World Solvents Market - market research report

. INTRODUCTION, METHODOLOGY & PRODUCT DEFINITIONS

Study Reliability and Reporting Limitations I-1
Disclaimers I-2
Data Interpretation & Reporting Level I-2
Quantitative Techniques & Analytics I-3
Product Definitions and Scope of Study I-3
Solvents I-3
Oxygenated Solvents I-3
Alcohols I-3
Ketones I-3
Esters I-3
Ethers I-3
Chlorinated Solvents I-4
Hydrocarbon Solvents I-4
Green Solvents I-4

II. EXECUTIVE SUMMARY

1. Industry Overview II-1
Competitive Landscape II-1
Leading Producers and their Solvent Portfolio II-1
Table 1: World Solvents Market (2006) - Leading Players�
Consolidated Revenues in US$ Billion (includes corresponding
Graph/Chart) II-2
Key Market Trends II-2
Methyl Ether Ketone II-2
Growing Demand for Acetates II-3
Ethyl Acetate Offers the Best Environment-Friendly Alternative II-3
Demand for Ethyl Acetate Soars in Asia II-3
Environmental Regulations Spur Growth of Green Solvents II-3
Regulatory Concerns Impact Solvent Industry II-3
Hydrocarbon and Chlorinated Solvents Demand on the Decline II-4
Declining Use of Solvent-based Coatings and Printing Inks II-4
China Spurs Growth in Asia-Pacific II-4
Low Labor Costs Promote New Plants in Asia-Pacific II-4
Environmental & Health Issues II-5
Exposure to Domestic Solvents Leads to Asthma in Children II-5
Solvent Exposures During Pregnancy Adversely Affects Offspring II-5
Global Market Overview II-5

2. Product Overview II-7
Health Hazards II-7
Protection from Solvents II-7
Table 2: Global Solvents Market (2005): Percentage Breakdown
by End-Use Application for Paints, Pharmaceuticals,
Adhesives, Printing Inks, Cosmetics, Home/Car Care,
Metal/Industrial Cleaning, Rubber/ Polymer Manufacture, and
Others (includes corresponding Graph/Chart) II-8
Classification of Solvents II-8
Conventional Solvents II-8
Oxygenated Solvents II-8
Alcohols II-8
Methanol II-8
Ethanol II-8
Isopropanol II-8
Overview II-8
Capacity & Consumption II-9
Table 3: Leading Manufacturers of Isopropyl Alcohol
(IPA) Worldwide (2003 Historic Data): Percentage
Breakdown of Capacity for Shell, ExxonMobil, Dow Sasol
and Others (includes corresponding Graph/Chart) II-9
Others II-9
Butanol II-9
2-Methyl Butanol II-9
Phenol II-10
Table 4: Global Phenol Market (2003 Historic Data):
Percentage Breakdown of Demand by End-Use Application -
Bisphenol A, Phenolic resin, Nylon, Alkylphenol,
Polypheylene oxide, Aniline, and Others (includes
corresponding Graph/Chart) II-10
Ketones II-10
Acetone II-10
Methyl Ethyl Ketone II-10
Table 5: Leading MEK Producers Worldwide (2003 Historic
Data): Capacity in Thousand Metric Tons for Shell
Chemicals, Exxon Mobil Chemical, Maruzen Petrochemical,
Tonen Sekiyu Kagaku, Atofina, SK Corp, Sasol, Celanese,
and Idemitsu Petrochemical (includes corresponding
Graph/Chart) II-11
Methyl Isobutyl Ketone (MIBK) II-11
Capacity, Production & Consumption II-11
Esters II-12
Ethyl Acetate II-12
Butyl Acetate II-12
Ethers II-12
Ethylene Glycol II-12
Table 6: Global Ethylene Glycol Market (2003 Historic
Data): Percentage Breakdown of Demand by End-Use
Application - Polyester Fiber, PET Bottles, Antifreeze,
Industrial, PET Film, and Others (includes corresponding
Graph/Chart) II-12
E-Series Ethers (Glycol Ethers) II-12
Hydrocarbon Solvents II-13
Mineral Spirits II-13
Odorless Mineral Spirits II-13
VM&P Naphtha (Varnish Maker�s and Painter�s Naphtha) II-13
Xylene and Toluene II-13
Table 7: Global Toluene Market (2003 Historic Data):
Percentage Breakdown of Demand by End-Use Application -
Benzene, Xylenes, Solvents, Toluene Disocyanatme, Gasoline
Blending, and Others (includes corresponding Graph/Chart) II-14
Benzene II-14
Chlorinated Solvents II-14
Methylene Chloride II-14
Table 8: Global Methylene Chloride Market (2003 Historic
Data): Percentage Breakdown of Demand by End-Use
Application - Paint Removal, Formulated Products, Chemical
Processing, Foam Manufacture, Metal Cleaning and Others
(includes corresponding Graph/Chart) II-15
Perchloroethylene II-15
Trichloroethylene II-15
Table 9: Global Trichloroethylene Market (2003 Historic
Data): Percentage Breakdown by End-Use Application -
Organic Solvent for Industrial Degreasing, Cold Cleaning,
PVC Production, and Others (includes corresponding
Graph/Chart) II-15
Others II-16
Chlorinated Fluorocarbons II-16
Chlorobenzene II-16
Chloroform II-16
1,1,1-trichloroethane II-16
Green Solvents II-16
Terpenes II-17
Pinenes II-17
Limonene II-17
Butanediol II-17
Tetrahydrofuran II-17
Alternative Solvents II-17

