Bulk Distributor Mar/Apr 19 | Page 2

2 B ULK D ISTRIBUTOR Shipper March/April 2019 ,ŝŐŚĞƌƉƌŝĐĞƐĚƌŝǀĞ hĐŚĞŵƐĂůĞƐǀĂůƵĞ P roduction in the EU chemicals sector posted a decline of 0.9 percent in 2018 compared with the previous year. Cefic’s Chemical Trends Report for February 2019 noted that the results of 2018 were mainly affected by the second half of the year, with output declining in Q3-2018 and Q4-2018 by 1.3 percent and 4 percent, respectively, compared to the same period of 2017. Base chemicals were most affected compared to other sectors. Producer prices were above the previous year’s level, growing 3.7 percent in the EU chemicals sector in 2018. Q4-2018 reached the highest values since Q3-2013. Total sales (domestic and exports) were 3.7 percent above the previous year’s level. In Q3- 2018, total sales in the chemicals business reached their highest level since Q4-2011. Sales during the first 11 months of 2018 posted a value of €529.5 billion. Sales growth was mainly driven by higher growth in producer prices. Data analysis shows that domestic sales (inside the EU28 area) grew 3.1 percent from January to November 2018, reaching €379.6 billion. Meanwhile, EU chemicals exports outside the EU28 area reached the value of €149.9 billion through November 2018, up from €142.6 billion during the same period of last year. EU chemicals exports to the USA were €29.6 billion from January to November 2018, up from €26.5 billion from January to November 2017. With 9.2 percent, China is still the third largest exporting market for the EU chemicals sector, followed by Africa, Middle East and Russia. EU chemicals imports outside the EU28 area reached €107.8 billion through November 2018, rising by €9.2 billion. Extra-EU chemicals business was 9.3 percent above the previous year’s level. With 13.4 percent, China is the third largest importing market for the EU chemicals sector, after the USA and Rest of Europe. EU chemicals imports їContinued from page 1 Global tank fleet grows 11% An on-going trend is that the growth in the demand for tank containers globally has enabled smaller players to enter the market - usually offering niche products or working in a regional market. Commenting on the results, ITCO president Reg Lee noted: “This year’s ITCO Fleet Survey again shows significant growth in the tank container business during the past 12 months. The expansion of the tank container industry underlines the fact that this mode of transport is safe, reliable, economic and sustainable. “The world today is very concerned with the pollution of our planet and the effect on global warming,” Lee continued. “Plastic waste is polluting our oceans or being incinerated to pollute the air we breathe. Still more plastic material of all kinds is being sent to landfill sites around the world where it will take 100 years or more to bio-degrade after being buried to become a problem for future generations. At last governments around the western world are showing their concern and are banning plastic bags. The tank container industry must show its concern for the planet, by demanding that - if plastic bags are used to transport bulk liquid products - the customers using them should obtain a certificate from the carrier to confirm where and how the bag will be disposed, after this product has been discharged.” www.itco.org Data analysis shows that domestic sales (inside the EU28 area) grew 3.1 percent from January to November 2018 went up significantly from China (17.6 percent), while imports from the USA fell, mainly in basic inorganics and consumers chemicals. The net trade surplus was €42.1 billion during the first 11 months of 2018, down from €43.9 billion during the same period of 2017. As expected, the largest EU chemicals surplus occurred with rest of Europe. EU chemicals, however, registered a trade deficit with India, China, South Korea, and Japan. Plastic risk In another move, Cefic says the comprehensive inventory of all plastic additives used to date in the EU, published in February by the European Chemicals Agency (ECHA), is an important step towards better risk assessment of these substances under REACH and CLP. Cefic and its members worked alongside ECHA, the plastics value chain represented by PlasticsEurope and European Plastics Converters (EuPC), academics and EU member state Regulators in EU member states will be able to use the ECHA inventory as a starting point to decide which plastic additives should be assessed as a matter of priority representatives, for two years to screen some 1,000 substances, to identify the substances that are actually used as plastic additives in the EU and validate data on their intrinsic properties. The data provided by the industry helped ECHA and a team of researchers develop a model to calculate the release potential of each substance into the environment. Regulators in EU member states will be able to use this inventory as a starting point to decide which substances should be assessed as a matter of priority. The information provided in this inventory will need to be combined with the hazard characteristics of each substance for a full risk assessment. Companies will be able to use the inventory to refine further the data about uses and exposure potential in their REACH registration dossiers. Cefic and PlasticsEurope members will communicate the inventory to their supply chain to make sure the downstream industries have the right information about the uses of each substance and its properties. ECHA committed to map all substances registered under REACH in the >100 tonnes band and their uses in order to identify those that require further regulatory action and those that have a lower risk profile and can therefore be assigned a lower priority. So far, 419 high volume (>100 tonnes/year) substances have been identified as additives in plastics in the context of this project. They cover a group of functional additives and pigments. Additives are used in plastics to impart the essential properties needed to make them fit for their specific purpose and ensure safe use by the consumer throughout the article’s service life. They include: plasticisers that ensure the flexibility and durability of cables, flooring and roof membranes; flame retardants that impart fire safety properties to electronics and other household items; anti-oxidants that ensure the durability and stability of drinking water pipes and other long-life articles; and other additives such as pigments, heat stabilisers, etc. The potential for release into the environment means the potential for a chemical to be released in air, water and soil during the use of that chemical in an article. The inventory does not provide actual (real life) or experimental data, only the relative release potential. ^/ƚŽƵƐĞƌĞĐLJĐůĞĚƉůĂƐƟĐƐ S ABIC has signed a memorandum of understanding (MoU) with UK-based Plastic Energy Ltd, a pioneer in chemical plastics recycling, for the supply of feedstock to support SABIC’s petrochemical operations in Europe. SABIC and Plastic Energy intend to build a first commercial plant in the Netherlands to refine and upgrade a valuable feedstock, known as Tacoil, a patented Plastic Energy product, which will be produced from the recycling of low quality, mixed plastic waste otherwise destined for incineration or landfill. The plant, which is expected to enter commercial production in 2021, is a significant milestone for SABIC towards the company’s commitment to establishing a circular economy and, more broadly, its sustainability goals. “Sustainability is a core value at SABIC and the circular economy is a cornerstone of our strategy as evidenced by this unique agreement,” said Frank Kuijpers, general manager for corporate sustainability at SABIC. “SABIC is proud to be the first petrochemical company to implement a project for the chemical recycling of challenging plastic waste into feedstock for steam crackers. This exciting project is testament to our commitment to scale up advanced chemical recycling processes of plastics back to the original polymer.” “We are delighted to be working with SABIC on SABIC and Plastic Energy intend will build a commercial plant in the Netherlands to refine Tacoil, a patented Plastic Energy product, which will be produced from the recycling of low quality, mixed plastic waste this exciting project to support their petrochemical operations in Europe,” added Carlos Monreal, founder and CEO of Plastic Energy. “We have already two industrial plants in Spain operating 24/7 and a technology team with more than 10 years of experience developing this patented technology. Our advanced expertise will promote this new opportunity to turn plastic back into plastic as part of the circular economy.” Plastic Energy has successfully commercialised a patented thermochemical conversion technology to convert a wide range of end-of-life, dirty and contaminated plastics, hardly recyclable for conventional processes, into usable feedstock. Plastics are melted in an oxygen free environment and then broken down into synthetic oils at which point the oils need to be refined and upgraded as feedstock for traditional petrochemical uses.