Rubber Journal Asia Technology News
Bridgestone to farm guayule in Arizona
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apanese firm Bridgestone has identified Arizona in the US to locate its guayule research farm. The 281-acre agricultural site in Eloy will include a multi-purpose office/laboratory building, greenhouses and a farming operation to develop guayule as a commercially viable source of natural rubber, as an alternative to the Hevea tree. Moreover, it will supply guayule to the company’s 32-staff process centre located in nearby Mesa City. The ground breaking is anticipated late this year or early 2013 and operations will start up in 2014. Collaborating in this project are Bridgestone Americas Tyre Operations (BATO), which has undertaken the selection of the site leveraging on the technical expertise of its US research centre, and the Akron Technical Centre as well as the parent company that will provide the funding and strategic inputs.
Bridgestone’s latest project is a guayule farm in Arizona
Keyuan starts up second SBS line
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hina-based petrochemical supplier Keyuan Petrochemicals has commenced production of its second 70,000-tonne/
year line for styrenebutadiene styrene (SBS). The new facility, which was completed in September 2011, had undergone trial productions, including various technique tests spanning several months for its first production line with commercial production kicking off in January this year. By June 2012, this production line has produced 13,049 tonnes of SBS. The current price of SBS is US$3,175/tonne in China.
The firm says that an estimated 14 million healthcare workers in the US alone will be benefiting from the new antimicrobial rubber bands.
Russian/Indian jv started up
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joint venture between Indian firm Reliance Industries and Russian petrochemical company Sibur has started its operations in Mumbai, India, focusing on constructing a 100,000-tonne/year butyl rubber facility in Jamnagar. Sibur owns 25.1% and Reliance 74.9% of the new business known as Reliance Sibur Elastomers. The deal was announced in February this year. A license agreement was also signed wherein Sibur’s proprietary butyl rubber technology will be used at the new plant. The venture, which will widen Sibur’s geographic reach into India and Southeast Asia, will be looking into the petrochemical products market in the region as well as support business development, working alongside Indian partners. It will also oversee Sibur’s employees who will be coming to India for installations and start-up work at the new plant.
Latex-free rubber bands
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S-based rubber band manufacturer Alliance Rubber Company has introduced what it says are the world’s first latexfree anti-microbial rubber bands in response to the global call for safety against exposure to fungi and other hazardous organisms.
Latex-free anti-microbial rubber bands
Recent reports from the Occupational Safety and Health Administration (OSHA) showed that increasing exposure to mould and other microbes can cause a variety of health risks. And while latex products are effective barriers against transmission of a host of infectious diseases, their usage could also result in allergic reactions, especially to healthcare workers who are in the forefront of the symptoms.
Roll-up rubber door
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S-based Rytec Corporation has launched industrial rubber doors made from engineered styrene butadiene rubber (SBR) that are said to be virtually indestructible. The Powerhouse rollup rubber door, which
is made from the same durable materials used to manufacture tyres, is able to withstand the rigours of everyday heavy use as well as constant exposure to external elements, thus earning it the reputation of being the world’s first maintenance-free door, says Rytec. The patent-pending design, which features Dual-Sync drives with two motors providing the power necessary for rapid access and minimal interior exposure, is speed, wind and pressure-resistant. And unlike conventional metal doors, its single-push button feature can release and restore the door’s operation.
