and Soc Trang. The initiative enables the company to meet increasing market consumption and demand for its products.

Lighting the fuse

President Trump’s unexpected move to raise taxes in early May made the Chinese and foreign glass manufacturers in China and the US buyers and suppliers rethink and lean toward alternatives to Southeast Asia, most particularly, Vietnam.

Vietnamese glass association, Vieglass, received lots of queries from the US importers of glass and the US glass companies manufacturing or sourcing and supplying glass to the US markets, such as, lighting glass and other glass products, looking for companies capable of producing glass components, including OEM, for lighting equipment, LED lights, etc. The US companies include Michigan based major LED operator, eLumigen.

Partners from Korea and Japan have moved LED manufacturing plants from China to Vietnam, and set up factories in Vietnam to serve the US market. This opens up a new opportunity for businesses producing equipment, components and details for the lighting industry, also opening up opportunities for the domestic glass industry to form joint ventures with foreign countries to produce glass components.

Vietnam’s leading lighting glass manufacturer, Dien Quang, is already a successful operator in the country’s advancement in acquiring world class technology and command the domestic market in competition with the multinational lighting glass majors, such as, GE, Philips, Osram and others, including those of the neighbouring Japanese giants. It has now locked horn in rivalry in the ASEAN and world markets and spread its wings to such distant destination as Venezuela in South America.

US based eLumigen is searching companies in Vietnam for sourcing and found Dien Quang as most potential one as alternative to Chinese export manufacturers, said Vieglass.

46

asianglass AG 19-6

(A unit of Viglacera) Established in 1990 Location: Ward Vu Ninh, Bac Ninh city, Bac Ninh province, Vietnam Products: Rolled glass, laminated glass, safety tempered glass, opaque glass, mirror, grinding glass, insulating glass and others.

Markets: Domestic and export markets Others: Viglacera DapCau has joined with Facade Treatment Engineering (Malaysia) in 2008 for obtaining cooperation in producing and installing curtain wall systems, which gave the way for setting up of VinaFacade JSC in Vietnam. Malaysia based Facade Treatment Engineering provide the design while Viglacera DapCau provide glass and installation for any project under the name of VinaFacade. Available products include, stick system curtain wall, semi unitised system curtain wall, fully unitised system curtain wall and spider fittings glass wall.

Vietnam Float Glass Co Ltd (VFG)

(Joint venture among Viglacera Corporation and Japan’s NSG Group and Toyota Tsusho Corp) Location: Phuong Lieu Commune, Que Vo District, Bac Ninh Province, Vietnam Total investment: US$126 million (commercial commencement in 1999) Products: Float and processed glass, a major caterer to local glass processing industries Markets: Domestic and export markets Others: In joint venture, the largest shareholder, Japan’s major glass manufacturer, NSG Group, owns 55 percent shares.

Vietnamese state organization (now a stock market listed company) Viglacera Corporation’s ownership is 30 percent. The other partner Japan’s Toyota Tsusho Corporation’s stake is 15 percent.

VFG is a leading manufacturer of quality float glass in Vietnam for processing its products for manufacturing safety, decorative, insulating and solar-control building glasses, autoglasses, glasswares and mirror glasses.

The float glasses are clear, tinted and colour and are also being used directly for architecture and construction works.

Its production capacity is 500 tons of float glass per day or about 30 million sq meters per year (based on 2mm thickness), equivalent to 145,000 tons of glass a year, having thickness range from 2mm to 15mm (tinted and colour up to 12mm) with different sizes (maximum size is 3658mmx2438mm). The export markets include Japan, India, the Philippines, Saudi Arab, Hong Kong, Singapore, Thailand, Brazil, etc.

NSG Vietnam Glass Industries Ltd

Revived plant: NSG’s 2nd solar float line in Vietnam, with total investment of JPY38 billion (about US$365 million) Start-up (planned): Second half of financial year 2020 Location: My Xuan Ind. Park, Tan Thanh District, Ho Chi Minh City, Ba Ria Vung Tau Province, Vietnam Products: Ultra thin float glass, solar control and solar energy glass, and display glass Markets: Domestic and export markets Others: Expanding production facilities of thin-film solar glass with mid- to long-term growth. The thin-film solar glass capacity expansion is conversion of suspended float line. NSG Vietnam Glass Industries Ltd was earlier founded as joint venture between NSG and state-run Vietnam Building Materials Corporation No.1 (FICO).

www.asianglass.com

ANALYSIS: Vietnam

“Dien Quang has affirmed not only its commanding position in the domestic market but also ability to outreach worldwide. Dien Quang brand was consecutively voted as ‘High Quality Vietnamese Goods’ by customers, recognized as the governmental partner in Vietnamese National Brands program. The company is very proud of being the pioneer in overseas lighting technology investment and export,” said Ho Quynh Hung, President and CEO of Dien Quang.

To keep with the trend of modern lighting, Dien Quang became the first Vietnamese manufacturer that invested in developing highly sophisticated LED production lines with application of latest automatic SMT technology.

Currently, Dien Quang’s production technology is as modern as other best ones in the ASEAN countries. With five world class production facilities (including one in Venezuela) equipped with synchronous and modern production lines, the company has ability to strictly control every production process both from raw materials to finished products.

Dien Quang branded lamps and other lighting products with specialization in illuminating lights, alkali and neutral glass tubes, civil electrical devices, injecting tubes, medical jars and bottles, etc, are available nationally, reaching every corner occupying over 65 percent market share of common lights. Now it is expanding export activities to regional countries, especially, in the ASEAN bloc, and the world markets.

“Dien Quang is currently diversifying its products, such as, fluorescent tube and bulb lights, high voltage ones, ballast, compact economic items (normal and high quality for decoration), various electrical devices and accessories, alkali and neutral glass tubes, injecting tubes, medical jars and bottles, etc, parallel to the growth of the Vietnamese economy and consumer demands,” said Hung.

Annual production capacity of its main products are, LED products: 10 million units, compact lamps: 100 million units, light bulbs: 15 million units, etc.

Dien Quang’s major production machinery and equipment are imported from established sources in lighting field, such as, Toshiba (Japan), Alcatal (France), Edwards (England), Kumho (Korea), Federal (Taiwan), etc.

It currently markets more than 1,000 categories of lighting products and electrical equipment. Its main product lines are, LED types, CFLs, ‘Double Wing’ super-bright bulbs, fluorescent tube lamps, incandescent lamps, desk lamps and decorative lamps, fixtures and luminaires, civil and industrial downlights, heatresistant sockets and plugs, and dust-proof and water-proof lighting products in use of the civil and industrial works and agriculture and fishery sectors.

For manufacturing quality products, Dien Quang is honoured with various awards and certificates from among others, CE Compliance with EU Safety Standards (CE mark); ‘Vietnam Energy Star’ trademark granted by the Vietnamese Ministry of Industry and Trade; ‘Vietnam Green Label’ for environment friendly/ user friendly products certified by Ministry of Natural Resources and Environment.

ISO 9002: 1994 granted by AFAQ (France), ISO 9001: 2000 granted by TUV (Germany). Dien Quang brand also keeps the recognition of ‘National Brand’ by the Government of Vietnam and votes of the ‘High Quality Vietnamese Goods’ by the customers, said the public company, listed with the local stock exchange.

www.asianglass.com

Indevco-Chu Lai Float Glass JSC (Chu Lai Glass)

Location: North Chu Lai Ind. Zone, Tam Hiep, Nui Thanh, Quang Nam Province, Vietnam Products: Flat primary glass panels and various processed glass of thickness up to 25mm Markets: Domestic and export markets Others: Indevco-Chu Lai Float Glass’ float glass production capacity is 900 tons per day (annual production of 42 million sq metres). The products include, white glass, low-e glass, strong glass, laminated glass, double glazed glass, solar control glass, curved glass, ceramic glass, sandblasted glass, pattern glass, etc.

Vietnam Glass Group Co Ltd

Location: An Dong-An Duong District, Hai Phong, Vietnam Products: Float and processed building glass, including pattern glass.

Markets: Domestic and export market Others: Vietnam Glass Group has been producing, domestically selling and exporting the pattern glass and clear float glass. Its quality pattern glass meets the needs of different customers. The manufacturer has three pattern glass factories, including two sets of 240 tons production line with the available width of 2134mm, two sets of 120 tons production line with the available width of 2134mm, and one set of 80 ton production line with the available width of 1524mm. The manufacturer has a 350 ton a day capacity float glass production line with the available width of 3300mm to produce 2mm-12mm high-quality clear float glass. It also manufactures sliver mirror, aluminium mirror, reflective glass, insulating glass, laminated glass, and tempered glass.

Sado Group JSC

Location: Tam Phuoc Commune, Bien Hoa City, Dong Nai Province, Vietnam Commissioned: Started commercial operation in mid-2014 Products: Processed glass Markets: Domestic and export markets. Export markets include, USA, EU, Australia, Cuba, etc.

Others: The new factory has an annual production capacity of 12 million square meters of several products including tempered glass, digital ceramic printed glass, laminated and insulated ones.

It will also make aluminium windows and doors, to substitute the imported products. The processed glass products of sizes up to 3.3mx6.0m that meet European standards including those that apply to soundproofing and insulation. The Sado Group has invested nearlyUS$23.8 million in its first phase, deploying technologies from global industry leaders including LiSEC, Glaston and Benteler. The total cost of the project, implemented in two phases, is estimated at VND2 trillion ($95 million). Sado sources high quality materials from established sources, such as, float glass from Pilkington, SaintGobain, Viglacera, VFG, and AGC. Low-E glass from Saint-Gobain and Pilkington. Silicone sealant from Dow Corning.

AG 19-6 asianglass

47

ANALYSIS: Vietnam

Eurowindow (The European Plastics Window JSC).

Booming ultra-clear glass Ultra-clear float glass is going to change Vietnam’s investment trend in glass production in the next couple of years. Several new plants are now under construction to meet the future demand. Ultra-clear float glass, mainly used in solar panels, constructions and display devices, will meet the rising demand of the solar power industry in Vietnam and the neighbouring ASEAN countries.

A major project, developed by Phu My Ultra Clear Float Glass Co Ltd, a consortium of local glass manufacturer Viglacera Corporation, Vietnam Urban and Industrial Zone Development Investment Corporation, and China’s Kaisheng Group, is nearing completion for initial production. Its Phase I, capitalised at US$110 million, is on way to start-up soon. It is expected to produce 600 tonnes of products a day, with output rising to 1,500 tonnes after Phase II is completed.

Viglacera General Director Nguyen Anh Tuan said ultra-clear float glass is a new field in Vietnam requiring high technology, and prompting Viglacera to seek out tech-savvy partners. This kind of glass meets quality standards for use as solar panels and screens for televisions, telephones, etc. It is a special glass product as stipulated in Decision 1469, thus investment in this type of product can only be made when approved by the Prime Minister of Vietnam.

Foreign and local firms have expressed ambitions to develop ultra-clear glass projects to meet the increasing demand for high-end glass for construction and solar panels for domestic consumptions and exports to the world market.

Phu My Ultra Clear Float Glass Co signed a contract with Chinese contractor Kaisheng Group to develop the ultra-clear glass factory, located in the southern province of Ba Ria-Vung Tau and has a total investment capital of VND2.42 trillion (US$106.4 million). According to the agreement, Kaisheng Group will supply manufacturing lines, equipment, and machinery meeting the strict standards of China. Besides, the group issued a 12-year warranty for the furnaces.

Previously, Viglacera and Kaisheng Group signed an agreement to establish Yen Phong Ultra-Clear Glass Co Ltd to develop an ultra-clear laminated glass factory with the daily production capacity of 650 tonnes in the Expanded Yen Phong IP. The construction of the factory is due to kick off by the end of 2019 and will be completed by 2020. It will be the first ultra-clear laminated glass factory in the country. Its products will be used for manufacturing solar panels.

Japanese glass producer Nippon Sheet Glass (NSG) will invest part of a US$365 million into upgrading and restarting its currently dormant thin float glass factory in Vietnam. It is part of the expansion of its production capacity of online TCO (transparent conductive oxide)-coated glass to support the growing solar market.