3. End-Use Market Scenario II-19
Adhesives II-19
Agricultural Chemicals II-19
Carrier Solvents II-19
Dry Cleaning II-19
Flexible Packaging II-20
House/Car II-20
Metal/Industrial Cleaning II-20
Oil Seed Extract II-20
Paints and Coatings II-21
Advantages II-21
Disadvantages II-21
Application Techniques for Solvent Based Coatings II-21
Table 10: Solvent-Based Coatings Worldwide (2001 Historic
Data): Percentage Breakdown of Demand by Region/Country -
North America, Asia-Pacific, Europe, Japan, and Rest of
World (includes corresponding Graph/Chart) II-22
Personal Care II-22
Pharmaceuticals II-22
Printing Inks II-23
Rubber/Polymer Manufacture II-23
Other Uses and Applications II-23

4. Regulatory and Environmental Issues II-24
US Regulatory Scenario II-24
European Solvent Emissions Directive II-24
Emission Limits Option II-24
Reduction Scheme Option II-24
National Plan Option II-24
Environmental Effects II-25

5. Product Introductions/Innovations II-26
Applied Chemical Develops ACL-23 EpoxSol� II-26
Advanced Aromatics Launches Advasol 140H and Advasol 200H
Solvents II-26
Honeywell Introduces LabReady Solvent Blends� II-26
Centre for Scientific Research Develops Hydrocalcite II-27
Honeywell Introduces Laboratory Plus Solvents II-27
Argonne Develops New Purification Separation System for Ethyl
Lactate II-27

6. Product Introductions in Recent Past II-28
Henkel Develops Novel Cleaning Solvents II-28
Eastman Introduces Eastman EEH Solvent II-28
Lyondell Introduces Impress� II-28
Sachem Launches Ionic Liquids II-28
Scionix Introduces Ionic Liquids II-28
Vertec Launches VertecBio Citrus II-28
SIS Unveils New Era Solvent Line II-28

7. Recent Industry Activity II-30
Basell Acquires Lyondell Chemical II-30
Spentimet Acquires Syntra II-30
Cristal Acquires Worldwide Inorganic Chemical Business of
Lyondell II-30
Solvochem Acquires Distribution Rights of Shell Solvents II-30
INEOS Acquires Borealis AS II-30
Nippon Shokubai to Acquire Stakes in Nippon Nyukazai and Sino
-Japan II-31
GSK to Acquire Reliant Pharmaceuticals II-31
Calumet to Take Over Penreco II-31
KMG to Acquire Air Products' HPPC Unit II-32
Kriti Industries to De-Merge Molding and Solvents Division II-32
Alliance Bags Contract from Defense Logistics Agency II-32
Rohm and Haas to Invest $100 Million in India II-32
BASF Announces New Investment Plan II-32
Lyondell to Enter into Isopropyl Alcohol Market II-32
ExxonMobil Plans Upgradation of Solvents Plant II-32
Helm Enters into Long-Term Agreement with Methanol Chemicals II-33
Lyondell Signs Multi-Year Agreement with Crop Energies II-33
Sigma-Aldrich Enters into an Agreement with ChiroSolve II-33
Sasol Undertakes Capacity Expansion of DEE Plant II-34
Tnemec and Bridgeport Sign a Licensing Agreement II-34
Kimaya to Establish a Solvent Extraction Plant II-34
INEOS Completes Acquisition of Ethylene Oxide Business from BP II-34
Verdant Takes Over SynChem Technology II-34
Bateman Litwin to Construct Solvent Extraction Plant for Codelco II-35
Dow to Construct 120,000 Metric Tons Capacity Plant II-35
Calgon Divests Solvent Recovery Business II-35
SPCI Signs Distribution Agreement with Eastman Chemical Company II-35
China Petroleum and BASF Enter into an Agreement to Expand
Verbund Facility II-36
Cognis Inaugurates Oleochemical Solvents Manufacturing Unit II-36
Total Petrochemicals and UOP Sign Agreements for Joint
Development Program II-36
Alliance Chemical Bags Contract from Defense Logistics Agency II-37

