The global styrenics industry is consolidating rapidly. NOVA Chemicals is positioned to take full advantage of the expected upturn in profitability through INEOS NOVA, the expanded 50:50 joint venture between INEOS and NOVA Chemicals. The joint venture is the largest styrene/polystyrene manufacturer in North America and the largest polystyrene/EPS manufacturer in Europe. Since start-up in 2005, the existing European component of the new joint venture has delivered more than $80 million in annual synergies—ahead of schedule. The expanded joint venture, which now includes assets in North America, is targeting an additional $80 million in synergies per year.
Since the expanded joint venture was launched on October
1, 2007, INEOS NOVA has taken immediate action to lower
costs, including the shutdown of two polystyrene plants
which represent 5% of North American capacity. The joint
venture also acquired the production rights to Sterling
Chemicals’ 1.7 billion pound Texas City styrene plant in
the fourth quarter of 2007; Sterling Chemicals subsequently
shut down the
plant — eliminating 11% of North
American capacity.
Styrenic polymers deliver cost-effective performance and processing advantages for demanding applications, such as refrigerator components.
Crystal polystyrene is specified for applications requiring low cost and high strength, such as single-use drinking cups and cutlery.
High-impact polystyrene provides a high-gloss finish and excellent impact strength for small appliance housings.
