European Chlorine Production Rises 2.9% in 2007

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Researched by Industrial Info Resources (Sugar Land, Texas)--Chlorine production in Europe in 2007 showed an increase of 2.9% over 2006 (10.31 million tons) with a total production output of 10.6 million tons. Euro Chlor, the federation representing 98% of chlor alkali producers in the European Union and European Free Trade Association regions, reported that this marked the fourth successive year of strong and steady demand.

Capacity utilization rates in 2007 averaged 85% compared with 83% in 2006. In the fourth quarter capacity utilization was 86% against 84% for the ethylene-impacted 2006 fourth quarter. Caustic soda stocks stood at 251,701 tons in December 2006 when the industry was still recovering from a second half of the year's ethylene supply shortfall caused by cracker outages. In the shortened year-end working month of December 2007, caustic soda stocks showed their usual seasonal rise to 299,778 tons, 12% higher than the November figure of 267,598 tons and 16% higher than December 2006.

In the fourth quarter of 2007, chlorine production was 2.678 million tons, which was a year-over-year rise of 2.6%. In 2007, Germany was the largest chlorine producer at 4.595 million tons (43.3%) followed by Belgium-Netherlands with 1.535 million tons (14.5%). The grouping of England/Austria/Switzerland/Finland/Sweden/Norway ran third with 1.320 million tons (12.5%) followed by France with 1.221 million tons (11.5%).

In Europe, 39 chlorine-producer members of Euro Chlor employ about 39,000 people at 69 manufacturing locations in 17 countries. The federation also has 42 associate members and 38 technical correspondents, including suppliers of equipment, materials and services, as well as downstream users and producers outside Europe. Product groups for chlorinated solvents, chlorinated paraffins, chloroisocyanurates and potassium hydroxide are also an integral part of the Euro Chlor structure.

Euro Chlor CEO Alistair J. Steel said the chlor-alkali sector's strong performance was a further confirmation of the importance of these basic chemical building blocks for a vast number of products and processes.

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