Resuming the operations of NSG’s plant in Ba Ria-Vung Tau will serve as motivation to accelerate the construction of the unfinished segment of the First Solar project in Vietnam. First Solar has re-affirmed its commitment to Vietnam by injecting an additional US$360 million into the construction of a second 1.2 GW high-tech factory at South East Industrial Zone in Ho Chi Minh City, bringing the total investment to US$830 million.

Another investor, CFG-Ha Long Industry Company Ltd, also expressed interest in developing an ultra thin tempered glass factory in Yen Khanh district in the northern province of Ninh Binh. According to the plan, the project’s construction will be divided into two phases. The first phase is designed to have a daily production capacity of 600 tonnes and will be operational by 2022. In the second phase, the factory’s capacity will be increased by another 600 tonnes and will come into stream by 2027. Last February, the project was green-lighted by the Vietnamese Prime Minister Nguyen Xuan Phuc.

48

asianglass AG 19-6

Location: BCD Ly Nam De Str., Hoan Kiem, Hanoi, Vietnam Products: Safety glass, tempered glass, laminating glass, insulating glass, patterned glass (processor of Saint-Gobain glass).

Markets: Domestic and export markets Others: Eurowidow has three glass processing centers in Hanoi, Da Nang and Binh Duong. Eurowindow’s factories are equipped with modern automated production lines imported from leading suppliers of Germany, Italy, Finland and Spain. The factories produce mainly building products. The company also has four glass alternative factories for building products. Its pre-fabricated building materials, with thermal break combined with double glass, safety glass, tempered glass and solar control glass, create beautiful doors and façades with high long-life durability, thermal and sound insulation, the manufacturers claim.

ThuanThanh Glass Joint Stock Company (TTG)

Location: Dien Bien Phu, Hai Duong city, Vietnam Products: Processed construction glass, commercial building autodoor entrance systems, insulating glass, tempered safety glass, laminated safety glass, reflective glass, low-E glass, and various other processed colour and clear float glasses.

Markets: Domestic and export markets Others: Uses float glass from Guardian (USA), Asahi (AGC) Belgium, VFG-NSG Group (Japan and Viet Nam). ThuanThanh Glass with its own produced glass and glass installations, contributed to high rise buildings in Vietnam.

Hong Phuc Glass

Location: Two plants in Phu Nghia and Nhu Quynh, in Van Lam, Hung Yen, near Hanoi, Vietnam Products: Toughened safety glass, laminated safety glass, insulating glass, decorative glass, etc.

Markets: Domestic and export markets Others: Processes Pilkington, Guardian, AGC and Saint-Gobain glasses for various applications. Its annual production capacities of various types of glasses include, toughened (tempered safety glass) panel: 800,000 m2, with maximum width is 7.5m diameter; curved tempered glass: 300,000 m2; and laminated safety glass: 500,000 m2, and with laminated throughout, the thickness ranges from 6.38mm-12.38mm. Laminated color film types available. Reflective laminated safety glass thicknesses available are 8.38mm and 10.38mm, and others on demand. The yearly production capacity of soundproof heat insulating glass is 200,000 m2.

Diamond Glass JSC

Location: Hoa Khanh Industrial Zone, Da Nang city, Vietnam Products: Glass processing Markets: Domestic and export markets.

Others: Diamond Glass manufactures construction glasses, including tempered safety glass, laminated glass, insulating glass, curbed glass, solar control glass and low-E glass.

VinaFacade Joint Stock Company (VinaFacade)

(Joint venture by Viglacera Corp, Facade Treatment Engineering (Malaysia) and Viglacera DapCau) Location: Hoang Hoa Tham Str, Ba Dinh Dist, Hanoi, Vietnam Products: Processed glass for building facades Markets: Projects in Vietnam, Malaysia, Singapore, UAE, Bahrain

www.asianglass.com

ANALYSIS: Vietnam

and other countries.

Others: VinaFacade also offers design, customized fabrication, project management and installation of facade systems with processing of glass in its own facilities, including two of its owners Viglacera Corporation and Viglacera DapCau Sheet Glass JSC, and in Viglacera’s other major glass manufacturing/processing units and others, such as, Viglacera Float Glass, Phu Phong JSC, Thuan Thanh Glass JSC, Glasskote Vietnam JVC, etc. VinaFacade has many building glass installation projects in Malaysia, in cooperation with its Malaysia based, Facade Treatment Engineering Sdn Bhd. Some of them are showcasing the joint-venture’s capabilities.

Glassworks Co Ltd

Location: Nhon Trach Industrial Zone, Nhon Trach District, Dong Nai province, Vietnam Established: In 2010, as a subsidiary of Australia-based Professional Industry Diamond Pty Ltd (PIDIAMOND).

Products: Processed glass.

Markets: Domestic and export markets Others: Works done are processing of tempering, laminating, double-glazing and painting glass as well as, cutting, edging, beveling and drilling the at glass sheets precisely in various sizes according to customers’ requirements.

Phu Phong JSC

Location: Tan Tao Industrial Zone, Binh Tan Dist, Ho Chi Minh City, Vietnam Products: Processed glass Markets: Domestic and export markets Others: Phu Phong manufactures tempered glass, sheet glass, laminated safety glass, glass mirrors, insulating glass, curved glass, low-emissivity float glass, glass furniture, various glasswares including sanitarwares and giftwares.

Thanh Dat Glass

Location: P. Tra Noc, Binh Thuy, Can Tho City, Vietnam Products: Processed glass Markets: Domestic and export markets Others: Thanh Dat manufacturers various building glasses, including, toughened glass, laminated glass, reflective glass, glass mirrors, decorative glass, glass furniture, etc.

Cao Trung Nghia Glass Co Ltd (Aluminum Glass Co)

Location: Tan Binh District. Ho Chi Minh City, Vietnam Products: Processed safety glass for building exterior and interior and other use Markets: Domesti8c and export markets Others: Cao Trung Nghia manufactures toughened glass, insulating glass, transplant glass, laminated glass, toughened reflective glass, reflective glass box, glass mirrors, low-E glass, bent glass, patterned glass, cutting glass, etc.

Saigon Technology Glass Co Ltd

Location: Vietnam-Singapore Ind. Park, Thuan An, Binh Duong, near HCM City, Vietnam Products: Processed architectural and furniture safety glass, and art glass Markets: Domestic and export markets Others: It manufacturers architectural safety tempered glass,

50

asianglass AG 19-6

safety laminated glass, tempered and laminated glass and silk printing glass. Its furniture glass processing are furniture glass and designing furniture use glass. Various other glass processing include, polishing, beveling, orge grinding, drilling, decorative EVA glass for interior use, bent glass, etc.

Sunglass Safety & Energy-Saving Glass Industries Co Ltd

Location: B-10 Industry My Phuoc II, Binh Duong, Vietnam Products: Processed glass Markets: Domestic and export markets Others: Sunglass manufactures safety and energy-saving glasses for exterior and interior application in architectural and construction industries. The products include tempered glass, laminated glass, insulated glass and bended glass. Its flat and curved products include TEMPERMAX (tempered safety glass), PROSAFE (laminated safety glass) and PROCOMFORT (insulating glass). It also markets imported reflective glass, low-E glass, thick glass and jumbo-size glass.

Hai Long Glass

(Halon Glass brand) Location: Khu Cn Ha Binh Phuong, Thuong Tin, Hanoi, Vietnam Products: Safety glass, tempered glass, colour glass, insulating glass, reflective glass and car glass Markets: Domestic and export markets

Quan Dat

Location: Tan Thoi Hiep Industrial Park, District 12, Ho Chi Minh City, Viet Nam Products: Processed architectural glass, specially, façade glass Markets: Domestic and export markets Others: Quan Dat manufactures and installs curtain, partition, window and door glasses. It is a specialist on unitized façade.

Thien Phu Glass

Location: Ward Phuoc Vinh An, Dist. Cu Chi, Ho Chi Minh City, Vietnam Products: Safety tempered glass, laminated glass, IGU, painted glass and heat strengthened glass Markets: Domestic and export markets

Viglacera Glasskote Limited

Location: Cau Giay, Hanoi, Vietnam Products: Building exterior and interior colour glass and colour glass for other uses.

Markets: Domestic and export markets

Safety Glass Factory

Location: Quang Minh Industrial Zone, MeLinh Distr., Vinh Phuc Province, Vietnam Products: Glass processing Markets: Domestic and export markets

Dom Home Science Glass Mir Co Ltd

Location: Lot D-4B, My Phuoc 3 Industrial Park, Binh Duong, Vietnam Products: Glass processing Markets: Domestic and export markets

www.asianglass.com

ANALYSIS: Vietnam

Lien Chau Luc Technology Glass Corporation

Location: Phan Van Hon, Tan Thoi Nhat ward, 12 District, HCMC, Vietnam Products: Glass processing Markets: Domestic and export markets

Long Giang Glass Company Ltd

Location: Tran Phu, Hai Chau District, Da Nang, Vietnam Products: Glass processing Markets: Domestic and export markets Vietnam’s glass exports (US$’000) Product label

Exported value in 2014

Exported value in 2015

Exported value in 2016

Exported value in 2017

Exported value in 2018

Articles of glass, n.e.s.

493,825

551,888

551,096

636,942

611,846

Float glass and surface ground or polished glass, in sheets, whether or not having an absorbent, . . .

126,331

237,035

156,064

129,222

127,695

5,493

3,627

14,889

132,236

102,972

58,214

61,498

62,382

63,684

68,049

9,657

12,334

15,438

25,659

36,982

23,962

19,821

15,090

17,695

19,048

Sheets or profiles of glass, whether or not having an absorbent, reflecting or non-reflecting . . .

5,762

12,456

13,596

14,204

14,975

Glass fibres, incl. glass wool, and articles thereof (excluding mineral wools and articles . . .

7,525

6,269

8,434

10,282

14,085

Glass beads, imitation pearls, imitation precious or semi-precious stones and similar glass . . .

1,731

2,535

2,593

1,432

1,513

Cast glass and rolled glass, in sheets or profiles, whether or not having an absorbent, reflecting . . .

1,437

1,057

19

666

1,334

Paving blocks, slabs, bricks, squares, tiles and other articles of pressed or moulded glass, . . .

174

123

242

60

1,140

Cullet and other waste and scrap of glass; glass in the mass (excluding glass in the form of . . .

268

651

961

531

835

Multiple-walled insulating units of glass

377

399

1,240

510

667

Sheets of glass, drawn or blown, whether or not having an absorbent, reflecting or non-reflecting . . .

723

519

667

51

65

36

41

63

68

58

680

756

1,101

53

21

1,193

322

236

43

19

Glass in balls, rods or tubes, unworked (excluding glass microspheres <= 1 mm in diameter, . . .

167

124

128

13

15

Clock or watch glasses and similar glasses, glasses for non-corrective or corrective spectacles, . . .

145

9

4

13

3

Safety glass, toughened "tempered", laminated safety glass (excluding multiple-walled insulating . . .

Glass mirrors, whether or not framed, incl. rear-view mirrors (excluding optical mirrors, optically . . .

Carboys, bottles, flasks, jars, pots, phials, ampoules and other containers, of glass, of a . . .

Glassware of a kind used for table, kitchen, toilet, office, indoor decoration or similar purposes . . .

Laboratory, hygienic or pharmaceutical glassware, whether or not graduated or calibrated (excluding . . .

Signalling glassware and optical elements of glass, not optically worked (excluding clock or . . .

Glass envelopes, incl. bulbs and tubes, open, and glass parts thereof, without fittings, for . . .

www.asianglass.com

AG 19-6 asianglass

51

ANALYSIS: Vietnam Vietnam’s glass imports (US$’000) Product label

Imported value in 2014

Imported value in 2015

Imported value in 2016

Imported value in 2017

Imported value in 2018

Safety glass, toughened "tempered", laminated safety glass (excluding multiple-walled insulating . . .

33,671

64,781

183,356

236,800

263,440

Float glass and surface ground or polished glass, in sheets, whether or not having an absorbent, . . .

91,533

103,079

163,389

244,345

173,989

Articles of glass, n.e.s.

107,266

108,601

115,106

142,933

134,929

Glass fibres, incl. glass wool, and articles thereof (excluding mineral wools and articles . . .

72,192

73,452

88,086

87,012

96,206

Carboys, bottles, flasks, jars, pots, phials, ampoules and other containers, of glass, of a . . .

