Celanese To Aquire Exxon's Santoprene Business For USD 1.15 Billion

Celanese To Aquire Exxon's Santoprene Business For USD 1.15 Billion

Celanese Corporation, a chemical and speciality materials company, announced that it will acquire Exxon Mobil Corporation's Santoprene TPV elastomer business for USD1.15 Billion.

The company will be acquiring the intellectual property, production and commercial assets with acquiring the Santoprene, Dytron and Geolast product portfolios. It will have a total production capacity of a 190 kt across two production facilities in the US and UK. It employees about 350 employees. The transaction is expected to be carried out by the fourth quarter of 2021

Lori  Ryerkerk, Chairman and Chief Executive Officer, said, “With  the  acquisition  of  the  Santoprene  business,  we  are  further  expanding  the  unrivalled  portfolio of  engineered  solutions  we  bring  to  our  customers, this  transaction  represents  a  high-return  opportunity  to  drive  future  shareholder value  by  deploying  our  excess  cash  from  the  monetisation  of  our  passive  ownership  in  Polyplastics and  continued  strong  cash  generation  in  our  businesses. We  are  eager  to  welcome  the Santoprene  team  to  Celanese  and  look  forward  to  their  contributions  to  our  continued  growth  in Engineered  Materials.” (TT)

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    The Uniqueness Of Rubber Testing

    Tyre testing

    When I was informed that the theme for the December/January issue of Tyre Trends will be Tyre Testing Advancements, I was a little confused at first as to what should be a suitable entry point in bringing forth some insights into a subject that has seen significant advances during the past two decades. Finally, I thought it would be useful to the young managers if I relate some of my own experiences and viewpoints on rubber and tyre testing. It has been about 16 years since I retired form employment and from my active involvement in rubber testing directly or indirectly. However, during my ISO 9001, 14001 and ISO 45001 consultancies, I have been involved in conducting third party audits in the testing laboratories also.

    From the time I embarked on my learning and the career in rubber technology, I should say that testing was not my forte. I was more affiliated towards rubber chemistry, molecular structures, compounding ingredients and compounding, probably due to my affinity to organic and inorganic chemistry during my college days. However, due to some reason, which is not clear to me even to date, I happened to be associated with testing throughout the entire period I was working in rubber products manufacturing companies, either by way of managing the quality control and assurance or handling the product development activities. As a young trainee, way back in the late sixties, my first experience in rubber testing was the basic latex tests such as DRC, total solids, ammonia content and pH. On the dry rubber side, the only available test was the Shore A pocket hardness tester, which also was indicative of the status of cure and the durability of footwear. During the next decade or so at Batas, I was in charge of the laboratory, which handled the rubber formulations, and in-process quality control. The basic tests performed were on melting point, plasticity, hardness, abrasion, flexing, peel test for bonding, colour fastness for textile materials and the solid content for adessives. During our study days, we visited the Sri Lanka Tyre Corporation (currently CEAT Kelani) as part of the study programmes, and this was the only place in Sri Lanka to possess a wide range of conventional rubber testing equipment during those days.

    In later years, (1981-1998 intermittently) I had the opportunity to work in Kenya with Vaculug Traction Tyres, (re-treading of OTR and TBS tyres) and Avon Rubber ( LT/TBS tyre retreading, manufacture of bicycle tyres and tubes/ moulded  rubber goods}, and the level of testing facilities at both companies were minimal, but they were doing substantially profitable operations, notwithstanding the completion. During my subsequent engagement (1999-2008) at the process control laboratory at Associated Motorways, a fairly comprehensive range of testing equipment such as the Monsanto Rheometer, Tensile Tester, Rebound Resilience, DIN Abrader and Dispersion Analyzer were in use. The company manufactured a diverse range of rubber products such as re-treading of all tyre sizes and OTR, motor cycle and three-wheeler tyres, in addition to mixing custom compounds for some large pneumatic and solid tyre manufacturing companies in Sri Lanka and exporting re-cured tread in a small way to a few countries, and testing played a more important and sometimes critical role, in its efforts to  stay competitive with respect to  product quality, cost effectiveness and delivery schedules. I do not think that the term ‘cutting edge technologies’ was in the standard jargon, at least in the developing countries during those years. On looking back, it is my present realisation that testing is circumstantial or situational and ‘fitness for use’, as Joseph Juran defined, quality is the prime criterion, and the role played by testing too is relative.

