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After a disastrous 2000, the European market for
ETP has revived and attained consumption levels of more than 1 million
tons for compounded products. Demand from automotive and electronics
sector seem to have revived the market. For automobile sector, PBT
is likely to replace some of the existing business of Polyamides.
In the next 2-3 years, PBT appears poised to grow
at a minimum rate of 5%, if not reaching 6%. Ticona and DSM have
been contemplating setting up of a 50:50 joint venture for a PBT
polymer plant with production capacity of 60KT. This project, if
approved, could be set up latest by 2005. The revival of the market
will certainly enthuse both the companies to go ahead and take a
decision on the fresh investment. Both companies have a plant each
in Europe with the total estimated capacity of about 90,000 tonnes.
Some of the capacity is also used in the manufacture of engineering
PET.
PBT, a crystalline thermoplastic engineering plastic
has high heat resistance along with stiffness and hardness. Excellent
electrical property has ensured its wide usage in the electronic
sector. Estimates reveal that almost 60% of the global usage of
PBT is for the electronic industry, either directly or in blend
with PolyCarbonate, ASA or PET.
With current requirement in Europe of compounded
PBT is about 120KT, against present polymer capacity of about 90,000;
just adequate for this demand. Newer polymer capacity is therefore
essential to ensure market growth. Ticona, a partner with Wintech
is setting up a second plant of 60,000 tons in Japan to meet the
growing demand of PBT in the automotive and electronic industry.
The newer 42 KV battery power in the automobile will drive the demand
of PBT partially as a replacement of Polyamides.
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