48,299

43,313

57,887

66,083

69,847

Cast glass and rolled glass, in sheets or profiles, whether or not having an absorbent, reflecting . . .

40,797

35,374

62,483

73,841

67,481

Glassware of a kind used for table, kitchen, toilet, office, indoor decoration or similar purposes . . .

49,312

58,530

73,654

71,535

63,788

Sheets or profiles of glass, whether or not having an absorbent, reflecting or non-reflecting . . .

13,409

16,940

19,955

46,077

47,270

Glass mirrors, whether or not framed, incl. rear-view mirrors (excluding optical mirrors, optically . . .

28,801

32,782

44,685

43,279

47,201

Glass beads, imitation pearls, imitation precious or semi-precious stones and similar glass . . .

6,587

11,643

12,551

19,495

14,475

Multiple-walled insulating units of glass

6,354

4,888

9,263

13,630

10,542

Signalling glassware and optical elements of glass, not optically worked (excluding clock or . . .

6,924

6,722

6,050

3,909

7,300

Glass in balls, rods or tubes, unworked (excluding glass microspheres <= 1 mm in diameter, . . .

8,020

8,473

7,868

8,484

6,812

Paving blocks, slabs, bricks, squares, tiles and other articles of pressed or moulded glass, . . .

5,925

3,910

4,967

5,714

5,242

Laboratory, hygienic or pharmaceutical glassware, whether or not graduated or calibrated (excluding . . .

3,364

3,796

4,468

4,384

5,237

Sheets of glass, drawn or blown, whether or not having an absorbent, reflecting or non-reflecting . . .

3,158

3,065

2,722

1,894

1,953

Glass envelopes, incl. bulbs and tubes, open, and glass parts thereof, without fittings, for . . .

1,431

2,241

2,419

1,429

764

Cullet and other waste and scrap of glass; glass in the mass (excluding glass in the form of . . .

562

265

198

544

689

Clock or watch glasses and similar glasses, glasses for non-corrective or corrective spectacles, . . .

962

423

226

461

503

52

asianglass AG 19-6

www.asianglass.com

ASIA...

C O S T- E F F E C T I V E G A S S U P P LY

is one click away

HYDROGEN

H2

NITROGEN

N2

OXYGEN O2

ON-SITE GAS GENERATION SYSTEM

www.asianglass.com

FOR A MORE COST-EFFECTIVE AND RELIABLE SUPPLY At HyGear, we differentiate ourselves with our cutting-edge technology of on-site gas generation and recovery of industrial gases. In order to guarantee the reliability of supply, we offer back-up with our own fleet of trailers and through our global partners.

Our approach is unique because of our strong technology backbone and the way we partner with you as our customer.

OUR PROMISE

COST SAVINGS

RELIABLE SUPPLY

INCREASED SAFETY

CO2 REDUCTION

NO SURPRISES

GLOBAL SUPPORT

Contact us today to find out how.

Europe: +31 88 9494 308 | sales@hygear.com Asia: +65 6909 3064 | asia@hygear.com

www.hygear.com

ANALYSIS: Vietnam

Vietnam’s major glass export markets. (US$’000) Importers

Exported value in Exported value in Exported value in Exported value in Exported value in 2014 2015 2016 2017 2018

World

737,699

911,463

844,244

1,033,365

1,001,323

Singapore

214,946

262,238

314,237

357,048

312,706

Malaysia

133,945

167,713

159,751

197,608

275,390

16,214

66,327

17,975

130,551

99,116

101,180

107,172

86,723

89,818

95,153

USA

45,861

53,060

55,477

65,333

64,302

China

75,326

80,475

66,359

66,685

37,840

Hong Kong, China

13,807

69,742

80,195

42,810

29,756

9,486

9,413

11,269

7,560

21,940

76,855

52,666

9,982

19,268

10,712

1,206

1,994

3,245

10,996

9,430

892

526

1,444

5,170

6,222

Thailand

5,535

5,756

4,560

4,487

6,207

Indonesia

4,364

3,004

4,123

7,686

6,111

Canada

5,232

4,817

4,383

5,435

5,715

Brazil

5,713

4,934

3,510

3,851

3,962

Cambodia

5,800

6,271

5,081

3,261

3,196

United Kingdom

1,215

1,161

1,152

942

1,901

Lao People's Democratic Republic

1,721

348

1,519

758

1,687

Germany

Korea, Republic of Japan

Philippines Taipei, Chinese Australia France

3,785

1,539

1,649

4,019

1,086

Netherlands

723

2,224

2,665

1,728

928

United Arab Emirates

213

564

632

589

778

India

2,227

2,505

1,312

863

773

Myanmar

2,415

1,861

1,642

539

576

487

600

539

859

523

3,010

802

457

299

495

New Zealand Bangladesh

Vietnam imports from China (‘000) Product label

Viet Nam's imports from China Value in 2016

Safety glass, toughened "tempered", laminated safety glass (excluding multiple-walled insulating . . .

127,673

Value in 2017 158,203

Viet Nam's imports from world

Value in 2018

Value in 2016

Value in 2017

Value in 2018

169,629

183,356

236,800

263,440

Articles of glass, n.e.s.

54,184

69,341

61,717

115,106

142,933

134,929

Glass fibres, incl. glass wool, and articles thereof (excluding mineral wools and articles . . .

55,467

53,799

59,243

88,086

87,012

96,206

Carboys, bottles, flasks, jars, pots, phials, ampoules and other containers, of glass, of a . . .

31,398

43,210

47,339

57,887

66,083

69,847

Sheets or profiles of glass, whether or not having an absorbent, reflecting or non-reflecting . . .

13,818

42,029

44,917

19,955

46,077

47,270

Glassware of a kind used for table, kitchen, toilet, office, indoor decoration or similar purposes . . .

37,121

37,135

35,623

73,654

71,535

63,788

Float glass and surface ground or polished glass, in sheets, whether or not having an absorbent, . . .

27,404

62,065

26,587

163,389

244,345

173,989

Glass mirrors, whether or not framed, incl. rear-view mirrors (excluding optical mirrors, optically . . .

20,041

22,403

24,911

44,685

43,279

47,201

Multiple-walled insulating units of glass

6,974

11,573

8,846

9,263

13,630

10,542

Cast glass and rolled glass, in sheets or profiles, whether or not having an absorbent, reflecting . . .

6,293

3,972

6,566

62,483

73,841

67,481

54

asianglass AG 19-6

www.asianglass.com

ANALYSIS: Ultrathin

A slice of success ultrathin glass shows greater promise AG looks at how manufacturers of ultrathin glass continue to push the technical and market boundaries…

T

he manufacturers of ultrathin glass are continuing their development and improvement work for enhancing foldability and durability. However, the developments in application of the glass are going on faster worldwide. Most significant part of the up and downstream activities are concentrated in Asia, as some of the leading and most expanding users of such glass are located in the East Asian countries of China, South Korea and Japan.

Global electronic and mobile giants Samsung and Huawei have launched foldable smartphones globally. Yet, the biggest challenges ahead are durability of the phone screen. Samsung’s Galaxy Fold and Huawei’s Mate X have plastic polymer screens that aren’t as strong or as scratch-resistant as glass on smartphones. The US based world’s leading glass maker Corning’s Gorilla Glass developers and other competing glass companies’ researchers worldwide are working continuously on the ultrathin bendable glass to consolidate market positions firm in the race of new generation smart phones, this has attracted the electronic manufacturers more towards ultrathin glass.

Market researchers estimate that the global ultra-thin glass market is expected to grow at over 10 percent of CAGR during 2017– 2023 to reach US$15.6 billion by the end of that period. The main factors propelling the growth of ultrathin glass market include high demand of electronics and increasing use of lightweight materials for energy efficiency.

According to the international market research organization, Energias Market Research Ltd (EMR), the major manufacturing processes in the markets of ultrathin glass are float and fusion, with thickness of the glass ranging < 0.1 mm, 0.1-0.5 mm, 0.5-1.0 mm, and 1.0- 1.2 mm, and application in the manufacturing of semiconductor substrates, touch panel displays, fingerprint sensors, automotive glazing, and many others. The end-use products include consumer electronics, automotive, biotechnology, etc. Asia Pacific is the most demanding user region because of explosion of industrial consumers, while the demand is spread all over the world.

EMR reported it has found Asia Pacific was holding the largest market share of ultra-thin glass market in 2016 and is anticipated to continue holding the major market share, throughout the forecast period up to 2023, leaving North America behind it. Asia Pacific’s ultrathin glass market is anticipated to grow at a significant

56

asianglass AG 19-6

rate and register the highest CAGR, during the forecast period.

Japan and China are expected to contribute largely towards the market growth in the region, as there is a high demand for ultrathin glass in consumer electronics, biotechnology and automobile industries.

Substrates of choice

The researchers said ultrathin glass is a high-end glass, having thickness less than a single human hair. It provides advantages over other substrate materials such as plastics, metals, and silicon. This thin glass finds its application in various industries owed to its properties, such as, thermal stability, surface flatness, weather resistance, flexibility, light weight and superior optical quality. The most widely used manufacturing process for ultrathin glass includes fusion and float methods. Both manufacturing processes require extremely precise temperature and power control to produce flawless molten glass and forming thin glass sheet to the required standards.

Ultrathin glass with a thickness less than 1 mm is one of the most favoured substrate materials for conventional displays and devices. It possesses outstanding characteristics such as transparency, flexibility, corrosion, and abrasion resistance, gas barrier capability, and surface smoothness, for which, it is used as a substrate for manufacturing various devices demanding these characteristics. The use of ultrathin glass in photovoltaic (PV) modules significantly cuts down the weight of the complete photovoltaic panel structure with respect to known solutions and thus reduces the load on the building structure. PV modules with ultrathin glass can be installed on wider variety of buildings and also can be transported easily for lower weight and sizes.

EMR report said, on the basis of manufacturing process, float process was dominating the ultrathin glass market and is anticipated to continue the trend of the market, throughout the forecast period. The dominance of the process is attributed to its adoption by most of the manufacturers, while in thickness, 0.5-1.0 mm was holding the largest share of ultrathin glass market as major applications areas utilize this thickness range. In application, touch panel displays were holding a major share of global ultrathin glass market in 2016. Application in finger print sensors is expected to grow at a significant rate and register the highest CAGR during 2017-23. The growth of finger print sensors segment is

www.asianglass.com

ANALYSIS: Ultrathin

attributed to high sensitivity and electrical conductivity of ultrathin glass.

The consumer electronics segment was holding the largest share as enduser of global ultrathin glass market. The rising demand for ultra-thin glass in applications, such as, televisions, smartphones, and wearable devices is driving the growth of consumer electronics segments.

Geographically, in Asia Pacific, the leading ultrathin glass market, the consumption is anticipated to grow at a significant high rate. Larger demand for ultrathin glass mostly from Japan and China in industries, such as, consumer electronics, biotechnology, and automotive, is driving the growth of ultrathin glass market in Asia.

The dominant glass players in Asia Pacific include Corning, Schott, AGC, NSG, and Nippon Electric Glass, among others.

SPOOL & G-Leaf

AGC is a leading developer-manufacturer of ultrathin glass in Japan. Its ultrathin glass, SPOOL, is an ultrathin sheet glass, very thin, lightweight, and flexible, and has excellent features unique to glass materials, including transparency, heat resistance, chemical resistance, gas barrier properties, and electrical insulation.

AGC said it has successfully rolled ultrathin sheet glass SPOOL into a roll 1,150 mm wide and 100 m long. At 0.05 mm thick, it is the world’s thinnest glass manufactured using the float process. With all its advantages, SPOOL has great potential for cutting-edge applications such as flexible displays, organic EL lighting, and touch panels.

This unique technique of AGC to roll ultrathin glass has led SPOOL to become compatible with the roll-to-roll production process, which is currently under development by customers. In addition, AGC is also promoting its carrier glass technology that enables ultrathin sheet glass to be processed without a customer having to change its production lines.

With these technologies, AGC will contribute to expanding applications of ultrathin sheet glass, said the company.