8. Strategic Corporate Developments in Recent Past II-38
Blackstone Acquires Majority Stake in Celanese II-38
Honeywell Signs Agreement with Qualigens II-38
Chevron Phillips Chemical Company Signs ChemPoint as Exclusive
Distributor II-38
Cargill Dow Enters into Agreement with Ashland II-38
Shell Signs Campi y Jove Maghreb as Exclusive Distributor II-38
Shell Shuts Down MEK Facility II-38
SK Signs Contract with Honeywell II-39
Lyondell and Millennium Announce Agreement to Combine II-39
Shell Appoints Univar as Scandanavian Solvent Distributor II-39
Continental Acquires PB Buana Solvindo II-39
SK Corp in Joint Venture with Sinopec II-39
Shell Expands Oxygenated Solvents Capacity II-39
ExxonMobil Expands Isopropanol Capacity II-40
Celanese in Joint Venture with Degussa II-40
ChemOrganics Acquires Marketing Rights for KochPure II-40
Chemcentral Acquires Southwest Solvents II-40
VOPAK Increases Bulk Solvents Terminal Capacity II-40
Trysol Builds New Solvents Fractionating Plant II-40

9. Focus on Select Global Players II-41
Basell (The Netherlands) II-41
BASF AG (Germany) II-41
BP Plc (UK) II-42
Celanese Corporation (USA) II-42
Chevron Phillips Chemical Company LLC (USA) II-43
Citgo Petroleum Corporation (USA) II-43
Eastman Chemical Company (USA) II-43
Exxon Mobil Corporation (USA) II-44
INEOS Group Limited (UK) II-44
Lyondell Chemical Company (USA) II-44
Sasol Limited (South Africa) II-45
Shell Chemicals Limited (UK) II-46
The Dow Chemical Company (USA) II-46
Total SA (France) II-46
Vulcan Materials Company (USA) II-47

10. Global Market Perspective II-48
Table 11: World Recent Past, Current & Future Analysis for
Solvents by Geographic Region - USA, Canada, Japan, Europe,
Asia-Pacific (excluding Japan), Latin America and Rest of
World Markets Independently Analyzed with Annual Sales in
Thousand Metric Tons for Years 2000 through 2010 (includes
corresponding Graph/Chart) II-48

Table 12: World Long-term Projections for Solvents by
Geographic Region - USA, Canada, Japan, Europe, Asia- Pacific
(excluding Japan), Latin America and Rest of World Markets
Independently Analyzed with Annual Sales in Thousand Metric
Tons for Years 2011 through 2015 (includes corresponding
Graph/Chart) II-49

Table 13: World 10-Year Perspective for Solvents by Geographic
Region - Percentage Breakdown of Volume Sales for USA, Canada,
Japan, Europe, Asia-Pacific (excluding Japan), Latin America
and Rest of World Markets for Years 2000, 2007 & 2010
(includes corresponding Graph/Chart) II-50

Table 14: World Recent Past, Current & Future Analysis for
Oxygenated Solvents by Geographic Region - USA, Canada, Japan,
Europe, Asia-Pacific (excluding Japan), Latin America and Rest
of World Markets Independently Analyzed with Annual Sales in
Thousand Metric Tons for Years 2000 through 2010 (includes
corresponding Graph/Chart) II-51

Table 15: World Long-term Projections for Oxygenated Solvents
by Geographic Region - USA, Canada, Japan, Europe,
Asia-Pacific (excluding Japan), Latin America and Rest of
World Markets Independently Analyzed with Annual Sales in
Thousand Metric Tons for Years 2011 through 2015 (includes
corresponding Graph/Chart) II-52

Table 16: World Recent Past, Current & Future Analysis for
Oxygenated Solvents by Product Segment - Alcohols, Ketones,
Esters and Ethers Markets Independently Analyzed with Annual
Sales in Thousand Metric Tons for Years 2000 through 2010
(includes corresponding Graph/Chart) II-53

