China’s Jiangsu Sinorgchem caps rubber chemical output at 70%

09 April 2013 08:00  [Source: ICIS news]

MELBOURNE (ICIS)--China’s Jiangsu Sinorgchem Technology plans to cap its overall paraphenylenediamine (PPD) operating rate at about 70% capacity during April because of weak downstream demand, a company source said on Tuesday.

The producer lowered its PPD output this month to 60-70% capacity from 80-90% capacity previously because of slow buying activity from the downstream tyre manufacturing sector, the source said.

Jiangsu Sinorgchem is China’s largest producer of PPD, which is a rubber chemical additive produced from methyl isobutyl ketone (MIBK) and is used to prevent the degradation of material caused by ozone.

In Shandong province, Jiangsu Sinorgchem operates two PPD plants with a combined capacity of 100,000 tonnes/year.

The two plants, named Sinorgchem Tai’An and Shandong Sinorgchem International, consume about 3,000 tonnes of MIBK a month in total at full capacity utilisation.

“The reduced PPD output means that we will use only about 2,000 tonnes of MIBK during April,” the source added.

By: Trisha Huang

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