The roll-up rubber door is said to be the first maintenance-free door
Industry News
Purchases of rubber moulders and tyre firms
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S firm Titan International has bought 56% shares of Australiabased OTR tyre company Planet Corporation Group while QSR has purchased Lexington Precision. Titan’s purchase of US$22.9 million will make Planet a subsidiary of its newly established mining business venture, Titan Mining Services. Planet, which includes National Tyres, Acme Wheel and Resource Tyre & Choice Tyre Wholesalers generated over US$75 million sales in the past 12 months from
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its clients from the mining, agriculture, construction and earth moving industries and approximately US$10 million of EBITDA in 2011. Quality Synthetic Rubber (QSR), a provider of custom moulded synthetic rubber components and a portfolio company of Blue Point Capital Partners, has been sold to Lexington Precision, a portfolio company of Industrial Growth Partners (IGP). Both QSR and Lexington share something in common since QSR has operations in the US and China, serves the medical and electrical markets with its moulded elastomeric components for use in a broad range of medical and electrical connector applications. Meanwhile, US-based
Lexington also serves the medical and automotive markets with its rubber components that include seals used in laparoscopic surgical devices and components for medication delivery systems; and automotive insulators used in automobile ignition systems. Germany-based ContiTech has made the largest acquisition in its history of US firm Parker Hannifin’s automotive air conditioning portion of its mobile climate systems division for an undisclosed price. The automotive air conditioning business manufactures components for light vehicles; the parts include hose and tube assemblies, accumulators, receiver dryers and oil
coolant assemblies. The products are primarily rubber and aluminium, but include some composites. The business operates at five global manufacturing sites in Mexico, Czech Republic, South Korea and China. The acquired business has annual sales of US$140 million and 1,000 employees. The mobile and hose portions of the mobile climate systems division are not part of the transaction. ContiTech is a global supplier of elastomer products in the non-tyre rubber sector and a specialist for rubber technology in the non-tyre rubber sector. Ravago Holdings America has acquired Goldsmith & Eggleton, including its Reliable
Industry News Polymer Services business. Financial details were not disclosed. Goldsmith & Eggleton reprocesses EPDM, SBR and related products, and distributes grades of some speciality polymers. Reliable Polymer Services is based in Texas and processes for makers of synthetic rubber and also makes its own line of reprocessed rubber. Both companies employ a total of 150 people. RHA is a unit of Ravago Group, a distribution, compounding and recycling conglomerate based in Brussels, Belgium. The group also owns H. Muehlstein & Co. a resin distributor based in the US.
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Rubber Journal Asia Industry News
China reviews imports of CR
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hina is reviewing its anti-dumping policies on chlorophene rubber in lieu of complaints against the influx of the imported rubber from a Japanese company. Chloroprene rubber is commonly used in electrical cables and other types of cables as well as waterproofing products. According to China’s Ministry of Commerce, the move comes after receiving complaints from local chloroprene rubber producers against the Japan Electric Chemical Company, which apparently increased its dumping activities in the country. In May 2005, the ministry imposed antidumping duties ranging from 2 to 151% on imported chloroprene rubber from Japan, the US and the European Union with a term of five years. The term was extended to another five years in 2011.
Continental’s R&D in Singapore
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erman firm Continental has set up a S$36 million research centre in Singapore, to serve the growing engineering demands in Asia and worldwide. The 10,170 sq m-facility, which at present houses 650 employees from the Interior division of the Continental Automotive Group, as well as staff
Rubber surplus in 2013
from the ContiTech and the tyre division, can be expanded to accommodate up to 1,000 employees. The firm intends to expand in the interior division in Asia, since the region accounts for 19% sales.
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upply of natural rubber (NR) will exceed demand for a third straight year in 2013 whilst the price of the commodity is set to extend declines, according to an analysis by Singapore-based NR supplier RCMA Commodities Asia. Global NR production is expected to increase to 11.9 million tonnes in 2013 from 11.47 million tonnes this year, against the world rubber demand of 11.6 million tonnes in 2013 up from 11.15 million tonnes this year. The increase in output will be seen in Thailand, Malaysia, Indonesia, Vietnam and India. The group also indicated that the sluggish economic growth in China and the debt crisis in Europe are slowing down the demand for industrial commodities. Demand in China may contract 0.7% to 3.75 million tonnes this year, before climbing 4.1% in 2013; whereas, demand in Europe may slide down 5.3% to 1.4 million tonnes in 2012 and slightly rebound at 2.9% in 2013.
Continental has opened an R&D centre in Singapore
Indonesian-Indian rubber tie up
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ndonesia, the second largest rubber producer in the world, has invited the Indian rubber industry to invest in the country and benefit from ample natural rubber resources. In a meeting with All India Rubber Industries Association (AIRIA), Dickey Fabrian, Consul-General of the Republic of Indonesia in India, conveyed his country’s eagerness to increase bilateral trade in rubber goods recently. Fabrian invited the Indian rubber industry to start its rubber manufacturing units in Indonesia due to availability of natural rubber, inexpensive labour/power and friendly government policies. Indonesia has also invited investors to invest in rubber plantations through leasing.