Table 17: World Long-term Projections for Oxygenated Solvents
by Product Segment - Alcohols, Ketones, Esters and Ethers
Markets Independently Analyzed with Annual Sales in Thousand
Metric Tons for Years 2011 through 2015 (includes
corresponding Graph/Chart) II-53

Table 18: World 10-Year Perspective for Oxygenated Solvents by
Geographic Region - Percentage Breakdown of Volume Sales for
USA, Canada, Japan, Europe, Asia-Pacific (excluding Japan),
Latin America and Rest of World Markets for Years 2000, 2007 &
2010 (includes corresponding Graph/Chart) II-54

Table 19: World 10-Year Perspective for Oxygenated Solvents by
Product Segment - Percentage Breakdown of Volume Sales for
Alcohols, Ketones, Esters and Ethers Markets for Years 2000,
2007 & 2010 (includes corresponding Graph/Chart) II-55

Table 20: World Recent Past, Current & Future Analysis for
Alcohols by Geographic Region - USA, Canada, Japan, Europe,
Asia-Pacific (excluding Japan), Latin America and Rest of
World Markets Independently Analyzed with Annual Sales in
Thousand Metric Tons for Years 2000 through 2010 (includes
corresponding Graph/Chart) II-56

Table 21: World Long-term Projections for Alcohols by
Geographic Region - USA, Canada, Japan, Europe, Asia- Pacific
(excluding Japan), Latin America and Rest of World Markets
Independently Analyzed with Annual Sales in Thousand Metric
Tons for Years 2011 through 2015 (includes corresponding
Graph/Chart) II-57

Table 22: World 10-Year Perspective for Alcohols by Geographic
Region - Percentage Breakdown of Volume Sales for USA, Canada,
Japan, Europe, Asia-Pacific (excluding Japan), Latin America
and Rest of World Markets for Years 2000, 2007 & 2010
(includes corresponding Graph/Chart) II-58

Table 23: World Recent Past, Current & Future Analysis for
Ketones by Geographic Region - USA, Canada, Japan, Europe,
Asia-Pacific (excluding Japan), Latin America and Rest of
World Markets Independently Analyzed with Annual Sales in
Thousand Metric Tons for Years 2000 through 2010 (includes
corresponding Graph/Chart) II-59

Table 24: World Long-term Projections for Ketones by
Geographic Region - USA, Canada, Japan, Europe, Asia- Pacific
(excluding Japan), Latin America and Rest of World Markets
Independently Analyzed with Annual Sales in Thousand Metric
Tons for Years 2011 through 2015 (includes corresponding
Graph/Chart) II-60

Table 25: World 10-Year Perspective for Ketones by Geographic
Region - Percentage Breakdown of Volume Sales for USA, Canada,
Japan, Europe, Asia-Pacific (excluding Japan), Latin America
and Rest of World Markets for Years 2000, 2007 & 2010
(includes corresponding Graph/Chart) II-61

Table 26: World Recent Past, Current & Future Analysis for
Esters by Geographic Region - USA, Canada, Japan, Europe,
Asia-Pacific (excluding Japan), Latin America and Rest of
World Markets Independently Analyzed with Annual Sales in
Thousand Metric Tons for Years 2000 through 2010 (includes
corresponding Graph/Chart) II-62

Table 27: World Long-term Projections for Esters by Geographic
Region - USA, Canada, Japan, Europe, Asia- Pacific (excluding
Japan), Latin America and Rest of World Markets Independently
Analyzed with Annual Sales in Thousand Metric Tons for Years
2011 through 2015 (includes corresponding Graph/Chart) II-63

Table 28: World 10-Year Perspective for Esters by Geographic
Region - Percentage Breakdown of Volume Sales for USA, Canada,
Japan, Europe, Asia-Pacific (excluding Japan), Latin America
and Rest of World Markets for Years 2000, 2007 & 2010
(includes corresponding Graph/Chart) II-64

Table 29: World Recent Past, Current & Future Analysis for
Ethers by Geographic Region - USA, Canada, Japan, Europe,
Asia-Pacific (excluding Japan), Latin America and Rest of
World Markets Independently Analyzed with Annual Sales in
Thousand Metric Tons for Years 2000 through 2010 (includes
corresponding Graph/Chart) II-65

Table 30: World Long-term Projections for Ethers by Geographic
Region - USA, Canada, Japan, Europe, Asia- Pacific (excluding
Japan), Latin America and Rest of World Markets Independently
Analyzed with Annual Sales in Thousand Metric Tons for Years
2011 through 2015 (includes corresponding Graph/Chart) II-66

