PBT

POLYPLASTICS UNVEILS COST-SAVING PBT

Polyplstics unveils cost-saving PBT. Polyplastics has launched a new electrically conductive grade called DURANEX® PBT 201EB.

The company specifically designed the material for millimeter wave radar applications.

The new product comes with an electromagnetic wave shielding feature.

This feature helps to absorb electromagnetic waves. This makes it possible to use the material in double-shot molding with radome materials made from PBT.

This two-stage molding process can help reduce production costs for assembly, making DURANEX® PBT 201EB an ideal material for cost reduction.

PBT is a polyester resin used for automotive parts, electrical components, and packaging due to its high stiffness, heat resistance, and moldability.

Polyplastics is a global manufacturer of engineering thermoplastics, with its headquarters in Tokyo, Japan. The company produces a wide range of high-performance plastics, including polyacetal (POM), polybutylene terephthalate (PBT).

EUROPEAN PBT MARKET FACES DOWNSIDE

European Polybutylene Terephthalate (PBT) market faces downside pressure in February, according to the latest GC Intelligence market analysis.

European PBT market prices continue to face downward pressure, with forecasts predicting further decreases throughout the year.

Despite a slight ease in pressure from Asian imports, negative factors such as falling gas prices and macroeconomic weakness persist.

Some industries are performing better than others. The automotive sector continues to show signs of improvement. However, the construction and consumer goods industries have experienced a slowdown.

Although there have been some positive developments in the supply of PBT, suppliers are still facing high costs. As such they have been reluctant to make significant price decreases.

verall, the European PBT market remains uncertain, with the potential for a rebound later in the year, but the best-case scenario for now is an ease in the downside.

BDO PRICES POST LOSSES

BDO prices post losses in November on the back of slowing demand and competition from imports.

After the spikes during the pandemic, prices posted downward corrections since the spring.

From the peaks, prices lost almost €2000/mt.

Players experienced a recovery after the summer. But the rebound quickly run out of steam and prices continued their downard direction in October and November.

The lower prices of BDO from imports have placed pressure on domestic prices.

Domestic sellers lowered their offers in line with the competition from imports, but also because of the lower demand.

The current poor demand is also linked to destocking. Therefore, this raises expectations of a rebound early next year.

However, any recovery will be limited by the overall slowdown in demand from waning economic activity not only in Europe but globally.

Butanediol (BDO) is a major feedstock of polybutylene terephthalate (PBT).

EU CONSUMER CONFIDENCE REACHES RECORD LOW

EU consumer confidence reaches the lowest ever recorded level in July, according to the latest data from the European Commission.

The new numbers show a decrease of 3 percentage points for the EU and 3.2 percentage points for the Euro Area.

The new levels surpass the lowest point reached during the beginning of the pandemic, raising fears of a major economic contraction.

The polymer industry has been feeling a considerable pressure on demand which is to do with a multitude of reasons.

But this latest reading reinforces the view that consumer jitters over inflation, war, and a looming energy crisis are additional major factors slowing down demand for polymers.

POLYMER MARKETS CONTINUED TO WEAKEN IN JULY

Polymer markets continued to weaken substantially in July in Europe on the back of falling demand.

This was making price negotiations difficult as many producers continued to face increasing costs.

Demand for most polymers has been getting weaker since the beginning of the second quarter.

Activity has remained soft in automotive but has recently started to fall in other markets. Some of these include appliances and even construction.

The decrease in demand is attributed to many factors. Some of these include supply chain disruptions, seasonality, and high raw material prices. But most probably also inflationary pressures.

This weakness will most probably continue for the rest of the summer, and likely for the rest of the year.

In some markets, the fall in demand has been rather drastic, resulting in players having to stop production lines.

Polypropylene (PP) and Acrylonitrile Butadiene Styrene (ABS) are some of the worst-hit markets, also because of competitive imports.

With the relentless increases in energy prices, Europe continues to lose competitiveness across entire supply chains, which is probably weakening demand further.

Meanwhile, during this time of the year activity slows down because of the summer, and this has certainly accentuated the fall in demand in some sectors.

There were markets that were still performing relatively well, such as electrical and electronics and packaging. However, this was not enough to offset the losses in other markets.

As demand continues to weaken amid rising inflation, the situation could become much worse for all players during the winter when there is a greater risk of a spike in energy costs.

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