Japan’s other major developer-manufacturer of ultrathin glass, Nippon Electric Glass (NEG) claims its thin glass has created a good market in Japan and abroad. NEG’s ultrathin glass, trademarked G-Leaf, not more than 0.2mm (200μm) thick, is a superior material formed by overflow technology. By this technology, G-Lea of only 0.03mm (30μm) can also be manufactured. G-Leaf

www.asianglass.com

maintains the advantageous functions and reliability of glass in a film state.

It allows for the reduction of energy and environmental burdens at all stages of its production, from raw materials to delivery. NEG suggests, G-Leaf is a next-generation material that holds excellent potential for applications, such as, electronics, energy, medical-use products, and lighting.

A major focus of NEG’s efforts is the pursuit of thinness. “Thinner glass offers new value by making glass lighter and flexible enough to be rolled up like film.

We continue to develop new uses for thin glass, such as flexible displays and organic light-emitting diode (OLED) lighting,” said NEG. G-Leaf, with a thickness of 200μm (0.2mm) or less is a green glass, environmentally friendly and as thin and light as a leaf and it is truly innovative, not only light, but also so smooth and pliable it can be rolled up, said NEG. G-Leaf has all of the qualities typical of glass; it has optical and gas-barrier properties, and is weather and heat resistant. It takes only minimal materials to manufacture and can be transported in compact rolls, so it saves on resources and energy and reduces costs, NEG added.

Korean leaders

Along with Japan, South Korea and China, Vietnam is becoming a centre of ultrathin glass manufacturing, as Japanese glass producer NSG and South Korean DoInsys are expecting to be major investor in ultrathin glass in the country.

NSG is investing a part of its currently available US$365 million investment fund for float into upgrading and restarting a currently dormant thin glass float factory in Vietnam to manufacture ultrathin glass for consumption in Vietnam and other export markets, particularly, in Asian. It is part of the expansion of its production capacity of online TCO (transparent conductive oxide) coated glass to support the growing solar market. The Vietnam-based NSG plant’s ultrathin glass line is scheduled to come into stream in 2020. The plant’s capacity will rise by about 30 per cent for a special glass coated in a transparent conductive film that forms the topmost layer of thin-film solar panels. The glass can also be used for other purposes like construction.

South Korean Glass manufacturer, Dowoo Insys (DoInsys), which produces ultrathin glass and exports to other countries, especially, China, is now set to become a major ultrathin glass manufacturer, as Samsung has contracted it for supplying its ultrathin glass to Samsung’s manufacturing plants.

AG 19-6 asianglass

57

ANALYSIS: Ultrathin

Currently, DoInsys can produce an estimated 500,000 units per month. The glass is less than 100µm thick, perhaps as thin as 30µm that is less than a human hair. It is much more resilient than the polyamide plastic used in the current Galaxy Fold, at least when it comes to scratches. DoInsys has received a KRW 12 billion investment fund from Samsung Venture Investment as part of the exclusive deal. The contract is believed to be mid to long term and Samsung is looking into injecting even more cash into DoInsys to expand its ultrathin glass production capacity by reported beefing up of its existing Korean facilities and building new ones in Vietnam.

Samsung is reportedly planning to sell 5-6 million foldable phones in 2020.

DoInsys needs to be able to supply enough ultrathin glass panels. But if the foldable form factor takes off the way Samsung hopes it will need much higher supply for the coming years, especially, when building up inventory for the launch of a new model. At least it won’t have to worry about other companies buying up DoInsys panels.

DoInsys signed an exclusive supply contract with Samsung Display. Now the glassmaker is looking to almost double the mass production of ultrathin glass, even for more. DoInsys has already begun the production of ultrathin glass for Samsung. The main reason behind DoInsys’s new pledge to increase production is to meet the demand in supply that will inevitably come once the actual smartphone goes into production. Samsung is also discussing ways to attract additional investment as it requires facility investment.

The ultrathin glass that will be used by Samsung is based on DoInsys’ method and SCHOTT AG’s glass. Samsung Electronics and Samsung Display had tested DoInsys’ ultrathin glass from many domestic and foreign companies and they have ultimately decided to apply that.

At the Samsung Developers Conference 2019, Jung Hye-sun, executive director of Framework R&D Group, Samsung Electronics, unveiled a new foldable smartphone using ultrathin glass.

Samsung Electronics has been using Corning’s Gorilla Glass as the cover glass material for its smartphones. It is inevitable that the dynamics within the cover glass market will change in the future as SCHOTT and DoInsys have entered the market due to the release of foldable smartphone. Current glass suppliers such as Corning, AGC, and NEG have developed foldable glass materials and are preparing to enter the market in large scale by the next couple of years.

DoInsys, established in 2010, is seen to have world’s best technology when it comes to ultrathin glass that has thickness of less than 100 micrometers and it has been working with Samsung for a while. It signed the exclusive supply contract with Samsung Display to expand its market share greatly.

“Although Samsung had looked into many different ultrathin glass manufacturers, DoInsys clearly has the best technical skills when it comes to ultrathin glass and its technical skills are 4-5 years ahead of its competitors,” claims DoInsys.

Industry sources said, since foldable technology can be applied to various applications such as laptops and pads as well as smartphones, it is interpreted as a strategy to supply ultrathin glass in the long term. The industry is looking at how many foldable models will be introduced to ultrathin glass. Chinese panel companies are also interested in foldable displays and are working on ultrathin glass supply and demand, but considering the stability of production, technology and reliability, there is no competitor that can threaten Samsung Display for the next three years, said the sources.

Samsung Electronics has decided to release clamshell design foldable smartphone with ultrathin glass. While Samsung Electronics applied transparent

58

asianglass AG 19-6

PI (polyimide) as the cover glass material for its first foldable smartphone, it has decided to use ultrathin glass for the next foldable smartphone for the first time. It is likely that its next foldable smartphone will be released during the first half of 2020. Samsung Electronics and Samsung Display have started producing necessary components.

The design of a foldable smartphone that Samsung Electronics will be introducing in 2020 is similar to that of foldable feature phones in the past. It is expected that Samsung Electronics’ next foldable Smartphone will be folded at the center where there is a horizontal fold. Because it is expected to be longer but has a narrower screen than Galaxy Fold, it focuses on portability rather than large screen. It is likely that the size of its display will be 6.7 inches.

Chinese ultrathin

China has successfully produced the world’s one of the thinnest float glasses with higher light transmittance and flexibility, the type most often used on telephone touch screens and similar devices. Produced by the Bengbu Design and Research Institute for Glass Industry in Anhui province, the ultrathin float glass it produces measuring just 0.12 millimeters. The glass is slightly thicker than a sheet of printer paper, has beaten the previous record of 0.15 mm also set by the institute.

The manufacturer claims this ultrathin glass has highly improved the transparency as measured by light transmittance and the resilience. It also can bear the impact of a 55-gram steel ball falling from a height of 1 meter, as an experiment showed. “This is, globally, a very remarkable achievement for 0.12 mm glass”, said Cao Xin, Deputy Director of the Bengbu Design and Research Institute’s key laboratory.

Bengbu Design and Research Institute’s ultrathin glass is able to plays a critical role in making electrical devices increasingly lighter and smaller, which is believed to be the future trend. Ren Hongcan, a general manager on the production line of the Institute said the majority of float glass in the past was either imported into China from abroad, or eroded by chemicals to make it thin enough. “Now we got hold of the technique, the price of China’s touch screen is sure to go down, which will surely benefit the entire electrical device market,” Ren told the Chinese newspaper, China Daily. The Bengbu institute started researching and manufacturing float glass in 2013. It first produced 0.33 mm in 2014 and managed to reduce the number to 0.15 mm in only two years.

The 0.12 mm glass is yet to hit the market as the demand barely emerges, according to Ren. “Once we have the thinnest float glass in the world, all the other devices also need to be developed to match such a thin standard,” Ren said. Bengbu is now prepared to launch its ultrathin glass commercially. Instead of going thinner, the Institute is working toward better quality and stability.

Ren said that the surface area of the glass can be limited by its thinness and developers are working on how to enlarge it.

Meanwhile, in another development, a deal for a 16-billion-yuan project to produce ultrathin glass substrates (Phase I) was jointly signed recently by the People’s Government of Nanxun district in Huzhou city of Zhejiang province, China Fortune Land Development Co Ltd (CFLD), and Shenzhen Efonlong Optronics Display Co Ltd. Xu Yuchen, CEO of Efonlong Optronics Display, said it is Efonlong’s first manufacturing center in eastern China and expecting to support in manufacturing various electronic devices in region. “For one thing, Nanxun district enjoys a locational advantage in the coordinated development of Yangtze River Delta region, and we appreciate the support of local government.

For another, the brand effect and the professional industrial service of CFLD also help us build confidence for our investment,” Xu said.

www.asianglass.com

SPECIAL REPORT

Indian refractories a brighter future beckons With tentative signs of recovery, has the sub-continent refractory sector has perhaps turned a corner?

I

ndian refractories output rebounded in the last 12 months, after three successive years of decline. Volume growth in refractories production in India was in positive figures for the first time in three years in the financial year ending March 31, 2019, with output rising to 1.2 million tonnes, a 9% increase on the previous year, making it one of the sector’s strongest years on record.

The data showed a welcome rebound for an industry that had been struggling against tough foreign competition and wider market pressures.

Buoyed by the turnaround, major domestic and international refractory producers operating in the country were optimistic about demand growth in the years ahead, led by an expected expansion in steelmaking and other refractoryconsuming sectors.

Dipankar Banerjee, marketing and technology director at Vesuvius India, said that although India has seen growth in non-ferrous, non-metallic and niche applications for refractories over the past decade, ferrous metal production continued to underpin India’s consumption of refractory materials.

“The iron and steel industry is our biggest market in India, but a few years ago we made a move into the country’s cement sector,” he said, adding that the company was “trying to enhance our presence in these markets, with a specific focus on new and state-of-the-art technologies.”

Market participants reported improvements in capacity utilization last year, albeit only by a few percentage points, which helped to raise profitability after several years of flat-to-weak utilization rates, which dragged margins down.

India’s refractory industry is served by around a dozen large-scale, 30 medium-sized and about 200 small-scale producers, so it continues to be crowded and competitive.

Despite India’s large and generally healthy steel market, which is the main consumer of refractories, the pricing power of Indian refractory producers is limited by the industry’s fragmented structure.

This is compounded by surplus capacity and competition from imported refractories, which offer an easy and often cost-effective option for many refractory consumers, due partly to the low import duties imposed by India’s government.

60

asianglass AG 19-6

Refractories manufacturers also complain of persistent problems with the availability of domestic raw materials, with relatively few refractory minerals produced in significant volumes in India.

This is one factor which, if it were addressed, many in the industry believe could revolutionize India’s refractories sector.

Major construction and infrastructure modernization activity is driving steel and cement demand in India.

Turning up demand

A revival in Indian steel production was the main driver of stronger refractories consumption in the country in 2018.

India replaced Japan as the world’s second-largest steel producer in 2018, registering crude steel output of 106.5 million tonnes, up by nearly 5% from the 101.5 million tonnes it produced in 2017, data from the World Steel Association (Worldsteel) showed.

In contrast, Japan produced 104.3 million tonnes in 2018, down by 0.3% from the year before.

After steel, India’s second-largest consumer of refractories is the cement sector, and it also grew strongly last year, by almost 70%, to 502 million tonnes in 2018-19 from 297.6 million tonnes in 2017-18. This new volume ranked India as the second-largest cement producer globally after China, with capacity expected to hit 550 million tonnes per year in 2020.

Competition from imports

India’s refractories imports in 2017-18 jumped by 40% to 25.3 billion rupees ($351 million*) from 18 billion rupees the year before.

Hakim Uddin Ali, a former chairman of Indian Refractory Makers Association (IRMA), said that the lack of domestic raw materials for Indian refractories companies was one of the main reasons for rising import volumes.

“Domestic refractory producers have to import raw materials,” he said. “Even finished refractory products are being imported because, at times, importing is cheaper than manufacturing in India.”

www.asianglass.com

SPECIAL REPORT

Indian refractory producers were highly dependent on imports of key raw materials such as high-grade alumina, bauxite, magnesite and silicon carbide, with the majority coming from China.

Kamal Sarda is chief executive officer of Kolkata-based IFGL Refractories, which has manufacturing facilities in Odisha state and various locations globally, including the UK, China, the United States and Germany. He said that his company imports close to 40% of its raw material needs from China.