Table 31: World 10-Year Perspective for Ethers by Geographic
Region - Percentage Breakdown of Volume Sales for USA, Canada,
Japan, Europe, Asia-Pacific (excluding Japan), Latin America
and Rest of World Markets for Years 2000, 2007 & 2010
(includes corresponding Graph/Chart) II-67

Table 32: World Recent Past, Current & Future Analysis for
Chlorinated Solvents by Geographic Region - USA, Canada,
Japan, Europe, Asia-Pacific (excluding Japan), Latin America
and Rest of World Markets Independently Analyzed with Annual
Sales in Thousand Metric Tons for Years 2000 through 2010
(includes corresponding Graph/Chart) II-68

Table 33: World Long-term Projections for Chlorinated Solvents
by Geographic Region - USA, Canada, Japan, Europe,
Asia-Pacific (excluding Japan), Latin America and Rest of
World Markets Independently Analyzed with Annual Sales in
Thousand Metric Tons for Years 2011 through 2015 (includes
corresponding Graph/Chart) II-69

Table 34: World 10-Year Perspective for Chlorinated Solvents
by Geographic Region - Percentage Breakdown of Volume Sales
for USA, Canada, Japan, Europe, Asia-Pacific (excluding
Japan), Latin America and Rest of World Markets for Years
2000, 2007 & 2010 (includes corresponding Graph/Chart) II-70

Table 35: World Recent Past, Current & Future Analysis for
Hydrocarbon Solvents by Geographic Region - USA, Canada,
Japan, Europe, Asia-Pacific (excluding Japan), Latin America
and Rest of World Markets Independently Analyzed with Annual
Sales in Thousand Metric Tons for Years 2000 through 2010
(includes corresponding Graph/Chart) II-71

Table 36: World Long-term Projections for Hydrocarbon Solvents
by Geographic Region - USA, Canada, Japan, Europe,
Asia-Pacific (excluding Japan), Latin America and Rest of
World Markets Independently Analyzed with Annual Sales in
Thousand Metric Tons for Years 2011 through 2015 (includes
corresponding Graph/Chart) II-72

Table 37: World 10-Year Perspective for Hydrocarbon Solvents
by Geographic Region - Percentage Breakdown of Volume Sales
for USA, Canada, Japan, Europe, Asia-Pacific (excluding
Japan), Latin America and Rest of World Markets for Years
2000, 2007 & 2010 (includes corresponding Graph/Chart) II-73

Table 38: World Recent Past, Current & Future Analysis for
Green Solvents by Geographic Region - USA, Canada, Japan,
Europe, Asia-Pacific (excluding Japan), Latin America and Rest
of World Markets Independently Analyzed with Annual Sales in
Thousand Metric Tons for Years 2000 through 2010 (includes
corresponding Graph/Chart) II-74

Table 39: World Long-term Projections for Green Solvents by
Geographic Region - USA, Canada, Japan, Europe, Asia- Pacific
(excluding Japan), Latin America and Rest of World Markets
Independently Analyzed with Annual Sales in Thousand Metric
Tons for Years 2011 through 2015 (includes corresponding
Graph/Chart) II-75

Table 40: World 10-Year Perspective for Green Solvents by
Geographic Region - Percentage Breakdown of Volume Sales for
USA, Canada, Japan, Europe, Asia-Pacific (excluding Japan),
Latin America and Rest of World Markets for Years 2000, 2007 &
2010 (includes corresponding Graph/Chart) II-76