Sabah farmers get an incentive
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he government in the state of Sabah, East Malaysia, has given out a RM30 million rubber production incentive to some 23,378 rubber smallholders, rubber settlement scheme settlers and participants of Rubber
Community Plantation in Bengkoka, Pitas. The incentive aims to equal the rubber prices offered in West Malaysia, which the local farmers could also enjoy as well. The rubber price differences are due to various factors such as extra costs in transportation, handling, processing and logistics. The payment, which will be made in cash, is based on dry rubber content and the types of rubber produced. Smallholders are also encouraged to employ good agricultural practices through the use of fertilisers and to increase output to 1,800 kg/ha from the current 1,600 kg/ha.
Hartalega on expansion drive
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alaysian glove maker Hartalega is on track to commence construction of its RM1.5bil next-generation integrated glove manufacturing complex by December this year. According to a news report, the company has identified a RM100 million plot of land in Sepang and is currently in the process of getting the necessary approvals. The new facility will have 72 production lines to increase the glove capacity from 40,000 to 42,000 pieces/hour, bringing the firm’s total capacity to 38 billion pieces/year. It will be built in two phases over three years and the firm plans to invest between RM300 to RM400 million annually.
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Drought in India affects tyre sales
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ndia’s tyre demand may dwindle as a result of an ongoing drought being experienced across the country, local tyre makers said. The tyre market has been facing a slowdown for the last several months with automotive companies cutting production and the climate may aggravate further the slackened market conditions, hindering local manufacturers to benefit fully from
Tyre News the plunging global rubber prices. The first quarter of the year had poor market outcome and in the first part of the second quarter, no significant growth from the truck and bus tyre markets are seen. Moreover, the production stoppage in the Maruti plant has adversely affected the car tyre market, which had generated a 4% growth in the first quarter, particularly in the OEM sector.
German firm strengthens rubber division
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arburg-Freudenberger Maschinenbau, a wholly owned subsidiary of L. Possehl , has acquired Slovakian company ZTSLR NaJUS from the Rona Group. The 250-staffed ZTS-LR builds specialist equipment with a focus on welded structures, mechanical process-
ing and the assembly of complex machines and components. HarburgFreudenberger manufactures machines for the tyre industry and is made up of the TireTech and Mixing Group (rubber mixing technology) divisions in the manufacture of batch mixers for making rubber mixes.
Gajah Tunggal to produce TBR tyres
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ndonesian tyre maker PT Gajah Tunggal (GT) has acquired 100 ha of land for US$108 million to build a tyre proving ground (testing track) and to allow possible future expansion of its manufacturing facility. Located at a new industrial estate in Karawang, the ground breaking for the testing track will
start soon and is expected to be completed in three years. Furthermore, the firm is also entering commercial production of TBR over the next three years with an investment of US$150 million and a total installed capacity targeted in the range of 1,500-2,000 tyres/day.
Sumitomo in jv; progresses with Thai facility
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ingaporean tyre and wheel distributor Stamford Tyres has set up a joint venture with Japanbased Sumitomo Rubber Asia, a subsidiary of Sumitomo Rubber Industries, to form Falken Tyre India (FTI). The S$12.3 million joint venture firm will supply Falken tyres to India’s flourishing replacement tyre market. Stakeholders Sumitomo (60%) and Stamford (40%) will set up FTI’s headquarters in India and will start up operations from 2013, utilising Sumitomo’s proprietary tyre technologies and Stamford’s distribution capability. At present,
Stamford distributes Falken tyres in Singapore, Malaysia, Thailand, Indonesia and South Africa. In other news, Sumitomo Rubber has broken ground on its newest Thai factory, which is currently under construction in Amata City Industrial Estate in Rayong Province. The 10 billion yen factory will be Sumitomo Rubber’s first overseas factory to produce tyres for use in agricultural equipment. Production capacity will be around 50,000 tyres/month by the end of 2017. Production is scheduled to begin in 2014.