“Raw material availability is not currently a challenge, but price fluctuations can be,” he said. “Prices have more or less stabilized, bar a couple of raw materials which have gone up and a few which have come down, so things are more or less the same.

Industry expansion

“VOLUME GROWTH WAS IN POSITIVE FIGURES FOR THE FIRST TIME IN THREE YEARS”

Responding to the gap in India’s refractory raw materials supply chain, some companies have moved in to capitalize on the opportunity.

In 2018, Germany’s Almatis, a world leader in alumina-based products, started constructing a new tabular alumina facility in Falta, West Bengal, to serve the Indian refractories market.

The company is betting on rising demand for tabular alumina in India a market for Indian refractories companies. because companies are increasingly opting for longer-life products, which use In the past five years, India has surpassed other large steelmaking countries premium alumina. such as the US, Russia and South Korea in terms of capacity and output. This Even more companies have moved in to take advantage of downstream growth has been partly facilitated by the expanding use of scrap-fed electric-arc opportunities, and the past two years have witnessed the largest ever expansion in furnaces (EAFs) in place of traditional basic oxygen furnaces (BOFs) which produce Indian refractories capacity. steel from iron ore and coking coal and other raw mineral inputs.

In May 2019, Dalmia Seven, a joint venture between the Dalmia Bharat Around 60% of India’s installed steelmaking capacity is electrical – meaning, Group and Slovenia-based Seven Refractories, began commercial production on EAF- or induction furnace (IF)-based, although output from these mills only makes a monolithics production line at its facility in Madhya Pradesh. up around 35-40% of the country’s total steel production due to utilization According to Dalmia Seven, the plant is the first of its kind in India, with a high problems and shortages of scrap steel. level of automation, which enables precision dosing of raw materials for efficient Globally, EAFs account for around 25% steel output and induction furnaces high-grade refractory production. about 28%, according to Worldsteel figures.

The plant takes Dalmia Seven’s refractories capacity in India to 45,000 tpy, India overtook South Korea as the world’s second-largest ferrous scrap importer making it a significant local market participant. in the first half of 2019, trade data showed, placing the country behind Turkey, the Sameer Nagpal, CEO of Dalmia Bharat’s refractory business, said that investing world’s leading scrap consumer and EAF operator. in state-of-the-art technology was an important statement for the company Indian scrap imports surged by 35% on-year to 3.9 million tonnes between while it seeks to capture an increasing share of India’s refractories market.

January and the end of June 2019, sourced mainly from the UAE, the UK and the “Our approach addresses the increasing demand for clean steel production US, while the country’s crude steel production for the period rose by 5% to 56.96 in India,” he said, pointing to government aspirations to reduce emissions from million tonnes, Worldsteel data showed.

Indian industry, while simultaneously ramping up infrastructure development.

Indian steel output was expected to increase by 7.1% year-on-year in 2019 In January 2019, Dalmia Bharat Group acquired the refractory business and by a similar amount next year, supported by higher government spending on of Germany’s GSB Group, a speciality refractory manufacturer, for €15 million infrastructure, robust manufacturing and rapid urbanization. ($16.7 million).

The country’s National Steel Policy, published in May 2017, has a target for Mark Runge, managing director of GSB, said that becoming part of an Indian domestic installed steel capacity of 300 million tpy by 2030, with EAF capacity company would enable it to bring German production standards to a receptive expected to make up the majority of this, although the exact proportion was and growing market. under discussion.

“We built the GSB Group with a vision to service its customers with world-class EAFs are favored by the Indian government because they are cheaper to build efficiencies and best-in-class talent. I am confident that, with the experience and and considered to be more efficient and less polluting than BOFs, although some legacy of Dalmia, we can take this vision to the next level,” he said. still favor the quality of steel which can be produced using traditional methods as Local companies were also investing in organic capacity growth. opposed to recycling scrap.

IFGL was in the process of setting up a new greenfield manufacturing facility In June this year, India published its draft Steel Scrap Policy intended to in Visakhapatnam in the eastern coastal state of Andhra Pradesh, and expanding promote scrap processing, to supply the projected shift toward EAF- and IF-based a manufacturing facility at the Kandla Special Economic Zone in the northwestern steelmaking, amid predictions of a widening shortage of domestic scrap supply. state of Gujarat.

Another major local market participant, Orient Refractories, expanded its installed capacity of isostatic Refractory production in India by type (tonnes) pressed products at its facility in Bhiwadi, Rajasthan, by Fireclay bricks High alumina Silica Basic Monlithics 2,400 tpy last year, to 11,700 tpy.

2014-15 265335 218710 49595 198715 318187 2015-16

235801

216917

45900

191875

329933

India’s steel industry consumes around 75% of the 2016-17 country’s domestic refractories output – 10% higher than the global average, illustrating the dominance of steel as 2017-18

229194

224115

45860

190020

324651

224937

215444

45990

189689

317419

Capacity growth

www.asianglass.com

AG 19-6 asianglass

61

SPECIAL REPORT

Table 1

Positive impacts

The drive toward increased EAF capacity has implications for India’s refractories industry.

According to Anirbandip Dasgupta, executive secretary at IRMA, the increase in EAF numbers will not significantly alter overall demand for refractories in the Indian steel industry, but the nature of the products required will change.

“The refractory needs for EAFs are slightly different from blast furnaces, but the overall the dynamics of the market should not change significantly,” he said.

RK Pradhan, senior manager at the refractory unit (IFICO) of Indian staterun steel producer Steel Authority of India Ltd (Sail), believes that increased EAF capacity will drive greater consumption of refractory products.

“Both refractory production and consumption in India will see a further boost, as a result of these smaller units,” he said.

IFICO is one of Sail’s four integrated refractory-producing units. Located at Ramgarh, in the state of Jharkhand, IFICO has an installed capacity of 42,000 tpy, producing alumino-silicate refractories and various other special products.

“EAF utilization in India’s steel industry is expected to rise to nearly 40% by 2030,” Arjun Jain, executive director of the Delhi-based Steel Furnace Industry Association of India, said.

“This will probably result in higher overall consumption of refractories by the domestic steel industry. Consumption of high value-added products in EAFs is far higher compared with conventional BOF-route steel production,” he added.

Jain said that changes in refractory demand would be driven more by the kind of steel Indian consumers want to use, rather than the methods employed to produce it.

The increasing preference for high-grade steels was generating more demand for better-quality refractory products, although this was being balanced to an extent by more efficient furnace designs which require fewer refractories for a given volume of steel.

“Total average consumption of refractories, in furnaces and secondary metallurgy vessels, depends significantly on the type of steel produced. Our experience is that, for carbon steels, approximately 12kg of refractory is needed for per tonne of steel produced,” Jain said.

“For high-grade steels, such as alloyed and stainless steels, refractory consumption is in the range of 22-32kg per tonne. Average refractory consumption in the furnace itself amounts to 8kg per tonne of this,” he added.

According to Sudipta Patra, senior executive with Jindal Stainless, a unit of India-based multinational Jindal Steel & Power, the development and use of high-performance EAFs in India will force shifts in the composition of refractory products required by steelmakers.

“There is a high degree of correlation between EAF life and the life of the furnace roof,” Patra says. “With the rapid expansion of EAF steelmaking in India, larger capacities and the increase of unit power, the working conditions of the furnace roof become more demanding, which has resulted in a drastic change in the kinds of refractories used in EAFs.” Patra explained that the roofs of EAFs typically use high-alumina bricks with aluminium oxide (Al2O3) content ranging between 75% and 85%.

“Compared with silica refractory bricks, alumina bricks have high refractoriness, better slag resistance, thermal shock resistance and high compressive strength. Also, the life of high-alumina bricks is two to three times that of silica bricks,” he added.

Given the lack of domestically produced refractory minerals supply in India, industry observers warned that this shift in demand was likely to drive an even greater reliance on imports, particularly for high-grade alumina from China, unless India’s government decided to link its steel policy to a more focused raw materials policy over the next decade.

62

asianglass AG 19-6

2014-15 2015-16 2016-17 2017-18 2018-19

10.7 10.6 10.9 11.9 15.9

Table 1 4.6 4.9 5.6 6.4 7.5

2014-15 2015-16 2016-17 2017-18 2018-19

Table 1 2014-15 2015-16 2016-17 2017-18 2018-19

1 2 2.1 1.8 1.8 2

1

www.asianglass.com

SPECIAL REPORT

Table 1

In March this year, the Indian government published its updated National Mineral Policy, pledging greater support for exploration and development of domestic mineral resources with the aim of reducing the need for imports, while at the same time proposing stricter regulation of India’s mining industry.

“Minerals are a major resource for the core sectors of the economy. There is a huge demand for minerals in view of the rapid urbanization and the projected growth in the manufacturing sector,” the policy stated.

“With the thrust on the Make in India initiative, the demand for minerals is likely to grow at a rapid pace. Extraction and management of minerals has to be guided by long-term national goals and perspectives, and integrated into the overall strategy of the country’s economic development,” it continued.

Some have expressed dismay about the general terms of the policy, and particularly its failure to highlight plans for specific mineral segments.

None of the core refractory minerals, such as alumina, magnesite or clays, were mentioned specifically, raising doubts that mining for these products will be made a priority in the foreseeable future.

TRL Krosaki Refractories

A subsidiary of Japan’s Krosaki Harima Corp (KHC), TRL Krosaki is the largest refractories producer in India.

It was established as Tata Refractories in 1958 as a joint venture between India’s largest steel producer, Tata Steel, and Germany’s Didier Werke, but the German partner exited in the 1960s.

In May 2011, Tata sold two-thirds (51%) of its majority stake in the company to KHC, followed by its remaining 27% share in 2018, giving KHC control of the business in India to add to its existing refractories operation in China, which mainly produces magnesite bricks.

TRL Krosaki has five manufacturing plants in India, at Belpahar (Orissa), Salem (Tamil Nadu), Jamshedpur (Jharkhand), Maya Pradesh and a site in Gujarat. Total installed capacity at the five plants is nearly 400,000 tonnes per year.

Besides producing refractory products for the steel, copper, cement, aluminium, glass, petrochemicals and other non-ferrous industries, TRL Krosaki offers refractory management and engineering services, is one of the largest manufacturers of dolomite refractories in the world, and is the leading global supplier of silica refractories for coke ovens and glass industries.

Table 1 2014-15 2015-16 2016-17 2017-18 2018-19

Vesuvius India

A subsidiary of UK-based Vesuvius plc, Vesuvius India currently operates four production facilities: at Kolkata in West Bengal, producing continuous casting refractories; Mehsana in Gujarat, making crucibles for the non-ferrous industry; and two at Visakhapatnam in Andhra Pradesh producing monolithics, along with a monolithics assembly facility at Salem.

The company is also contemplating further expansion in India to serve the country’s growing needs, and is evaluating the feasibility of a new manufacturing unit at Visakhapatnam.

www.asianglass.com

3.5 4.7 3.9 4.5 4.8

1

Orient Refractories

Established as Orient Abrasives in 1974, in 2010 this company underwent a demerger to spin out its refractories division into a separate business as Orient Refractories.

The leading global refractories manufacturer, Austria’s RHI, holds a 69.6% stake in Orient Refractories.

Orient’s manufacturing facility is located in Bhiwadi, south of Delhi, in Rajasthan, and is divided into three independent sub-divisions – one each for the production of slide gate plates, continuous casting refractories, and castables and pre-cast shapes.

The company has installed monthly capacity to produce 70,000 pieces of slide gate plate, 30,000 pieces of continuous casting refractories, and more than 2,000 tonnes of castables and mortars. It also has an allied plant in Salem, Tamil Nadu, which produces monolithics.

6.6 7.1 8.3 9.5 9.3

2014-15 2015-16 2016-17 2017-18 2018-19

Table 1 2014-15 2015-16 2016-17 2017-18

1.2 1.14 1.14 1.11

1

AG 19-6 asianglass

63

SPECIAL REPORT

In focus

BOTTLE JOBS

Chinese container glass in the firing line As the USA looks for its next trade target, it appears that industry groups State-side are seeing the opportunity to bring anti-dumping actions to the table thick and fast, with container glass makers in the Peoples’ Republic the next in the sights…

The American Glass Packaging Coalition (Petitioner), consisting of Anchor Glass Container Corp and Ardagh Glass Inc., has filed antidumping (AD) and countervailing duty (CVD) petitions against Certain Glass Containers from China.

