Du Pont to Begin Nylon Production in Europe
Transcript of Du Pont to Begin Nylon Production in Europe
1400 - r - ros ο! Output Climbed Again Last Year
1200-4-Note: Total for 1964 includes food aerosols. For previous years, food aerosols are excluded.
1000- c
800- <
600-
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1955 1956 1957 1958 1959 1960 1961 1962 1963 1964 Source: Chemical Specialties Manufacturers Association
Food Aerosols. Although food aerosols are only a small part (5%) of the aerosol business, they still show a lot of promise. Whipped toppings continue to account for at least three fourths of the business. However, other products, particularly chocolate sirups, are beginning to show signs of activity. Du Pont's Freon-115, a new propellant awaiting Food and Drug Administration clearance for food aerosol use, may also help the cause.
Chocolate sirups for use as milk additives are now sold by at least three companies. Pet Milk is marketing one called Big Shot, National Sugar & Refining has Jack Frosted, and Hood Milk has Blast. Last year, production of chocolate sirup pressurized products amounted to fewer than 5 million units. In 1965, however, it could go over 25 million units, according to Du Pont. Both National Sugar and Hood are now experimenting with strawberry-flavor sirups.
Du Pont has asked FDA to accept its new propellant, chloropentafluoro-ethane, for use alone or in conjunction with other propellants already cleared for use with foods. These include Freon C-318, carbon dioxide, nitrous oxide, and nitrogen.
The advantage of Freon-115, says Du Pont, is that it boils at a lower temperature ( - 5 . 8 ° C.) than C-318
(38.7° C ) . As a result, it can be blended with C-318 to give vapor pressures ranging from 15 p.s.i. to more than 100 p.s.i. at room temperature. This would give manufacturers much greater flexibility in developing aerosol food products.
Antifreeze Down. Sales of antifreeze were down in 1964, according to another CSMA survey. Sales of ethylene glycol antifreezes slumped from 135.8 million gallons in 1963 to 128.8 million gallons last year. The big decline was in package sales, down to 80.9 million gallons from 89.0 million just a year earlier. Sales of bulk ethylene glycol to antifreeze packagers and to auto makers were up.
Methanol-based antifreezes continue to maintain a toehold. Sales in 1964 were about 4.1 million gallons, up from 2.8 million gallons a year earlier.
The over-all decline in antifreeze sales came in spite of record new car sales. This anomaly is due to auto makers' recommending a two-year, instead of the traditional one-year, drain interval for the antifreeze they are putting into their new cars. Auto producers have been using two-year antifreezes for the past two or three years, and there are now enough of these newer cars on the road to affect antifreeze sales.
Du Pont to Begin Nylon Production in Europe Plants for nylon 66, Dacron to go on stream in West Germany in 1968 Du Pont will build its first European nylon 66 and polyester fiber plants in West Germany. A company spokesman describes the venture as a "major step" but won't reveal investment costs or capacities. The units will be constructed on a 350-acre site in Uentrop near Hamm, West Germany. West German sources estimate the initial investment in the two facilities at $50 million.
Du Pont says the plants will utilize its latest technology, that 1500 men will be employed when the plants go on stream in 1968, and that construction will begin in early 1966. West German fiber makers have expected for some time that Du Pont would build a fiber manufacturing facility in Uentrop. What may come as a surprise is the size of the project and the announcement that both nylon 66 and Dacron will be made.
Patents Expiring. Because of the patent situation, there are some limitations on the sale of polyester fibers in West Germany and a few other countries. But Du Pont says the limitations aie rapidly expiring and will not restrict sales from its new plants. In the U.S., the basic patent on polyester fiber, which Du Pont owns, expired in July 1961.
Du Pont says it is cooperating with President Johnson's program for righting the nation's balance of payments and that the project will not cause a dollar drain. Du Pont usually finances its expansions from internally generated funds. Its balance sheet for 1964 shows no long-term debt. Thus, it is likely that the project will be financed from the cash flow of subsidiaries in western Europe. At present, Du Pont has 13 wholly owned subsidiaries in western Europe and three joint ventures. The firm produces polyacrylonitrile and polyure-thane fibers in Dordrecht, the Netherlands, in its only other European fiber operation.
In West Germany, Du Pont owns Adox Fotowerke (Frankfurt) and 26% of Pigment Chemie, G.m.b.H. (Hamburg). The new fiber plants will be owned by its wholly owned subsidiary, Du Pont Chemie, G.m.b.H. (Dusseldorf).
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