III. MARKET

1. The United States III-1
A.Market Overview III-1
Current & Future Analysis III-1
Market Trends III-1
US Demand for Solvents to Witness Modest Growth III-1
Chlorinated Solvents Raise Serious Concerns III-2
Non-Solvent Based Products Affect Demand III-2
Conventional Solvent Demand Declines III-2
An Overview of the Recent Past III-3
Table 41: Alternative Solvents Market in the US (2002):
Values Sales in US$ Million by Product Type - Alternative
Solvents, Aqueous Cleaners, Semi-Aqueous Cleaners, and
Solvent-Free Technologies (includes corresponding
Graph/Chart) III-3
Environmental Issues Shape Market Fortunes III-3
Product-Specific Trends III-4
MEK III-4
Table 42: MEK Consumption in the US (2003): Percentage
Breakdown of Demand by End-Use Application - Solvents,
Adhesive Solvents, Magnetic Tapes, Lubricants, Chemical
Intermediates, Printing Inks and Others (includes
corresponding Graph/Chart) III-4
Toluene III-4
Table 43: Leading Toluene Producers in the US (2003):
Production in �000 Metric Tons for ExxonMobil Chemical,
BP, Sunoco Chemical, Chevron Phillips Chemical, Hovensa,
Atofina, Flint Hill Resources, Tosco Phillips, Equistar
Chemicals, Citgo, Marathon Ashland, El Paso, Shell
Chemicals, Suncor, Lyondell-Citgo Refining, and Others
(includes corresponding Graph/Chart) III-4
Ethylene Glycol III-5
Table 44: Leading Producers of Ethylene Glycol in the US
(2003): Production in �000 Metric Tons for Dow Chemical,
PD Glycol, Formosa Plastics, Old World Industries, Shell
Chemical, Huntsman, Equistar Chemicals, and Eastman
Chemical (includes corresponding Graph/Chart) III-5
Phenol III-5
Table 45: Leading Phenol Producers in the US (2003):
Production in �000 Metric Tons for Sunoco Chemicals,
Shell Chemicals, Ineos Phenol Mobile, Mount Vernon
Phenol, Georgia Gulf, Dow Chemical, and JLM Industries
(includes corresponding Graph/Chart) III-5
Acetone III-6
Table 46: Acetone Consumption in the US (2003):
Percentage Breakdown of Demand by End-Use Application -
Acetone Cyanohydrin for Methacrylate, Bisphenol-A,
Solvent Uses, Aldol Chemicals (MIBC and MBIK), and Others
(includes corresponding Graph/Chart) III-6

Table 47: Leading Acetone Producers in North America
(2004): Production in �000 Metric Tons for Sunoco
Chemicals, Shell Chemicals, Ineos Phenol, Dow Chemical,
Mount Vernon Phenol, and Georgia Gulf (includes
corresponding Graph/Chart) III-6
Industrial Ethanol III-7
Table 48: Industrial Ethanol Market in the US (2003):
Percentage Breakdown of Demand by End-Use Application -
Toiletries and Cosmetics, Coatings and Inks, Detergents
and Household Cleaners, Processing Solvents, External
Pharmaceuticals, and Others (includes corresponding
Graph/Chart) III-7
Market Share Scenario III-7
Table 49: Leading Oxygenated Solvents Suppliers to the US
Paints and Coatings Market (2001-2004): Percentage
Breakdown of Value Sales for Dow Chemical, Eastman
Chemical, Celanese, Shell Chemical, Lyondell Chemical,
Exxon Chemical, and Others (includes corresponding
Graph/Chart) III-7

Table 50: Leading Solvent Suppliers to the US Adhesives
Market (2001-2004): Percentage Breakdown of Value Sales
for ChevronPhilips,Citgo Petroleum, Shell Chemicals, Exxon
Mobil, and Others (includes corresponding Graph/Chart) III-8

Table 51: Leading Solvent Suppliers to the US Metal
Cleaning Market (2001-2004): Percentage Breakdown of Value
Sales for Dow Chemicals, PPG Industries, Vulcan Chemicals,
and Others (includes corresponding Graph/Chart) III-8
Export & Import Scenario III-9
Table 52: US Exports of Organic Composite Solvents and
Thinners; Varnish Removers or Prepared Paint (2004-2006):
Value Export in US$ Thousand by Leading Countries
(includes corresponding Graph/Chart) III-9

Table 53: US Exports of Diethylene Glycol (2004-2006):
Value Export in US$ Thousand by Leading Countries
(includes corresponding Graph/Chart) III-10

Table 54: US Imports of Organic Composite Solvents and
Thinners; Varnish Removers or Prepared Paint (2004-2006):
Value Import in US$ Thousand by Leading Countries
(includes corresponding Graph/Chart) III-11

Table 55: US Imports of Diethylene Glycol (2004-2006):
Value Import in US$ Thousand by Leading Countries
(includes corresponding Graph/Chart) III-12
Regulatory Scenario III-12
California to Phase Out Dry Cleaning Solvent, Perc III-12
Use of n-Propyl Bromide Allowed in Certain Applications III-12
Clean Air Act III-13
Product Launches/Developments III-13
Strategic Corporate Developments III-15
Key Players III-19
Celanese Corporation III-19
Chevron Phillips Chemical Company LLC III-19
CITGO Petroleum Corporation III-20
The Dow Chemical Company III-20
Eastman Chemical Company III-20
Exxon Mobil Corporation III-21
Lyondell Chemical Company III-21
Union Carbide Corporation III-22
Vulcan Materials Company III-22
B.Market Analytics III-23
Table 56: US Recent Past, Current & Future Analysis for
Solvents by Product Segment - Oxygenated Solvents (Alcohols,
Ketones, Esters, & Ethers), Chlorinated Solvents,
Hydrocarbon Solvents, and Green Solvents Independently
Analyzed with Annual Sales in Thousand Metric Tons for Years
2000 through 2010 (includes corresponding Graph/Chart) III-23