Under U.S. trade laws, a domestic industry can petition the U.S. Department of Commerce (“DOC”) and U.S. International Trade Commission (“ITC”) to investigate whether imports are being sold to the United States at less than fair value (“dumping”) or benefit from unfair government subsidies. For AD/ CVD duties to be imposed, the U.S. government must determine that dumping or subsidization is occurring and that the subject imports are causing “material injury” or “threat of material injury” to the domestic industry.

This new AD/CVD petition targets glass containers (between 2 oz and 4 liters) used for beverages and other liquids or food materials (e.g, beer, wine, liquor/spirts bottles, non-alcoholic beverages, pasta sauce jars, other food containers).

Chinese glass containers are already subject to the Section 301 tariffs which currently are at 25%, but are scheduled to increase to 30% on October 1, 2019.

Petitioner, however, states that the tariffs have done little to stop the influx of unfairly priced Chinese glass container imports.

This filing is just another in a long line of anti-dumping/ countervailing duty cases being brought against Chinese products in an effort to increase the duties on those products when they enter the United States. The media is so focused on the US-China tariff wars, it has pretty much ignored the side wars being waged against Chinese products via the AD/CVD mechanism. These duties just keep coming and if and when the United States and China ever do reach a trade deal, these duties will likely be so prevalent and so high as to neutralize the economic

64

asianglass AG 19-6

effect of any such deal.

Truth is that with all the trade issues involving China and bipartisan antiChina sentiment prevalent in the United States, now seems to be a great time to bring such actions. The international trade lawyers at my firm mostly defend against antidumping and countervailing duty claims instead of bringing them — we represent mostly the overseas producers and exporters and the US-based importers — so I say this not to encourage more such actions, but as a simple statement of fact. If you are importing products from China, you need to assess and know the trade risks of your imports and to think about alternative sourcing.

It appears one of the chief US foreign policy goals is to drive business from China to countries like Mexico (note how quickly President Trump’s mini-tariff war with Mexico was resolved), the Ukraine, Vietnam, Thailand, the Philippines, Taiwan, and Indonesia, among others.

What this means big picture is that the price of products coming from China to the United States will continue rising and, as one of our China lawyers so often tells our clients: “you need to act accordingly.”

Investigative scope

The proposed scope definition in the petition identifies the merchandise to be covered by this AD/CVD investigation as follows: The merchandise covered by this investigation are certain glass containers with a nominal capacity of 0.059 liters (2.0 fluid ounces) to 4.0 liters (135.256 fluid ounces) and an opening or mouth with a nominal outer diameter of 14 millimeters to 120 millimeters. The scope includes glass jars, bottles, flasks and similar containers; with or without their closures; whether clear or colored; and with or without, design or functional enhancements (including, but not limited to, handles, embossing, labeling, or etching).

www.asianglass.com

25-26 FEBRUARY

Seoul, South Korea

GLASSMAN ASIA IS HEADING TO KOREA Glassman events are where the hollow glass

INTERNATIONAL EXHIBITION

industry does business. Join us in Korea and meet some of the most innovative companies shaping the future of glass manufacturing with solutions

2-DAY CONFERENCE

for energy efficiency, quality control, packaging, logistics and decoration.

NETWORKING EVENTS

Register for your free entry badge at www.GlassmanEvents.com/Asia

GET INVOLVED To view the latest floor plan and to find out who is already exhibiting contact our sales team EXHIBIT Ken Clark Sales Director +44 (0)1737 855117 kenclark@quartzltd.com

EXHBIT Manuel Martin Quereda International Sales Executive +44 (0)1737 855023 manuelm@quartzltd.com

SPEAK George Lewis Assistant Editor +44 (0)1737 855154 georgelewis@quartzltd.com

www.GlassmanEvents.com/Asia Join the Glassman Group

Organised by:

@glassmanevents BUSINESS MEDIA

ATTEND Hannah Blake Marketing Manager +44 (0)1737 855022 hannahblake@quartzltd.com

Official media partner:

SPECIAL REPORT

Excluded from the scope of the investigation are: (1) Glass containers made of borosilicate glass, meeting United States Pharmacopeia requirements for Type 1 pharmaceutical containers; (2) Glass containers produced by ‘free blown’ method or otherwise without the use of a mold (i.e., without ‘mold seems’, ‘joint marks’, or ‘parting lines ‘); and (3) Glass containers without a ‘finish’ (i.e., the section of a container at the opening including the lip and ring or collar, threaded or otherwise compatible with a type of closure , including but not limited to a lid, cap, or cork).

Glass containers subject to this investigation are specified within the Harmonized Tariff Schedule of the United States (HTSUS) under subheadings: 7010.90.5009, 7010.90.5019, 7010.90.5029, 7010.90.5039, 7010.90.5049, 7010.90.5055, 7010.90.5005, 7010.90.5015, 7010.90.5025, 7010.90.5035, 7010.90.5045.

The HTSUS subheadings are provided for convenience and customs purposes only. The written description of the scope of the investigations is dispositive.

Alleged AD Margins

Petitioner calculated estimated dumping margins ranging between 264.13% and 818.57%.

Named exporters

Petitioner included a list of companies that it believes are producers and exporters of the subject merchandise.

Named importers

Petitioner included a list of companies that it believes are U.S. importers of the subject merchandise.

Ongoing schedule

• November 9, 2019 – ITC preliminary determination • February 22, 2020 – DOC CVD preliminary determination (assuming extended deadline) (12/19/19 – unextended) • April 22, 2020 – DOC AD preliminary determination (assuming extended deadline) (3/3/20 – unextended) • September 4, 2020 – DOC final determination (extended and AD/CVD aligned) • October 19, 2020 – ITC final determination (extended) • October 26, 2020 – DOC AD/CVD orders issued (extended)

Statement by the GPI

The Glass Packaging Institute testified and provided

66

asianglass AG 19-6

written comments in support of tariffs on Chinese glass containers imported into the United States. The request covered glass bottles and jars for the food, beverage and cosmetics industries. They were filed in response to the Office of the United States Trade Representative’s (USTR) request for comments on the proposed Section 301 tariffs.

The GPI’s comments highlighted the Chinese government’s export-oriented industrial trade policies, and their adverse impact on the U.S. glass container manufacturing industry.

In the U.S., the glass container industry supports a highly-skilled hourly workforce at 43 plants. Domestic glass container manufacturing companies also spend considerable capital to ensure compliance with air quality and other U.S. regulations.

Given the longstanding and growing imbalance, the Sec. 301 investigation by the USTR on Chinese glass container imports, and subsequent imposition of tariffs, was warranted.

Q: Is there sufficient supply to meet customer demand, now that tariffs have been imposed?

A: Tariffs on Chinese glass containers will help level the playing field for domestic glass container manufacturers. U.S. customers should not be significantly impacted by the tariffs since there is domestic latent capacity, and glass containers are imported into the U.S. from other countries in addition to China.

Q: Will the tariffs increase the amount of glass containers produced in the U.S., or result in the opening of new plants?

A: We are optimistic the tariffs may expand production of glass containers. The domestic glass container manufacturing companies will adjust production levels based upon customer demand. Opening of new, or restarting of closed plants, is at the discretion of the manufacturing companies.

Considerable evidence exists that Chinese glass container manufacturers have been supported for decades by various government subsidies that lower the cost of their production.

Q: Clearly, U.S. food and beverage companies are purchasing Chinese glass containers. Will the tariffs make them more likely to buy containers manufactured domestically?

A: Potentially. Many food, beverage and cosmetic containers head into ports for distribution throughout the U.S. An added cost for Chinese glass containers may help level the playing field, as domestic glass container plants contend with regulatory and in-state manufacturing costs not experienced in China, as well as tariffs imposed on domestic manufacturers for their product inputs, for example, glass moulds and machinery.

www.asianglass.com

SPECIAL REPORT

Q: What has been the impact of Chinese import practices on domestic glass container manufacturers?

A: It has added to the volume of Chinese glass containers in the U.S. by 40 percent over the past five years, while domestic glass container manufacturing plants saw a decrease in shipments of 8 percent in that same timeframe.

Last year, China accounted for roughly half of all empty, unfilled glass containers imported into the U.S. The U.S. is the largest export market for Chinese glass containers.

The U.S. glass container manufacturing industry has had 11 glass container manufacturing plants close from 2005 to 2018. These closures represent 20.3% of the domestic glass container footprint, leaving 43 plants in 21 states.

Q: How much of the decline in domestic glass container production can be attributed to customers switching packaging (plastic for food, aseptic for wine and juice, aluminum for beer, etc.)?

A: While competitive packaging may play a role in reduced domestic glass container shipments to customers, “apparent domestic consumption” (the total amount of glass containers consumers are purchasing, including imports of glass containers and domestic shipments) is only down 3% over the past five years. In fact, imports are

now so prevalent that from 2016 to 2017, the “apparent domestic consumption” of glass containers for all categories actually increased 1 percent!

Q: Is GPI concerned about retaliatory actions that may be taken by China in response to this inquiry and effort?

A: GPI is keenly aware of glass customer sensitives surrounding potential retaliatory efforts and has considered those implications prior to our Sec. 301 request. GPI believes the Sec. 301 investigation and tariffs were warranted and based in fact. While many of our companies have a global operational footprint, GPI represents the North American glass container manufacturing industry and the Sec. 301 request was initiated on behalf of our industry with those operations in mind.

Q: How have Chinese imports impacted domestic glass container employment?

A: Since 2005, 11 U.S. glass container plants have closed, which collectively employed over 3,650 Americans. This represents roughly 25.4 percent of the industry’s current hourly workforce of 14,350. Chinese glass container imports have placed additional pressure on domestic glass container production.

Exporters under investigation (1)

Exporters under investigation (2)

An Hua Imports And Exports Anhui Longrui Glass Asia Trade Connection Built In China Cangzhou Roter Faden Glass Products Changyu Glass Choicestinternational East Asia Glass Limited Fengyang Hua Zhong Glass Fujian Huaxing Glass Guangdong Huaxing Glassco., Ltd Guangzhou Idealpak Business Hai Men Sanlong Glass Products Happyann Crafts Hebei Anyu Glass Products Co., Ltd. Hebei Zhenqi Glass Products Co., Ltd. Huazhong Glass Co., Ltd (Changxing) Lboya Glass Jiangmen Zhong An Import And Export Jining Baolin Glass Product Co.,Ltd Kiscotrading Shanghai Lianyungang Chinam Extrade Linlang(Shanghai) Glass Products Co., Ltd. New Westgate Glass Packaging Ningbo Vifa International Trade Co. Photo Usa Electronicgraphc Qingdao Auro Pack Qingdao Gemmy Import And Export Qingdao Jutai International Trade Co Rockwood & Hines (Jiaxing) Co. Ltd. Sgs Bottle Shandong Dingxing Electricglassgroup Co Ltd Shandong Excellight Industrial Products Co 168 Minxiang Rd High Shandong Huapeng Glass Shandong Mounttai Sheng Li Yuan Gla Shandong Qingguo Foods Shandong Wensheng Glass Technology Co., Ltd. Shandong Yuncheng Ruisheng Glass Co., Ltd Shanghai Misa Glass Co.,Ltd Shanghai Vista Packaging

