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Chemical Companies Quietly Retire As the Olympics Are Coming

July 22, 2008

BEIJING, July 22 /Xinhua-PRNewswire/ — Engaging in concept of environmental protection for the “Green Olympics,” the chemical industry is quietly retiring under the vision of the people, since the official opening of the Beijing Olympic Games is in less than 20 days.

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The polyurethane industry ( http://www.tootoo.com/w-Chemicals/ ) is heavily impacted. As the embargo and the cut-off orders are issued in various cities, companies that produce basic raw materials for polyurethane, foam, flexible materials, adhesives and other production have already suspended production in the Beijing-Tianjin-Tangshan region. TDI is the main raw materials for polyurethane, although its producers, including ST Canghua Group, have not stopped yielding it and the maintenance program is just routine. According to Tootoo.com network marketing analysis, these materials are experiencing problems in transportation, as there are severe restrictions on the transport of dangerous goods in the six associated Olympic cities including Beijing. Consequently, TDI ( http://www.tootoo.com/buy-TDI/ ) can not be normally exported, resulting in the shutdown of some difficult to reach places, and the suspension of some trade businesses.

In addition, the main products liquid chlorine and caustic soda in the chlor-alkali industry are also considered dangerous goods, and cannot be stocked in large quantities. Transportation of dangerous goods has also been restricted around Beijing during the Olympic Games. This has all caused a great impact on the chlor-alkali enterprises. Some propylene oxide enterprises in Tianjin and Hebei Province ( http://news.tootoo.com/Chemicals/ ) will limit production of raw materials for a short period of time, and some propylene oxide producers in Shandong will reduce the operating rate.

Officials from Jiangsu Tianyin Chemical Industry Co., Ltd. (http://www.tootoo.com/d-c12622321-Jiangsu_Tianyin_Chemical_Industry_Co_Ltd_/ ) told interviewers from Tootoo.com that companies cannot maintain the supplies of certain chemical products, especially dangerous chemicals such as isocyanates and acrylic monomers, for Beijing, Tianjin, and other Olympic cities. Therefore, clients in these cities have to stock up in advance; otherwise they would stop producing. Also declaration for imports of chemicals has ceased, and many enterprises’ production schemes have been pushed back.

However, due to the special nature of the Olympic Games, the accumulated demand and orders during the Olympic Games, chemical companies are expected to receive a boost after the game, and it’s believed that they will gain a new industry pinnacle.

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