    It could be my limited exposure to other contemporary disciplines, or my long exposure experience and perhaps the obsession in the rubber industry, that I am inclined to think of rubber technology as addictive. Perhaps exponents of other disciplines with long experience may be holding similar perceptions about their own fields of expertise. I remember with reverence my first lecturer in rubber technology, Mr Nadaraja  (deceased ), an ANCRT and the Head of Rubber Chemistry Dept of the Rubber Research Institute  of Sri Lanka, who devoted his entire professional life for the development of the rubber industry in Sri Lanka, a pioneer celebrated for his role in the deployment of oil extended NR for winter tyres, commercialisation of cyclised rubber in Sri Lanka during the lean years and the work on developing low-ammonia zinc oxide stabilised latex. Discussions with him were exciting and invigorating because he virtually breathed rubber, thought rubber and walked rubber in a literal as well as the metaphorical sense. Testing and test methods were invariable parts of the numerous discussions we had with him during the lectures or at the various meetings, including chats at his humble house over a cup of tea.

    On contemplating broadly, one can infer that rubber and the testing associated with it has a life cycle or a cradle-to-cradle perspective. It commences with the tapping of field latex at the plantation latex processing and conversion in the plantation grades of raw rubber, centrifuging, TSR manufacture, which are the primary processing operations. These are followed by latex and dry rubber products manufacture, which again consists of upstream and downstream processes, culminating in the finished products, their subsequent usage and service performance and finally the end-of-life disposal, or more aptly, re-use and re-cycling in this era of circular economy.

    Composite nature of most rubber products, including tyre and even the apparently simple moulded rubber products with a range of diverse applications, from simple door mat to O-rings and seals in aerospace applications and bio-medical devises, makes testing an integral component of rubber technology. During our study days, the pneumatic tyre was recognised as the most complex rubber product, a fact that still holds true even in these high-tech days. Since then, every aspect of rubber chemistry and physics, technology, compounding methodology and processing techniques have undergone unprecedented evolution, driven by the unending, ever thirsting quest and search for creating new product requirements and manufacturing new products or improving the existing products to meet the emerging stringent service requirements, as well the rapidly changing environmental and other regulatory compliance obligations. Modern rubber testing methods combine traditional and advanced techniques to evaluate the physical, chemical and mechanical properties. These methods are crucial for ensuring that the rubber components and finished products meet specific standards for performance durability and safety.

    My knowledge in other structural materials, e.g. metals/ceramics and plastics (to some extent) is rather Ilimited. However, even with that limited knowledge, I am convinced that rubber is truly a singularity, which, leaving aside the astronomical jargon, simply means an unusual or distinctive manner or behaviour.

    The macromolecular structures and the viscoelastic nature of natural as well as synthetic rubbers, which has necessitated an illogical series of breaking and re-making using physical and chemical processes and reactions, has made rubber a truly unique material. This complexity is further aggravated by the widely heterogeneous nature of the rubber additives with their own physical and chemical dispositions and interaction during the rubber processing operations. The processing conditions and parameters, including temperature, pressure, deforming forces and stresses, further contribute to the variability and unevenness lack of uniformity, or MURA, in the jargon of the Toyota Production System (TPS). To this, add the ever-increasing product performance requirements coupled with stringent environmental and safety regulations driven by the ongoing sustainability movement and the resulting emerging scenario is really complex and complicated, and testing along the entire value chain has become an integral and indispensable ingredient in the modern-day rubber products manufacturing.

    Historically, rubber testing has evolved since the initial discovery of rubber and its use, particularly as it became integral to industrial applications in the 19th and 20th centuries. Initially, the testing was basic, focusing on strength and elasticity to evaluate the suitability of rubber for applications such as tyres, hoses and seals. However, with the advent of synthetic rubbers and the development of new product applications, more advanced testing became necessary. Some key milestones in the history of rubber testing can be identified as follows:

    Early testing (19th Century): Era of natural rubber and basic methods such as elongation and crude tensile testing.

    Development of standardised testing such as tensile, abrasion and ageing tests.

    Introduction of systemic rubber and World War II (1930s-1940s): Testing for chemical resistance temperature tolerance and durability essential for military and industrial uses.

    Modern testing standards: (1950s to present): Measuring properties like hardness, elasticity, resistance to chemicals, UV and Ozone, development of advanced testing equipment and standardised test methods, ASTM and ISO.

