MOSCOW (MRC) - Polycarbonate (PC) in Russia was 62,000 tonnes in 2014, down 9% year on year, as per MRC ScanPlast. 

 

The production volumes decreased over the reported period because of the scheduled and unscheduled shutdowns in May, August, October, 2014. Structure of PC production in Russia has changed last year. 

 

Last year output of PC for sheet extrusion increased by 14%, and PC for injection moulding grades - reduced by 13%. Last year's production of extrusion PC granules in Russia was 54,200 tonnes in 2014, and injection moulding PC - 7,400 tonnes. The only producer of polycarbonate in the CIS countries, Kazanorgsintez (KOS), adopted a strategy of import substitution and support of national converters amid the rouble devaluation and reduction in imports.

 

In this regard, the company has reduced the output of injection moulding PC for the supply in the foreign markets and increased production of extrusion PC grades for the domestic market. The producer decreased its production of blow moulding PC granules for the domestic market, which consumes 800-900 tonnes per month. While the producer"s share of blow moulding PC granules in Russia makes  a third of the market. 

 

Market players said that despite the deterioration of macroeconomic indicators, the extrusion segment of the PC market has not decreased yet mainly because of the presence in the market of Russian material. Some converters expect stronger demand in the spring in line with a seasonal peak. While in January and February there will be a lull in the market of PC and finished PC products. 

 

Late last year, representatives of KOS announced the beginning of strategic cooperation with BASF for a supply of polymers additives, including, for the PC production. Both companies plan to actively participate in the implementation of joint projects aimed at expanding the range of KOS products and the use of the most advanced solutions in the field of stabilisation.

 

Given the more complicated economic situation in Russia it can be expected that this year the producer will remain more focused on the needs of the domestic market. On the back of the decline in imports and rouble devaluation converters were put in difficult conditions to choose between quality and quantity of the products along with its cost. Evidence of this - entering the market of sheets with a thickness of not conforming to standards and without the necessary protective coating. One of the reason is the usage of recycled or low quality Asian materials. In this case, the Russian-made PC remains an acceptable compromise.