Sichuan Yibin Global Group Sshandong Hongda Glassware Co., Ltd. Suzhou Yun Bo Glass Unipack Glass Value Chain Glass Ltd. (Vcg) Wheaton Glass Wuhan Vanjoin Packaging Co., Ltd. Wuhu An Hua Glass Wuxi Huazhong Glass Xiamen Cheer Imp & Exp Co., Xuzhou Brotherway Glass Products Xuzhou Brotherway Glass Products Co., Ltd. Xuzhou Dahua Glass Products Co., Ltd Xuzhou Fangbao Glassware Xuzhou Huajing Glass Products Xuzhou Huihe International Trade Co., Ltd Xuzhou Livlong Glassproducts Co., Ltd Xuzhou Prettyglassproducts Xuzhou Wan Xuan Import And Export Xuzhou Yanjia Glassware Yamamura Glassqinhuangdao Yantai Nbc Glass Packaging Co., Ltd York Asia Yuncheng Jinpeng Glass Co., Ltd Zhejiang Industrial Minerals Foreign Trade Co Ltd Zibo Cy International Trade Co., Ltd. Zibo Fecund Trading Co. Ltd Zibo Fortune trading Co. Ltd Zibo Grandeur Trading Co. Ltd Zibo Hicheon Homeware Zibo Intrue Light Company Zibo Regal Glassware Zibo Rongdian Glass Co.,Ltd Zibo Truely Light Industrial Products Zibo Zhaohai Light Industrial

www.asianglass.com

AG 19-6 asianglass

67

Window on

SOUTH KOREA Table 1 2015 2016 2017 2018

Table 1 42,054,062 43,302,286 33,085,491 21,098,337

Total float glass exports (sq metres)

2015 2016 2017 2018

44,496,149 34,000,292 33,714,221 39,355,791

Total float glass imports (sq metres)

Table 1 Table 1 China Other Asia, nes Japan China, Hong Kong SAR Mexico USA

15,671,395 1,921,940 1,837,774 1,535,433 58,523 43,990

Leading float glass export destinations (sq metres)

China Malaysia Japan Other Asia, nes Thailand Indonesia USA Philippines Germany UAE

15,161,083 13,510,787 1,687,317 3,519,775 1,918,376 1,735,934 546,773 490,854 298,655 217,494

Leading float glass import sources (sq metres)

Other Asia, nes China, Hong Kong SAR

1

1

68

asianglass AG 19-6

www.asianglass.com

Table 1

Table 1 2015 2016 2017 2018

2015 2016 2017 2018

21,546,985 19,113,959 23,835,938 37,101,684

Total container glass exports (Kg)

40,484,085 84,230,541 29,493,323 26,639,852

Total container glass imports (Kg)

Table 1 World USA Australia Japan United Kingdom China Indonesia Viet Nam Canada

Table 1

37,101,684 24,452,963 6,074,203 491,562 610,534 253,890 1,208,849 640,304 1,457,332

Leading float glass export destinations (Kg)

China Japan Germany France Italy USA Other Asia, nes

20,756,512 1,501,069 1,452,315 889,861 895,907 162,887 691,109

Leading float glass import sources (Kg)

1 Table 1

Table 1 2015 2016 2017 2018

1

2015 2016 2017 2018

10,819,225 14,383,639 13,060,941 11,752,073

Total safety glass exports (Kg)

1

158,649,366 200,600,755 252,391,237 294,522,678

Total safety glass imports (Kg)

1

ADVERTISER FEATURE

Glass recycling – Potential for Indian Glass Manufacturers Bernd Baunach, Area Sales Manager, EME GmbH, Erkelenz, Germany With almost 100 years of experience, EME provides tailor-made solutions for batch and cullet handling in accordance with customer’s needs and transfers unique process and technology know-how into state of the art plants for the glass industry. As a result of increasing demands and requests from our key customers to be involved as a strategic partner in glass recycling and sorting projects in the Asian market, EME is currently very active in this market. EME incorporates its expert knowledge and experience of batch and cullet processes and conditions into the cullet recycling concepts with special attention on reliable quality management as well as minimizing the environmental impact of spillage and dust emissions.

Potentials and challenges for Indian glass producers The use of additional cullet from internal or internal and foreign sources has various benefits for glass manufacturers. For example, 10 % cullet addition results in approx. 2,5 % energy savings in the furnace, 10 % cullet addition reduces approx. 4 % NOx, Six tons of recycled glass reduces approx. one ton of CO2 emission, Lower amount of raw material consumption results in less spillage/less cost, and even more advantages. Due to these factors many European producers already use up to 80 % cullet in their furnaces. The specification of the input quality of the available cullet is of upmost importance to design and configure a tailor-made glass recycling plant.

Potential contaminations can be bulk waste, organics, plastics, ferrous and non-ferrous metals, CSP (ceramic-stone-porcelain), lead crystal glass, heat resistant glass, opal glass and off-colours. The contamination levels have to be specified in g/to or ppm, as well as the grain size distribution. One of the main challenges for the Indian market is to configure the recycling plant to allow for varying input qualities. EME is additionally capable to evaluate cullet impurity levels at its test facility in Germany.

MRF glass – materials

Redemption glass - materials

Glass recycling concepts and technologies EME offers equipment for all steps of the cullet treatment process, including cullet preparation (handpicking, crushing, screening, drying), contamination removal (organic separators, ferrous separators, nonferrous separators, CSP-sorters, heat-resistant and lead glass sorters), color sorting (flint-amber-green-other), fines processing through cullet pulverization technology.

70

asianglass AG 19-6

All projects are designed and engineered in accordance with individual customer needs. The following machinery and equipment may be included in a glass recycling plant: • Manual sorters for bulk waste removal • Screens (e.g. bar screens, linear screens, flip-flow screens • Crushers • Organic separators • Dryers • De-labelers • Magnetic separators for ferrous metals (e.g. overbelt magnets, magnetic drum separators) • Eddy current separators for non-magnetic metals • Optical sorters (e.g. 2-way or 3-way sorters; horizontal version with belt conveyor or vertical version with chute) for CSP and off colors - for color sorting (flint-green-amber) • Suction and filter system for dust, dryers and organics In addition to standard offsite solutions, EME has specialized concepts for inline glass recycling plants that are integrated into the batch house process. These inline solutions have various advantages, primarily a higher quality can be achieved due to the elimination of additional contamination from external sources as well as reduced fines generation due to reduced cullet handling. Additionally, with direct integration and connection into the batch house and its control system, savings can be generated through shared operators, combined maintenance and cleaning Cullet transport routines and common spare parts.

EME capabilities for Indian customers to implement a tailor made cullet recycling system EME incorporates its expert knowledge and experience of batch and cullet processes and conditions into the cullet recycling concepts which will lead to a successful project. concept development according customer needs, engineering for general layout and project management, design and manufacturing drawings for supporting steel structure for local manufacturing, delivery of key equipment, selection of sub-suppliers for special equipment like sensor based sorting equipment, electrical control, project management for local sub-suppliers, installation etc. EME is your perfect partner for tailor-made solutions for your glass recycling and sorting project.

www.asianglass.com

Asian Glass Editorial & Distribution Schedule

A wealth of exciting opportunities… ✷ ON-PAGE: full and half display advertising

✷ DIGITAL: full and half display advertising…and more! ✷ DUMMY COVERS: the ultimate, high impact creative… take ownership of the issue ✷ BELLY-WRAPS: high profile, hard-hitting message conveyance

AG19-6

FINAL

ISSUE

●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●

OF 201 Vietnam: a country in focus 9 !!

Asia: the business of recycling China: an auto glass investor Asian ultrathin: movers and shakers SEE US AT: Architectural Glass Ukraine; Baku Glass 2019; FREE WITH THIS ISSUE - THE 2020 YEARPLANNER! ■ ■ ■ ■

AG20-1

●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●

Façade recycling and re-use Turkey: a country in focus Fenestraton trends: a window for today?

Make-up your mind: cosmetic packaging trends Safety glass standards: matching requirements EVENTS: Glassman Asia, PV Japan, Eurasia Glass, Door & Window China, Glass Middle East, Egypt ■ ■ ■ ■ ■

AG20-2

●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●

Packaging: profiles and penetration ASEAN float glass supply dynamics Safety glass on the sub-continent Bonding and binding: silicones in Japan Southern China glass facades EVENTS: China Glass, Mir Stekla ■ ■ ■ ■ ■

AG20-3

●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●

Glass façade inspection Keeping up appearances: container glass decoration Bangladesh: a market in focus Ultrathin glass: supply/demand dynamics Solar futures: an ASEAN approach to BIPV EVENTS: Intersolar Europe, Glassman Latin America, Glassbuild America, SNEC ■ ■ ■ ■ ■

AG20 -4

●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●

■ ■ ■ ■ ■

Automotive glass in the Middle East Container glass: a new corporate landscape Energy efficient glazing: a future hope?

Putting the fizz back: beverage packaging trends PLUS: Adaptive facades using thin glass

EVENTS: Glasstec, World Soda Ash

AG20 -5

●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●

Container glass production costs Indonesia: benders and shapers Future glass for a modern Asia Thin glass in façade construction Chinese auto glass markets EVENTS: ZAK Glasstech, Glasstech Asia ■ ■ ■ ■ ■

AG20 -6

FREE IN SIDE The AG Y e a r p la n n e

●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●●

r!

Thailand: a glass industry in focus State of the Art: the perfect Asian container factory Vacuum insulated glass: an outlook Scale of the problem: thin glass upgrades Float futures for China EVENTS: Architectural Glass Ukraine, PV Japan '21 ■ ■ ■ ■ ■

FREE INSIDE: YOUR 2021 YEAR PLANNER

Ma xi mise you r exposu re, ma xi mise you r bu dget… find out how by contacting: Paul Russell, Tel: +44 (0) 208 638 0619 Email: prussell@asianglass.com

Valerie Adamson, Tel: + 44 (0) 208 133 5273 Email: vadamson@asianglass.com

www.asianglasss.com

www.asianglass.com

Anaylsis

Refractory Zone AZS fused cast, a living material that changes properties in yourglass furnaces…

SLUGIn his final despatch of 2019, P Carlo Ratto discusses how fused cast refractories remain a game changer for the glass refractory sector…

With the exception of very few glass specialties, there is no primary glass manufacturing activity that does not utilize AZS fused cast refractories as the main component of the fusion tank in glass contact (tank sidewalls and bottom), in several cases also in superstructure and, more rarely, in the crown. Sometimes AZS refractories are also installed in furnaces working end,distributors and, less frequently, channels. These refractory specialties have been utilized, with an increasing frequency, for now almost a century, yet still some of their peculiar characteristics, arenot completely comprehended and considered, when it comes to understand some specific behavior in exercise.

The assumption to consider and manage the AZS fused cast refractories like just another kind of refractory is the common mistake leading to disregard specific behaviors and potentially to generate situation of danger or triggering events with negative impact on glass quality or/ and refractory life expectancy. To begin with, in spite of being common knowledge, we must stress the fact that all “fused cast” refractories are, with a fundamental difference with all other “sinter” refractories, produced by fusion of pure refractory oxides/silicates to the point to produce a relatively fluid liquid at extremely high temperatures, to pour this liquid into moulds and let this liquid undergo a controlled cooling process including precipitation of crystalline phases and solidification of amorphous component (glassy phase), remaining like an intercrystalline binder.

Cooler is better

The lower temperature range of the cooling process, the improperly called “annealing process” is devoted to release of thermomechanical stress within the solid mass, due to differential thermo-expansive behavior of all the different crystalline and amorphous components. In the specific case of AZS composition, the situation is particularly complexsince the crystalline components (Corundum, Baddeleyite and a pseudo eutecticco-precipitation between the two) have large expansion differences, Baddeleyite has a major reversible phase transition during cooling (with an impressive expansion behavior) and the glassy phase, a particularly hard type of silicate glass, must accommodate for all the

72

asianglass AG 19-6

mentioned dilatations and contractions and eventually release enough stress to prevent breakage at low temperature, when the material exhibits a fragile behavior. Add to this the fact that the controlled cooling process is not at all happening in a thermally homogeneous body, but rather in a block with a relatively intense thermal field (the block is losing energy from faces while the core is much hotter), with chemical and structural inhomogeneity (the crystallization s selective and crystal size depends on different nucleation and crystal growth), and with the formation of a shrinkage cavity due to the difference of density between liquid and solid. All these considerations, and much more, are making evident how huge is the difference between fused cast refractories and sinter refractories (e.g. bricks, blocks) that are macroscopically homogeneous bodies (composition, crystalline components), fired with a thermal cycle that consents an almost complete thermal homogeneity; if the cooking happens at temperature higher than the exercise, then, we can assume that these sinter bodies are thermally stable in application.