    Advanced Testing (21st Century): Computerised equipment such as dynamic mechanical analysis (DMA) and thermogravimetric analysis (TGA)

    In this era, where AI has become the catchword in almost every facet of human activity, we cannot ignore the potential and helping role of AI in current and futuristic rubber testing, especially in the following areas:

    Predictive Modelling and Simulation

    Detection of Defects

    Process Optimisation

    Non-Destructive Testing (NDT)

    Data Driven Insights

    Automated Testing and Quality Control

    The current tendency of embracing new surges of waves such as automation, digital interphases and AI sometimes made us to speculate if the current generation is witnessing the last remnants of human integrity and skills, in rubber testing in areas such as:

    Interpretation and analysis

    Technical expertise

    Trouble shooting

    Quality assurance.

    Adaptability and decision-making

    Continuous improvement

    However, it is a demonstrated fact that the combination of human expertise and modern rubber testing leads to better and more accurate testing outcomes. Human skills ensure that technology is used more effectively in obtaining meaningful results and establishment of continuously optimised testing procedures.

    I am curiously inclined to look for parallels between the rubber testing and the modern medical tests, where both seem to deal with complex systems, with a strong interdependency of the subsystems and components. The basic scientific concept of ‘test, observation and inference’ seems to be applicable to both disciplines. Testing can be predictive or diagnostic, and we are sometimes astounded by the array of tests that the medical specialists recommend before they arrive at a specific conclusion, even in the case of trivial illnesses. Unlike in the old days, where keen observation and intuition was the norm, there seem to be an over dependency on testing, perhaps ostensibly due to commercial reasons. I can remember that about sixty years ago, the practitioners of Western medicine had a habit of feeling the pulse of the patients. This was unmistakeably the practice used by the native physicians.

    I sometimes as a person of the older generation tend to wonder if we as rubber technologists have become overly dependent on rubber testing equipment, which has become a multi- million dollar business. Are we doing things right (efficiency) or are we doing the right things (effectiveness) is an issue I would wish the readers to contemplate.

    The author is a Management Counsellor from Sri Lanka.

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      How To Get Maximum Benefit From Tyres: Commercial Fleet And Mining Operations

      How To Get Maximum Benefit From Tyres: Commercial Fleet And Mining Operations

      In human mobility, tyres are ‘the only contact between the vehicle and road’, to make people move from one point to another ‘safely’.

      In land cargo transportation, they are the ‘work horse’ of the supply chain for any goods, whether industrial (raw material) or finished goods. In special applications such as mining, they are ‘mimicking’ pipelines in the oil and gas industry, such as piping where hydraulic pumps replaced by truck engines.

      So tyres play a ‘critical role’ in transporting almost anything: ‘people and goods’ when we must deliver on land transport mode.

      The challenges: Too many options

      Its vital role is not questionable. But having that critical role doesn’t mean it’s easy to handle for the end user.
      Why?

      In the case of tyres, we know premium brands, regional brands and sometimes local brands. The classic question is: which one is the best?

      For personal purposes (PCR), a decision could be made easily with the risk of losing a small amount of money. Simply fitting a tyre according to OEM standards will not be a big issue. The problem arises with fleet companies (trucking or bus) with tens, hundreds or even thousands of units of equipment.

      Even riskier when it comes to OTR tyres, where prices can reach tens of dollars or more. It is not easy to pick which one is the best.

      How to choose the most suitable tyre for operations?

      In order to get the right choice, we must do the following:

      1. Define performance indicators: Productivity or efficiency -  Regarding commercial tyres (TB/AG/OTR/IND), performance is defined as productivity and efficiency. These two elements are sometimes aligned and sometimes contradictory.

      Which one should be chosen?

      It depends on the company’s goal or situation. We must optimise between those two so that it becomes ‘business decision’ and not a solely ‘tyre technical decision’. When productivity takes the lead compared to efficiency

      One fleet of 120T giant trucks fitted with 27.00R49 has limitations due to the TKPH caused mainly by long distances, so the real site TKPH is quite high. It limits trucks operating cycles to only 6.5 per shift. It is only transporting coal at 120 T/cycle x 6 cycles = 720 T per shift, while the end user burns fuel without getting tonnage in return for a half cycle.

      In this situation, the end user is not sensitive to efficiency; they are more sensitive to how to increase productivity.

      When efficiency becomes the driver instead of productivity

      The other situation is that coal transporters have problems with tyre costs due to inefficient tyre usage. The end user thinks they made a good choice using the 12.00R24 *** (three-star) rating. They expect a long life, but the outcome is the opposite. Testing was done with bias tyres (12.00-24), 18PR and 20PR. Comparison testing was done for six months, and in the end, we concluded bias tyres were more efficient than radial tyres.

      The explanation for why bias tyres perform better than radial tyres comes from a pressure check done with 1,500 points of data show ‘intentional’ pressure reduction.

