Tackifier resin supply is being disrupted by declining U.S. feedstocks, rising labor costs, and shifting market demand.
DECLINING/CHANGING FEEDSTOCK AND RESIN SUPPLY
► U.S. HYDROCARBON tackifier feeds (which are ethylene by-products) significantly reduced in volume as natural gas becomes preferred raw material for ethylene production (lower cost than heavier liquid feeds which generate tackifier feeds).
► ROSIN production has declined 20% globally due to rising Asian labor costs.
► CONSOLIDATION of product lines by large producers continues, most recently due to hydrocarbon feed restrictions.
DEMAND SHIFTS AND DECLINES
► Packaging hot melts, major consumers of rosin tackifiers, shifting from EVA to polyolefin (metallocene type) hot melts which use only aliphatic (usually hydrogenated) hydrocarbon tackifiers.
► PUBLICATION inks, major users of rosin and hydrocarbon resins, have declined as much as 1/3 in volume due to e-communications.
TECKREZ brings supply assurance and expertise to manage changing dynamics and avoid disruptions. Whether C5, C9/C5, C9, hydrogenated rosin, liquid rosin ester or other technologies, Teckrez has the production, U.S. testing, convenient stocking and expertise to provide solutions.
► Direct, in-depth, well-established relationships
► Teckrez-owned and controlled testing and equipment
DIRECT CUSTOMER INVOLVEMENT
► To assure correct product selection and service
► Six warehouses located strategically throughout continental U.S.