Table 57: US Long-term Projections for Solvents by Product
Segment - Oxygenated Solvents (Alcohols, Ketones, Esters, &
Ethers), Chlorinated Solvents, Hydrocarbon Solvents, and
Green Solvents Independently Analyzed with Annual Sales in
Thousand Metric Tons for Years 2011 through 2015(includes
corresponding Graph/Chart) III-24

Table 58: US 10-Year Perspective for Solvents by Product
Segment - Percentage Breakdown of Volume Sales for
Oxygenated Solvents (Alcohols, Ketones, Esters, & Ethers),
Chlorinated Solvents, Hydrocarbon Solvents, and Green
Solvents for Years 2000, 2007 & 2010 (includes corresponding
Graph/Chart) III-24

2. Canada III-25
A.Market Overview III-25
Current & Future Analysis III-25
Export & Import Scenario III-25
Table 59: Canadian Exports of Organic Composite Solvents
and Thinners; Varnish Removers or Prepared Paint
(2004-2006): Value Export in US$ Thousand by Leading
Countries (includes corresponding Graph/Chart) III-25

Table 60: Canadian Exports of Diethylene Glycol
(2004-2006): Value Export in US$ Thousand by Leading
Countries (includes corresponding Graph/Chart) III-26

Table 61: Canadian Imports of Organic Composite Solvents
and Thinners; Varnish Removers or Prepared Paint
(2004-2006): Value Import in US$ Thousand by Leading
Countries (includes corresponding Graph/Chart) III-26
Regulatory Scenario III-27
B.Market Analytics III-27
Table 62: Canadian Recent Past, Current & Future Analysis
for Solvents by Product Segment - Oxygenated Solvents
(Alcohols, Ketones, Esters, & Ethers), Chlorinated Solvents,
Hydrocarbon Solvents, and Green Solvents Independently
Analyzed with Annual Sales in Thousand Metric Tons for Years
2000 through 2010 (includes corresponding Graph/Chart) III-27

Table 63: Canadian Long-term Projections for Solvents by
Product Segment - Oxygenated Solvents (Alcohols, Ketones,
Esters, & Ethers), Chlorinated Solvents, Hydrocarbon
Solvents, and Green Solvents Independently Analyzed with
Annual Sales in Thousand Metric Tons for Years 2011 through
2015 (includes corresponding Graph/Chart) III-28

Table 64: Canadian 10-Year Perspective for Solvents by
Product Segment - Percentage Breakdown of Volume Sales for
Oxygenated Solvents (Alcohols, Ketones, Esters, & Ethers),
Chlorinated Solvents, Hydrocarbon Solvents, and Green
Solvents for Years 2000, 2007 & 2010 (includes corresponding
Graph/Chart) III-28

3. Japan III-29
A.Market Overview III-29
Current & Future Analysis III-29
Solvent-Based Coatings Continue to Garner Market Share III-29
Recent Past Market Data III-29
Table 65: Leading Acetone Producers in Japan (2004):
Production in �000 Metric Tons for Mitsui Chemicals,
Mitsubishi Chemical, and Chiba Phenol (includes
corresponding Graph/Chart) III-29

Table 66: Leading Ethylene Glycol Producers in Japan
(2003): Production in �000 Metric Tons for Mitsui
Chemicals, Mitsubishi Chemical, Nippon Shokubai, and
Nisso-Maruzen Chemical (includes corresponding Graph/Chart) III-29

Table 67: Leading Toluene Producers in Japan (2003):
Production in �000 Metric Tons for Idemitsu Petrochemical,
Ukishima Aromatics, Mitsubishi Oil, Kyushu Aromatics,
Maruzen Aromatics, Fuji Oil, and Others (includes
corresponding Graph/Chart) III-30
B.Market Analytics III-30
Table 68: Japanese Recent Past, Current & Future Analysis
for Solvents by Product Segment - Oxygenated Solvents
(Alcohols, Ketones, Esters, & Ethers), Chlorinated Solvents,
Hydrocarbon Solvents, and Green Solvents Independently
Analyzed with Annual Sales in Thousand Metric Tons for Years
2000 through 2010 (includes corresponding Graph/Chart) III-30