      When it was discussed with site management and the driver, the driver told management that the hauling road was undulating, forcing them to reduce pressure. If they don’t reduce pressure, they will suffer from back pain.

      So in terms of truck load, it is not overload, but in terms of tyres, it becomes overload due to low pressure. As bias tyres use nylon as the carcass, they have more resistance to fatigue, whereas radial tyres using steel cord have less resistance to fatigue and are more prone to premature failure.

      The common sayings that radial is better than bias, premium is better than normal brand and thicker tread is better than shallow tread are more myths than realities. It all depends on the requirements coming from the field/ operations.

      2. Optimise tyre life

      The only way to do this is the end user doing an assessment of their requirements for each application, operating condition and site/road condition. This way, they could be able to build up the tyre requirements and externalise their requirement to get the most suitable tyre specification from whichever brand and whichever type of tyres.

      With tyre OEMs mostly developing products for the most common applications, the potential performance is not necessarily the best performance on every site, independent of the brand, tyre type etc.

      The best suggestion for the end user and OEMs

      OEMs should start Co-Creation Value by having close communication from the beginning about actual customer requirements and focusing on creating the most suitable solution rather than the most common approach.

      How it becomes practical If fleet truck customers have more than 1,000 trucks and mining customers have at least 100 giant trucks, they would like to have the most suitable product rather than the most common product for their application, as their tyre cost will be significant to gain their attention.

      Meanwhile, for OEMs, it is worth to develop tyres with the most suitable solution and treat the customer as Key Account.

      How to measure the benefits for each party

      For the end user, the more suitable the tyre, the more optimum tyre performance they will have. For OEMs, the measurement is quite simple: calculating the potential life-time value (LTV) of a customer (estimate revenue generated from this customer) compared to the cost-time value (CTV) of the customer (the spending on developing products and maintaining relationship with the customer).

      And if LTV/CTV > 1, it is an Attractive Customer. If the estimated LTV/CTV is not attractive enough to be handled, the OEM could focus on another customer.

      Summary

      • Tyre optimisation for end-user applications is a fair measure, and the actual performance indicator aligns with the temporary business objectives of the end-user that could change over time; one time it will be more productivity focused, the other time it may be efficiency focus.
      • Democratisation and an open field for the whole OEM player that is not dogmatised as premium always being better, radial always being better or star rating always being better. It is merely how end-users could define their operational requirements and work together as cocreators with certain OEMs.
      • It is not necessary for OEMs to chase all market segments; each OEM could choose where they will be more competitive than others. Meanwhile, for the end-user, they will get high-quality and reliable service from certain OEMs on their tyre usage.

      Representational image courtesy: cebmumbai/Facebook

      The author is an engineering expert in the mining and truck tyres field. 
      The column was first published in August-September 2023 issue of Tyre Trends.

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        INNOVATIVE SOLUTIONS FOR CORD CUTTING

        INNOVATIVE SOLUTIONS FOR CORD CUTTING

        KE FISCHER, the world leader in cord cutting technology, displayed a comprehensive range of products and services tailored to various aspects of tyre manufacturing at the Tire Technology Expo 2024. The company has been raising the bar with its latest cord cutting lines. These lines integrate several cutting-edge technologies, prioritising high productivity, precision and adaptability to meet the ever-changing demands of the tyre industry. Designed for highly automated production processes, KE FISCHER’s cord cutting lines ensure efficient and high-quality tyre manufacturing. This focus on innovation positions the company as a vital partner for tyre companies seeking to optimise their operations and remain competitive.

        KE FISCHER showcased the latest developments of its cutting-edge technology in tyre machinery at the Tire Technology Expo 2024, reinforcing its position as a world leader in cord cutting technology.

        The exhibition displayed a comprehensive range of products and services tailored to various aspects of tyre manufacturing. The highlighted technologies and services included steel and textile cord cutting lines, extruder technology, RFID lamination lines and offline stations, among others. These products cater to a wide range of tyre types, including those for two- and three-wheelers, passenger cars and SUVs, light trucks, trucks and buses, off-the-road vehicles, agriculture and industrial applications, racing and aircraft, and particular commodities like air springs and conveyor belts.

        “The spirit of innovation and continuous technical development that drives KE FISCHER and Tire Technology Expo in Hannover is the perfect place to show our products and the latest innovations and developments to all our customers. It is the place where all tyre manufacturers meet in one spot. So you have all the experts, decision-makers, and interested parties in one place. This is unique,” said Chief Executive Officer Dr Jörn Seevers.

