The price of PA66 is set to rise again! Solvay-Invested polymerization plant has encountered force majeure.
Time:
2024-11-12
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On October 6, nylon manufacturing giant Solvay officially announced that its important raw material for synthetic nylon, HMD (hexamethylenediamine), has encountered force majeure, and it is implementing sales rationing for its existing customers, although specific details of the sales rationing have not been disclosed.
Solvay stated that the force majeure is due to a severe shortage of ADN (adiponitrile) supply required for its facilities. The factory experiencing the supply shortage (Butachimie) is located in France and is a joint venture established by Solvay and Invista, each holding a 50% stake. Although the specific cause of the failure has not been disclosed, it is certain that it is a serious technical failure that cannot be resolved in the short term.
The above image shows the Butachimie factory located in Chalampé, France.
In fact, since Butachimie underwent its regular three-year maintenance shutdown this summer, the operating rate has remained low after restarting, which has put its supply to Solvay in a relatively tight situation. This force majeure regarding Solvay's hexamethylenediamine is also due to the inability to effectively resolve the ongoing shortage of adiponitrile supply. In addition, Invista's Victoria Port plant in Texas, USA, announced earlier in late June this year that its adiponitrile and hexamethylenediamine facilities encountered force majeure, and the operating rate has also remained low. As of now (October 13), the force majeure has not been lifted, further exacerbating the tight supply situation of adiponitrile. It is reported that the combined adiponitrile production capacity of Butachimie and Victoria Port accounts for 51% of the global capacity.
With the continuous occurrence of two force majeure events and the recent rise in crude oil prices, it is very likely that nylon 66 resin and modified materials will face a new round of price increases, which will have a profound impact on the entire nylon industry chain.
Real-time information
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2024-09-26