A few issues…

If you believe that, considering the very nature of AZS fused cast refractories, this is already bad enough (and yet they are by far the best performing refractory in glass fusion tanks!), then one more consideration, not always well understood, must be stressed: it is all about equilibrium. AZS fused cast bodies are not at all the result of an extremely slow cooling process, where ideally infinitesimal steps of equilibrium follow each other in a thermally homogeneous body. On the contrary it is about an industrially feasible manufacturing process, where the cooling time is just enough slow to prevent cracking subsequent to the accumulation of thermo-mechanical stress. The actual overall chemical, physical and structural composition of a given AZS fused cast block is in fact different to what it could be under equilibrated conditions of cooling, and even if the same components were utilized to produce a sinter body pressed and fired under the temperature of fusion.

This is a fundamental concept, and the next step is to consider what inevitably will happen when such an inhomogeneous and non-

P. Carlo Ratto

equilibrated body is exposed to the exercise conditions in a glass fusion tank: not mentioning the exposure to chemical attack in glass contact and superstructure (classic phenomena acting against any type of refractories), we will briefly focus on the “simple” effect of a new thermal field on the AZS fused cast blocks that are installed in any zone of a glass fusion tank and, for the sake of further simplification, we will hereinafter refer to a superstructure application.

Now, any given superstructure block is going to be exposed to a thermal field between the “hot face” experiencing the highest furnace temperature (up to1550-1600°C) and its cold face whose temperature depends on the level of insulation of the specific furnace. The average temperature to which the refractory is exposed is obviously well under its overall fusion point, but not for all its component; the glassy phase in fact has typically a glass transition temperature not higher than 850°C and is therefore in a viscous glass status, allowing diffusion of elements and reallocation of crystalline structures and gases, in other words, to let the material reach different chemical and physical equilibriums, even independently from chemical aggressions involving the role of extraneous chemical species.

Without going in complicated details, we hereby consider, on a qualitative level, the main effects that are to be expected as a pure consequence of the thermal field to which a superstructure block is exposed when in exercise, to be interpreted in terms of its tendency to reach new and different conditions of equilibrium:

www.asianglass.com

Anaylsis

Exudation

This is one of the most investigated peculiar behavior of AZS fused cast refractories, visibly evident in superstructure (but not inexistent at glass contact!) and often considered one major potential source of glass defects when the “exudate” contaminates the manufactured glass. This phenomenon comes evident immediately at the first heat up of a new superstructure, in the form of a shining liquid film, partially dripping, at the surface of the AZS blocks.

It is surely related to the glassy phase of the refractory and is strongly dependent to temperature and intrinsic chemistry of the refractory; it is reproducible in laboratory at the exercise temperature and therefore does not depend on the peculiar furnace conditions (batch carry over, alkali vapors and more).

Simple start, major problem?

The origin of exudation is multiple, related to a change of redox condition of the refractory that generates gases within the glassy phase (e.g. combustion f reduced impurities) and to the emission of oxygen when, as a consequence of thermal cycling, the equilibriums of multivalent ions (Fe, Ti) change and molecular O2 is produced within the glassy phase with a mechanism not different from the chemical refining of a glass. When gases are produced within the glassy phase of the AZS refractories at high temperature (when therefore the glassy phase is relatively fluid), then a liquid phase is appearing extruded at the hot face of blocks and potentially dripping into the glass; the composition of such liquid phase is close to that ofthe refractory’s glassy phase, contaminated by some small crystal (e.g.Baddeleyite) stripped out mechanically by the liquid.

The exudate is then interacting with the furnace atmosphere, being contaminated by specific vapors that can enhance the amount of this liquid phase, change its composition and rheological behavior.

The “exudation” has at least two major consequences on the structure and chemistry/crystallography of the refractory, much less investigated than its cause, but very important to be understood when for any reason, AZS fused cast refractories being or having been in exercise are analyzed in the actual chemical, crystallographic and structural properties. These consequences are hereby considered.

Porosity:

An AZS fused cast refractory is to be

www.asianglass.com

imagined like a crystalline body with a glassy phase filling the spaces between crystals; now, when part of this liquid phase is extruded out by the above mentioned mechanisms, it is clear that an equivalent space is left behind as open porosity, temporarily filled by the propelling gases that are responsible for the exudation. The situation is complicated by the thermal field to which the refractory block is exposed, by the fact that the hottest portion (hot face) of the block will undergo exudation and that the generated porosity in the hottest portion is being re-filled by the exudate that eventually will be produced by the “colder” portion behind when it will reach high enough temperature. Due to these phenomena the generated open porosity will be not equal in the different zones of a block in exercise and its distribution will be consequence of the thermal history of the block, and particularly the peak temperature, its evolution in the time, the total time of exercise and the degree of insulation determining the thermal field.

In general, it is to be stressed that a typical superstructure block (fused cast AZS) after exercise in a furnace will exhibit a greatly increased level of open porosity, that is almost inexistent in a virgin block, and that its distribution and entity within the used block will tell a lot about the thermal history of the blocki tself.

Mullitization

By definition, mullitization is the neoformation of Mullite (3Al2O3·2SiO2) as a consequence of reaction between alumina and silica or thermal evolution of aluminosilicates, typically at temperatures above 1400°C.AZS fused cast refractories indeed include, in their chemical composition, alumina and silica. However, as a consequence of its manufacturing process (relatively fast solidification from an artificial magma) and of the presence of sodium in the liquid composition (between 1 and 2%), a virgin refractory properly manufactured will not contain Mullite, since alumina will be mostly present in form of alpha Corundum and all silica will be in the residual glassy phase that, as said, is a hard type of sodium silicate glass, saturated by alumina and zirconia and including most of the other impurities.

But, as a consequence of the thermal history in exercise, and the exudation phenomenon, the situation will undergo a major change. The initial extrusion of glassy phase will in fact impoverish the refractory of its sodium silicate phase and increase the acidity of the

“AZS fused cast bodies are not at all the result of an extremely slow cooling process”

environment, making it possible for the remaining silica (under permanence at temperatures w e l l over1400°C) to react with the alumina with formation of Mullite within the glassy phase, and progressive dissolution of alpha Corundum into the liquid phase, to maintain its alumina saturation.

The mullitization process will therefore “precipitate” some of the silica in crystalline form and change the overall composition of the liquid phase, in case of continued exudation. On the long term, in a real exercise environment, further alterations of the chemical and crystallographic composition of these refractories in exercise will come as consequence of migration of foreign components coming from the furnace atmosphere, under osmotic pressure and other diffusion mechanisms. But, after laboratory investigations, we can say that mullitization is indeed another major change of an AZS fused cast refractory simply exposed to a thermal field at temperatures in the range of those industrially adopted in glassmaking activities.

As said for the porosity appearance, also mullitization does not occur evenly in a block in exercise, but on the contrary its distribution in a thermal field will be connected to the thermal history of the block itself.

A gamut of change

Exudation, Porosity, Mullitization, three major changes that AZS fused cast refractories are undergoing, simply under thermal stress in the range of operational temperatures, as a consequence of the attainment of different points of equilibriums after their peculiar manufacturing process. Utilizers of these very particular materials (that still represent the best performing refractories in most applications) must cope with the fact that they are dealing with somehow “alive bodies”, that change several properties, composition and structure all along the furnace campaign and that, in case of post-mortem process analysis, it will be extremely difficult to infer any reliable information about the original characteristics of the virgin material.

AG 19-6

asianglass

73

ADVERTISER FEATURE

HEGLA extends capacity for high-tech products “made in Kretzschau”

View of the new building from the main entrance of HEGLA Maschinenbau GmbH & Co. KG.

new production hall, which is located directly adjacent to the existing facility on Industriering. HEGLA succeeded in acquiring no less than 6.200 m² of additional ground space to construct the facility, offering new capacity for the company’s mechanical engineering projects and the production of Halle/Saale-based HEGLA boraident’s systems. “The construction of yet another production hall represents a crucial milestone in the ongoing development of our facility in Kretzschau. Our employees in particular can be proud of the positive developments we are seeing on site,” explains Bernhard Hötger, Managing Director of HEGLA Maschinenbau.

From manual steel construction to high-tech “made in Kretzschau” products

Plot for the new building: A production hall spanning around 3.200 m² is being constructed directly adjacent to the existing HEGLA Maschinenbau facility in Kretzschau.

The HEGLA Group is once again investing in its Kretzschau site and developing its production space. The topping-out ceremony for the new HEGLA Maschinenbau GmbH & Co. KG building in Kretzschau took place on 29 August 2019. Around 70 employees took part in a lively event to celebrate the inauguration of the

74

asianglass AG 19-6

Since the independent HEGLA subsidiary was founded at its former site in Droßdorf back in 1990, HEGLA Maschinenbau – now based in Kretzschau – has developed into a competence centre for PVCU storage and become an autonomous and crucial member of the HEGLA Group as a Rapidstore production facility for glass storage and loading. “In the past, our subsidiary in Kretzschau was primarily renowned for its manual steel construction products, whereas today it is home to increasingly technically complex machinery and systems, which means we are now exporting our unique products to virtually every country around the world,” explains Managing Director Bernhard Hötger.

www.asianglass.com

ADVERTISER FEATURE

The scaffolding for the new construction was set up within just a few months. The project is set for completion in the first quarter of 2020.

As the site continued to grow in significance, it was expanded from around 3300 m² to 4500 m² back in 2008. “The national – and international – recognition we now enjoy can primarily be attributed to the exceptional commitment of our employees at the site. We are now on the lookout for new skilled workers to continue with our successful growth and plan to welcome 30 new employees to our team when we open the new facility.”

The topping-out wreath was hung up on 29/08/2019.

Strengthening the economy in the Zeitz region

HEGLA Maschinenbau is one of the largest industrial companies in the Burgenlandkreis region of Saxony-Anhalt. While the region around Zeitz was once renowned for being a real hub for commercial activity, only a few companies remained in operation after Germany reunified. “It is in light of this in particular that it is so important for us to drive the surrounding economy and strengthen the innovative strength of our company further still,” explains Bernhard Hötger. “Our new facility demonstrates that we are truly committed to our site in Kretzschau. I am delighted that this will allow us to safeguard both jobs and training opportunities within the region going forward. We also owe a huge thank you to Ms Anemone Just as mayor of the DroyßigerZeitzer Forst collective municipality for her extensive and unwavering support in favour of our construction project. The completion of the new building and the ceremonial inauguration is set for the first quarter of 2020.

www.asianglass.com

The topping-out ceremony was an exciting occasion for the employees.

AG 19-6 asianglass

75

In the next issue...

AG20-1 Features include

• • • •

Façade recycling and re-use Turkey: a country in focus Fenestraton trends: a window for today?

Make-up your mind: cosmetic packaging trends

ss.com w.asiangla line at ww n o e b ri sc sub own copy?

Is this your AG20-!

Is this

your o wn

copy? subscr ibe on line at www.a siangla ss.com AG20-!

SEE US

GLASS

SEE US AT:

GLASS E MIDDL

EAST

AT:

MIDDL EAST E See us at

Inside : Faça

GLASSMAN

Se e u s at GLA SSM de rec AN ycling Turkey MID DLE : a E A ST ycling Fenest country in f Façade rec focus ocus ration in y tr n u co t re Cosme Turkey: a tic pac nds n trends o k ti a a G L A S SM A N tr s e n Fe PLUcSh! more! ging ckaging a p N c A ti e u M m n s m ews, vi Co SS d much, GwsL, A ews, an analysis an alysis ie v , s w e n PLUS! much, AanSdIA much m EAST

Inside:

MIDDLE EAST

Se e u s at

AG Co

vers_CU

d 1

CURRENT.ind

AG Covers_

MIDDLE

RREN

T.indd

1

13/12/2019

Se e u s at

13:36

ore!

13/12/20

19 13 :36

PLUS: news, views, analysis and much, much more!

CAN YOU AFFORD TO MISS OUT?

CONTACT US TO SUBSCRIBE TODAY, OR USE THE FORM IN THIS ISSUE:

T: + 44 (0) 208 123 0839 E: enquiries@asianglass.com

www.asianglass.com

Et voilĂ !

Your inspection machine is now equipped with NEO Intelligence.

NEO intelligence inside

Packed with innovations, NEO Intelligence propels your inspection machine into the 4.0 era. Your EVOLUTION machine is now intelligent and connected. Defect recognition, easy settings, hot end alerts and trend analysis are all new features from which your production can beneďŹ t.

All existing IRIS machines can be upgraded with NEO Intelligence.

Contact us to upgrade your machine.