Specialty chemicals
Latest insight
US, EU, Germany see negative impact of COVID-19 on specialties; China led the industry in 2019
Chemical industry associations have made data available recently on specialty chemicals production in 2020. The data for this year is currently limited, but the impact of COVID-19 on the production of specialties is negative for the most part.
Clariant to cut up to 1,000 jobs as part of reorganization
Clariant says it plans to "rightsize" its regional organizations and service units, reducing their combined workforce by approximately 1,000, around 6% of the company's total workforce.
Elementis rejects improved takeover bid by Minerals Technologies
Specialty chemicals producer Elementis (London, UK) has rejected a second and improved possible takeover offer from Minerals Technologies (New York, New York) that values the company at £679 million ($905 million).
Arkema readies additional fluoropolymer capacity for Li-ion batteries in China
Arkema says it will start production following a 50% capacity increase for its Kynar fluoropolymer for the lithium-ion (Li-ion) battery business at Changshu, China, in December.
Symrise to acquire Sensient's fragrance, aroma chemicals business
Symrise (Holzminden, Germany) has agreed to acquire Sensient Technologies’ (Milwaukee, Wisconsin) fragrance and aroma chemicals activities, comprising a range of aroma molecules and fragrances from natural and renewable sources.
MBCC Group emerges as a major player
MBCC Group (Mannheim, Germany) is a new leading player in the construction chemicals industry, consisting of approximately 70 legal entities worldwide, a network of global and regional R&D centers, and about 7,500 employees and construction experts across 60 countries.
Johnson Matthey's profits plummet on impairment, restructuring charges; sales improve YOY
Johnson Matthey (JM) says that net profit for its fiscal first half, ended 30 September, plunged 86% year on year (YOY), to £24.0 million ($31.7 million), despite sales increasing 2% YOY, to £6.98 billion.
Sika commissions epoxy resins plant in Dubai
Sika says it has commissioned an epoxy resins manufacturing facility at the company's site in Dubai. The company established the Dubai site in 2018 as a distribution and sales center for the region, and it now produces epoxy resins there, in addition to concrete admixtures, Sika says.
BASF completes advanced additives expansion in China
BASF has increased its production capacity for advanced additives at Nanjing, China, with a new plant. The project allows BASF to produce high-molecular-weight dispersing agents, slip and leveling agents, and other additives locally for Asian markets.
Croda to acquire Iberchem for $975 million
Croda says it has agreed to acquire the entire issued share capital of flavors and fragrances company Iberchem Group (Murcia, Spain) from investment company Eurazeo for €820 million ($975 million) on a debt-free, cash-free basis.
Elementis rejects $819-million takeover bid from Minerals Technologies
Specialty chemicals producer Elementis (London, UK) has rejected a £621-million ($819 million) all-cash buyout offer from Minerals Technologies (New York, New York), saying the valuation for the company is too low.
Evonik to end production of fabric softener ingredients in Spain under consolidation plan
Evonik Industries says it will terminate production of fabric softener ingredients at its Granollers site near Barcelona, Spain, this month after reaching agreements with employee representatives for the 51 employees of the site.
IFF misses estimates despite sequential business improvement
IFF today reported third-quarter net income down 33% year on year (YOY), to $84.8 million, while net sales were roughly flat, at $1.27 billion. Adjusted earnings totaled $1.40/share, short of analysts’ consensus estimate of $1.46/share, as reported by Refinitiv (New York, New York).
COVID-19 alters cleaning trends
Companies in the home-care and industrial and institutional (I&I) cleaning business will have to adjust to the new reality created by COVID-19, which has caused consumers to prioritize convenience and e-commerce, and effectivity and stronger cleaners, and has reversed the “chemophobia” trend in cleaning products, according to a recent blog post on the North American website of BASF’s home care and I&I cleaning solutions business.
Polymer catalysts market set to recover
The impact of COVID-19 on demand for polymerization catalysts has been mixed, varying from segment to segment and region to region depending on polymer applications.
Arkema posts lower profits, sales on negative volume, price effects; sees gradual demand improvement
Arkema says its net profits in the third quarter dropped 37% year on year (YOY), to €93.0 million ($109.5 million), on 14% lower sales, to €1.91 billion. Revenue and earnings were hurt by negative volume, currency, and price effects.
Developing markets to boost demand for biocides
The global market value for biocides in 2019 was approximately $7.5 billion, with sales volumes amounting to about 1.7 million metric tons, according to the biocides report, published recently by IHS Markit’s Specialty Chemicals Update Program (SCUP).
Targeted treatments drive HPAPI growth
The use of highly potent active pharmaceutical ingredients (HPAPIs) has been commonly associated with cancer treatment and immuno-oncology, and a growing number of small-molecule active pharmaceutical ingredients (APIs) currently in clinical development, particularly in the oncology therapeutic area, are falling into the HPAPI category.
Nutraceutical ingredient volumes to grow despite trend toward plant-, animal-based concentrates
Global market volumes of nutraceutical ingredients are expected to grow at an average annual rate of 4.3% during 2019–24, according to the Nutraceutical Ingredients report, published recently by IHS Markit’s Specialty Chemicals Update Program (SCUP).
Harnessing India's specialties potential
Geopolitical events in the past few years such as the US–China trade war, the changing diplomatic and economic relationship between India and China, and the COVID-19 outbreak have significantly disrupted worldwide chemical supply chains but have benefited India’s specialty chemicals industry, according to a recent report published by the Federation of Indian Chambers of Commerce and Industry (FICCI).
Demand for fluorocarbons declines due to COVID-19, consumption to rise in long term
Worldwide fluorocarbon production and consumption in 2019 reached more than 2.11 million metric tons (MMt), up about 21% in total and approximately 2.8%/year from 1.74 MMt in 2012, according to a recent report by IHS Markit.
Featured data
US demand for specialties stable in September, most sectors post sequential decline
US specialty chemical market volumes were flat in September, compared with a revised 0.9% increase in August, according to ACC. It attributes the change to a slowdown in the recovery of the US economy.