        “One of the main focuses in our offerings is the RFID lamination line, as the RFID tyre tag is the only way to ensure traceability following the cradle-to-grave principle,” said Dr Seevers.

         

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          Long Way To Go

          Royal Enfield Unveils Streetwind Eco Riding Jacket

          Since its inception over two decades ago, Tire Technology Expo (TTE) has consistently been the top choice for the global tyre industry, particularly for design, raw materials, machinery, and manufacturing suppliers. Tony Robinson, Founder and CEO of UKIP Media & Events, the organiser of TTE, is confident that the expo can be successfully run for the next three decades and beyond, even on a larger scale.

          “In France, we launched the TTE in 2001. My goal has always been to commemorate the TTE’s 50th anniversary or more. I’m hoping I’ll still be here then. This year marks the expo’s 22nd edition, which has always been very successful till today. I see no reason why the show will not continue to be very successful. I think more novelties and new ideas will be coming through, which will keep the show alive and exciting. The tyre industry has previously been secretive, but it has now realised that sharing information benefits the entire industry, and I think that openness is something which we are looking forward to, and TTE will be part of that process, getting to the 50th anniversary and beyond,” said Robinson.

          Robinson anticipates over 5,000 visitors and approximately 230 exhibitors, including over 20 new entrants from around the world, for the TTE 2023. “All of the well-known companies we have had as our exhibitors throughout the years will be present in force. I also anticipate a very high visitor level. Additionally, we anticipate a sizeable attendance at our conference and short courses. It should therefore be a fantastic show. I would love to see it return to the famous cliché – the pre-pandemic activity level.

          This year’s event will also be plagued by uncertainties in China, but Chinese businesses outside China will actively participate and present their solutions. Chinese exhibitors include MESNAC, Sinoarp, CURC and Himile, to name a few. “We will see a reduction in the participation from China. We expect them to return fully by next year,” added Robinson.

          Due to their innovations and ground-breaking products, startups in the tyre sector are gaining ground, and TTE provides a low-cost environment to support them.

          “We were talking about how some of the smallest businesses produce some of the best innovations the other day. We can offer them discounted entrance fees to provide them exposure on the worldwide stage. Not only that, but we also provide a platform through our conference for young scientists, graduates and postgraduates to deliver their papers, which are frequently very creative and inventive. To support them, we also have a Young Scientist award. In addition, we provide a fantastic platform for new businesses to participate in events,” said Robinson.

          However, TTE always misses leading tyre manufacturers on their exhibitors’ list. But it has always been a conscious decision to keep TTE as the suppliers’ show. Continental has been a traditional participant, showcasing its bladder solutions. Michelin has also increased its presence in the show in recent times. “The TTE is a show about manufacturing, raw materials, chemicals and tyre design. Due to the absence of fleet customers as attendees, we do not encourage tyre manufacturers to exhibit. Instead, tyre manufacturing businesses are the ones who come to the expo and conference,” said Robinson.

          Robinson asserts that future exhibitor and speaker profiles will be significantly influenced by trends around the development of environmentally preferable tyres in terms of manufacturing, applications and endof-life stage in the tyre industry. The CEO of UKIP Media elaborated on the upcoming trends that will steer TTE, saying, “Being focused on design, materials, equipment and manufacturing, TTE is always interested in upcoming developments. Nonpneumatic tyres really pique my curiosity. It goes without saying that non-pneumatic has many difficulties, but the industry is attempting to find solutions. Data collection from tyres will be another trend in the future. Data capturing provides information on tyre life and conditions and initial stage damages in road surfaces that could aggravate later. Tyre sensors will also play a vital role in autonomous vehicles. There is still room for the development of puncture-proof tyres. Lightweight materials and sustainability will remain a larger focus for the tyre industry.”

          Compared to his automotive testing show, Robinson does not intend to take TTE elsewhere. Robinson said, “We have always positioned ourselves as a show in Europe. We claim that the TTE is the premier international tyre design and manufacturing show conducted yearly in Europe. It is the top tyre show not only in Europe but also globally. TTE is a well-known brand that is now in its 22nd year. There are several tyre shows worldwide, but we would love to be a yearly event that serves as the centre point show for tyre manufacturing and design. We would prefer to have that presence than to fragment the show into many different parts of the world.”

          Robinson also intends to have conferences and workshops virtually. “Virtually, we cannot hold exhibitions as you cannot demonstrate machinery. However, I never heard of a single exhibitor that was satisfied with what they achieved virtually in the future. So we will augment our leading annual conferences and some of our workshops with virtual presentations that can be made and customised to a virtual environment.

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