Styrene is mainly used in the manufacture of homopolymers and copolymers. These include polystyrene (PS), expandable polystyrene (EPS), styrene copolymers such as acrylonitrile-butadiene-styrene (ABS) resins, styrene-acrylonitrile (SAN) and styrene-butadiene (SB) latexes, styrene-butadiene rubber (SBR) and unsaturated polyester resins.
Around half of styrene consumption globally is used in PS manufacture. Packaging applications such as containers, closures, lids and vending cups are the major end use for PS. The remaining markets include construction; electrical and electronic parts; domestic appliances and housings; household goods and home furnishings; and toys, sporting goods and recreational articles.
Historically, growth in PS had been good although it was slowing. However, high styrene prices as a result of the volatile benzene market have forced PS prices up to a level where demand has declined.
Changes in consumer appliance fashion may have also contributed to the contraction. There has been a switch away from PS to other materials and polymers such as polypropylene (PP) and polyethylene terephthalate (PET) in packaging applications. Paper is perceived more environmentally friendly than the generally non-recyclable PS while bio-materials also made in-roads when crude oil prices were high.
Polystyrene is also losing some end-use markets such as CD, DVD and video cassette cases as consumers switch to MP3 players and downloading music and films from the internet. Similarly the switch to flat screen TVs has reduced demand for PS which was used in the cases for cathode ray tube (CRT) TVs.
The EPS market has seen strong growth globally, driven by the construction sector where it is used to make insulation foam for closed cavity walls, roofs and floor insulation. The other main market for EPS is packaging of food items and delicate electronic equipment. In insulation applications, EPS competes with extruded PS, polyisocyanurate and mineral wool.
ABS is another growth market for styrene although much smaller than PS at about 8% of global consumption. ABS offers high resistance to heat distortion and higher impact strength than most commodity thermoplastics. Main applications include the fabrication of pipe and fittings, automotive components, electrical/electronic and appliance components and other consumer items. However, ABS markets will be impacted by economic changes in the automotive and electronics sectors.
SAN is a speciality resin used mainly in applications requiring optical clarity and good resistance to heat and chemicals. Major uses include household goods, cosmetics packaging, appliance parts and automotive components.
SB latex is used in carpet backing and paper coatings, foam mattresses and adhesives. Demand is at GDP levels although there has been growth in paper coating applications.
SBR elastomers are used primarily in passenger and truck tyres. Other uses include industrial hose and belting, footwear and adhesives. With over 70% of SBR consumed in tyres and tyre products, demand is very dependent on this automotive sector.
Unsaturated polyester resins are thermosetting resins that are cross-linked with styrene. They are used primarily in fibreglass reinforced plastics for marine, construction and transportation applications.
Styrene markets contract
Long term, the global styrene market had been growing at an average of 4%/year. Asia has been the driver for growth in styrene demand as most of the derivatives expansion and underlying demand growth has taken place within the region, primarily China. Growth in demand has also been seen in central and eastern Europe, and South America.
However, the styrene market saw a sharp contraction in 2008 due to the economic downturn with global demand falling by over 5% compared to 2007, according US-based consultants CMAI. The derivatives that suffered the biggest declines were PS, ABS/SAN resins and SB latex, reflecting the downturn in durable goods manufacture and the construction sector. Demand from medical products and food packaging outlets has been less impacted by the downturn. Regionally, timing was a bit different with North America and Asia seeing the decline before Europe.
The global styrene market has suffered from an excess of capacity and new plant start-ups in the Middle East and China are expected to increase the overcapacity in the market. The recession has delayed a number of projects, especially those due for start-up in 2012 and 2013. However, new capacity is scheduled to come on stream during 2009 in Kuwait and Iran. Projects delayed include those planned by Qatar Petroleum/Honam in Qatar, Indian Oil and Saudi Arabia’s Sadaf 3.
There have also been some consolidation and plant closures. Ineos and Nova have put their global styrenics businesses into a joint venture while Dow Chemical and Chevron Phillips Chemical have formed a joint venture called Americas Styrenics. Plant closures have been mainly in the US, western Europe, Korea and Japan.
The new capacity will also alter the prevailing flow of trade, says CMAI. North America is the global exporter to the world. However, the start-up of new Middle East capacity will result in the Middle East exporting to Europe and Asia with North America becoming the swing producer.
Updated: May 2009. Sources: CMAI 2009 World Petrochemical Conference, 25-26 March 2009, Houston, Texas.
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Styrene
Process Technologies
Styrene is produced predominately by ethylbenzene(EB)-based technology. EB is first made by the catalytic alkylation of benzene with ethylene, using either aluminium chloride or, more recently, zeolite catalysts. The reaction can be carried out in either vapour or liquid phases (see chemical intelligence report on ethylbenzene).
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