Strikes Hit Rubber Plants
Transcript of Strikes Hit Rubber Plants
v e e r ' ί» ·% are used Propane barrels,
Underground caverns to store the finished products, storage cavern holds 210,000
butane cavern 85,000 barrels
Strikes Hit Rubber Plants Nearly half of the nation's tire out
put was idle last week as strikes continued at U. S. Rubber, Firestone, and Goodrich. Ail told, an estimated 57,-000 workers in 30 cities were affected. And despite a surprisingly quick settlement between Goodyear and United Rubber Workers Union, hopes were not high for an immediate end to the other walkouts.
As C&EX went to press, the rubber companies' chemical suppliers had not been seriously affected by the strikes. But unless an early agreement can be reached. chemical makers will no doubt feel the results.
Butadiene poses a special problem because of the big part of it that goes into synthetic rubber. But for now, at least, butadiene makers won't feel the pinch. One producer says it will go ahead with a maintenance program which has been delayed for some time. If the strike ends while the plant is down, there's enough butadiene on hand to fill contractual demands until production is started again. If the strike continues for a long time, the plant will not be restarted.
Another butadiene maker that won't be hurt immediately is Neches Butane Products at Port Neches, Tex. The company furnishes butadiene to both Goodrich-Gulf and Texas-U. S., neither of which has yet cut back its production because of the strike.
Long
Butadiene
Styrene
Strike ^ouid Hurt ( J958 Estimates)
Markets Synthetic rubbers Other
Total Synthetic rubbers Plastics Other {Including
exports ) Total
Production
( Million Pounds)
1324 147
1471 400 475
325 1200
SEPARATOR. Hydrocarbons coming from the West Virginia extraction plant move to these towers—the depropani-zer and debutanizer—at Siloam
Styrene producers are in an even better position than butadiene makers to withstand a long strike. Only about a third of the styrene made in 1958 went into synthetic rubber, the rest into plastics, exports, and other outlets. Dow, for instance, says it won't have to stop making styrene, since it is the biggest user of its own production ( for plastics). Dow's major outside cus
tomer, though, is the rubber industry. The strike, now in its third week,
began when the rubber union struck IS U. S. Rubber plants. A few days later, Firestone and Goodrich were hit. Goodyear, the fourth member of the Big Four, avoided a shutdown when talks with the union were extended beyond the union deadline. Specific details of the Goodyear settlement aren't available yet.
Ordinarily, the Goodyear settlement would help pave the way to quick agreements with the other companies. This would be true if wages were the basic issue. But, oddly enough, wages are not up for discussion. All the trouble centers around fringe benefits, which vary slightly from company to company. So the Goodyear contract can't necessarily be used as a model.
Goodrich, which has 13,000 workers out at seven locations, took a full page ad in the Akron Beacon Journal to state its case. The company says the union has made impossible demand* which would add more than $1.00 an hour t o employ ment cost. There are 49 issues involved at Goodrich.
Firestone has some 137 points on the discussion docket. However, most of these are probably just talking points and will fall by the wayside durirw negotiations.
Stauffer Defers Expansion A $1 million expansion in caustic soda
and chlorine at Stauffer Chemical's Ni agara Falls, X. Y., plant may be canceled. Stauffer had planned to boost its 100 ton-a-day output by 10 to 15Ά , now cites the utility's failure to confirm previously indicated rates for electric power as cause.
Stauffer, now spending $1 million to convert from 25 to 6 0 cycle power, says that earlier power rates had been indicated which would be reasonable. The company found that in converting it could expand its capacity by a comparatively small additional cost. However, when the expansion program was started, both Niagara Mohawk Power Corp. and the New York State Power Authority declined to make firm commitments on future rates.
Stauffer had completed engineering work for the larger plant and some equipment was on order. The expansion project will not b e restarted until reasonable rates are established, says Stauffer. T h e conversion program will be completed, however. g
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