Automakers across the world are in a resin scramble because the factory of one of the top producers of the material will be out of commission after an explosion and fire late last month.

The Evonik Industries AG plant in Germany suffered damage in a March 31 explosion and fire that killed two workers. Authorities are trying to determine the cause.

Hazards Overlooked before Plant Blast
BP’s Texas City Refinery Acid Leak
Crews Stabilize Chem Plant
Chemical Plant Blast Hurts 2

A shortage of the resin is threatening to cut global car and truck production just as the U.S. auto sales recovery is accelerating. Automakers and parts companies are testing substitutes but aren’t sure if they’ll be ready to go in time to hold off any auto production cuts.

The Evonnik plant in western Germany made at least a quarter of the world’s PA-12, a nylon resin used in fuel and brake lines and hundreds of other auto parts. It also sees use in household and sporting goods. The plant also makes 70 percent of the global supply of CDT, a key ingredient of PA-12 used by other companies that make PA-12.

Schneider Bold

PA-12 is unique because it doesn’t absorb much moisture and it resists deterioration when carrying gasoline and other liquid hydrocarbons.

Automakers and their parts makers have been trying to divert their remaining supplies of PA-12 to lines and connectors that carry fuel and brake fluid. They’re also trying to fast-track testing of possible substitute chemicals. So far no automaker has reported any production slowdowns. But if the industry can’t come up with a substitute, the problem could cause a shortage of some models similar to what happened after last year’s earthquake and tsunami in Japan.

“In the present state of knowledge, the CDT plant is expected to be operational again in the fourth quarter of 2012,” Evonik said in a statement. The company also said it is offering customers substitute chemicals for PA-12 that do not require CDT. Spokesman Thomas Lange said the company is checking with customers to determine what’s suitable for fuel lines.

Lange said he couldn’t give a specific date or month for when the plant might be back in operation. Earlier this month Evonik said the factory would be down for at least three months.

The plant could be out until late in the fourth quarter. Evonik officials told auto parts suppliers on a conference call this week the target time for reopening it is early winter, said J. Scot Sharland, executive director of the Automotive Industry Action Group, a trade association that’s organizing the effort to test alternative plastics.

The world’s three other large makers of PA-12 have told their customers they won’t be able to make enough resin to comply with contracts, and they aren’t sure when they’ll be able to, Sharland said. That means the industry has to prepare for factory shutdowns, he said.

“This could be a bad one, and no one wants to go there if it’s humanly possible to avoid,” he said.

Companies are working together to test substitute materials, some of which already are in use in the auto industry. But the testing is likely to take four to six weeks at best, Sharland said.

Do NOT follow this link or you will be banned from the site!

Pin It on Pinterest

Share This