exchange, Bakelite AG, will acquire the working capital, fixed assets, intellectual property and certain other rights relating to LG Chem’s epoxy business. Bakelite AG has also agreed to offer full employment to all staff working for the business. The company plans on strategic businesses that will provide it a strong future cash flow. LG Chem’s strategy has been to increasingly shift its commodity chemicals base to China, while strengthening speciality chemicals, industrial materials and electronics materials business in Korea. As part of its restructuring, in 2001 LG Chem divested its Powder Coating and Dyestuff business. Sell-offs by LG Chem, since 2001, has provided an amount exceeding $58 M. In Apr 2001 LG Chem has been separate from LG Chemical Ltd. This has been to achieve long-term shareholder value and to provide investors with investment opportunities in highly focused areas. LG Chem has annual sales of Won 4.7 trillion and a local workforce of 8000 employees. LG Chem wants to realize positive progress towards sustainable growth by consolidating its leadership in the domestic market and building lead businesses outside Korea. With 1600 employees, Bakelite AG produces epoxy resins, phenolic resins and moulding compounds in an annual production volume exceeding 350,000 tonnes and sales of E516 M.

China Chemical Reporter, 16 Apr 2002, 13 (II), 11

DSM 2001: DSM Coating Resins

For fiscal 2001, DSM Coating Resins (part of the performance materials division of DSM NV) has reported sales of g.506 M (E452 M in fiscal 2000). DSM Coating Resins specializes in the development and manufacture of resins for coating systems. It is the world market leader in

powder coating resins, with plants

in the Netherlands, Spain, the US, Taiwan and China, and ranks among the European leaders in wet coating resins. The DSM Desotech business unit is the world market leader in the field of

UV-curable coatings, inks and matrix materials for optical (glass)

fibres. DSM Desotech is the market leader in the optical (glass) fibre coatings market and is a supplier to all the major glass-fibre cable producers. In addition, DSM Desotech produces bonding agents and lacquers for CDs and DVDs and hardcoats (scratch-resistant and water resistant top coats) for LCDs (liquid crystal displays) and electronic equipment. DSM Desotech has sites in the US (Elgin and Charlotte) and Hoek van Holland (Netherlands). A 50150 joint venture set up with JSR serves the Japanese market. It operates two plants in Japan. The DSM Somos business unit specializes in the production of stereolithographic resins, which are used to make three- dimensional prototypes using Computer Aided Design (CAD) packages. DSM is the global No. 2 in this market. There is detailed review of the business and current projects.

DSM N V Annual Report 2001, 27 Mar 2002, 26-27 (DSM NV, PO Box 6500, 6401 JH Heerlen, The Netherlands. Tel: +31 45 578 2424. Fax: t31 45 574 0680. Website: http://www.dsm.com)

Capacity, revenue and profit soar for Thai Epoxy

Thai Epoxy Allied Products’ (TEC) output has increased to 24,000 tonnes/y, approximately 55% of which is utilized for coatings. In 1998, the 130-strong firm had a capacity of 30,000 tonnes/y. TEC’s original facility in Map Ta Put yields liquid products, whereas its second facility also yields solids to order. Around 80% of its total output are exported to its main markets, which cover the Middle East,

southeast Asia, Europe and North America. TEC, which is now

offering Bis-F epoxy resin, is also planning to launch reactive diluents soon. Future plans include the production of new materials for producers of

powders such as high molecular weight resin for coil and can coatings with low Badge and Bisphenol-A contents, low temperature curable powder coating resin, and low viscosity powder coating resin. In 2001, TEC’s affiliate, Thai Carbon

Black, had net profits of $9 M and revenues of $79.5 M, compared to $7.8 M and $60.2 M, respectively, in 2000. The firm

produces 150,000 tonnes/y of carbon black and intends to invest $18.2 M to increase its capacity to 200,000 tonnes/y to be completed in 2003. TEC also plans to purchase a smaller carbon black producer with a capacity of 20,000 tonnes/y for $4-5 M. The producer of more than 35 various grades of epoxy resins marketed under the Epotec brand, expects a l-2% increase

in revenues as a consequence of securing the Deming Prize and TPM Award.

APCJ, Asia Pacific Coatings Journal, Apr 2002, 15 (2), 12,14

Streaks and runs in the Asian paint race

Asian Paints has established itself as a top paint producer with facilities in India, Australia, Bangladesh and Sri Lanka. The

company has recently formed a 49:51 JV in Bangladesh, which is currently being transformed into an urban zone. Asian Paints has a large market share in India, whose powder coatings market is rising at 12%/y. The highly competitive Indian paint market has a volume estimated at 550,000-600,000 tonnes, with imports of around 11,000 tonnes mainly for specialized coating types that are not from the top six or so producers. The top six

JUNE 2002 5