Table 69: Japanese Long-term Projections for Solvents by
Product Segment - Oxygenated Solvents (Alcohols, Ketones,
Esters, & Ethers), Chlorinated Solvents, Hydrocarbon
Solvents, and Green Solvents Independently Analyzed with
Annual Sales in Thousand Metric Tons for Years 2011 through
2015 (includes corresponding Graph/Chart) III-31

Table 70: Japanese 10-Year Perspective for Solvents by
Product Segment - Percentage Breakdown of Volume Sales for
Oxygenated Solvents (Alcohols, Ketones, Esters, & Ethers),
Chlorinated Solvents, Hydrocarbon Solvents, and Green
Solvents for Years 2000, 2007 & 2010 (includes corresponding
Graph/Chart) III-31

4. Europe III-32
A.Market Overview III-32
Current & Future Analysis III-32
Chlorinated Solvents on a Continuous Decline III-32
European Solvent Industry III-32
Regulatory and Environmental Scenario III-32
EU Restricts Use of Two Solvents III-32
European Solvent Emissions Directive III-33
Import & Export of Dangerous Substances Regulation III-33
EU Water Framework Directive III-33
Regulatory Scenario in Western Europe III-34
Historic Data III-34
Table 71: Average Annual VOC Emission in Europe (2000):
Percentage Breakdown by Source of Emission - Transport,
Solvent Use, Vegetation, Production Processes, Combustion
Power, Fuel Distribution, and Waste Management (includes
corresponding Graph/Chart) III-34
Product Launches/Developments III-34
Strategic Corporate Development III-35
B.Market Analytics III-38
Table 72: European Recent Past, Current & Future Analysis
for Solvents by Geographic Region - France, Germany, UK,
Italy, Spain and Rest of Europe Markets Independently
Analyzed with Annual Sales in Thousand Metric Tons for Years
2000 through 2010 (includes corresponding Graph/Chart) III-38

Table 73: European Long-term Projections for Solvents by
Geographic Region - France, Germany, UK, Italy, Spain and
Rest of Europe Markets Independently Analyzed with Annual
Sales in Thousand Metric Tons for Years 2011 through 2015
(includes corresponding Graph/Chart) III-38

Table 74: European Recent Past, Current & Future Analysis
for Solvents by Product Segment - Oxygenated Solvents
(Alcohols, Ketones, Esters, & Ethers), Chlorinated Solvents,
Hydrocarbon Solvents, and Green Solvents Independently
Analyzed with Annual Sales in Thousand Metric Tons for Years
2000 through 2010 (includes corresponding Graph/Chart) III-39

Table 75: European Long-term Projections for Solvents by
Product Segment - Oxygenated Solvents (Alcohols, Ketones,
Esters, & Ethers), Chlorinated Solvents, Hydrocarbon
Solvents, and Green Solvents Independently Analyzed with
Annual Sales in Thousand Metric Tons for Years 2011 through
2015 (includes corresponding Graph/Chart) III-39

Table 76: European 10-Year Perspective for Solvents by
3Geographic Region - Percentage Breakdown of Volume Sales
for France, Germany, UK, Italy, Spain and Rest of Europe
Markets for Years 2000, 2007 & 2010 (includes corresponding
Graph/Chart) III-40

Table 77: European 10-Year Perspective for Solvents by
Product Segment - Percentage Breakdown of Volume Sales for
Oxygenated Solvents (Alcohols, Ketones, Esters, & Ethers),
Chlorinated Solvents, Hydrocarbon Solvents, and Green
Solvents for Years 2000, 2007 & 2010 (includes corresponding
Graph/Chart) III-41

4a. France III-42
A.Market Overview III-42
Current & Future Analysis III-42
Potential Growth Sectors III-42
Total SA - A Key Player III-42
B.Market Analytics III-43
Table 78: French Recent Past, Current & Future Analysis for
Solvents by Product Segment - Oxygenated Solvents (Alcohols,
Ketones, Esters, & Ethers), Chlorinated Solvents,
Hydrocarbon Solvents, and Green Solvents Independently
Analyzed with Annual Sales in Thousand Metric Tons for Years
2000 through 2010 (includes corresponding Graph/Chart) III-43

Table 79: French Long-term Projections for Solvents by
Product Segment - Oxygenated Solvents (Alcohols, Ketones,
Esters, & Ethers), Chlorinated Solvents, Hydrocarbon
Solvents, and Green Solvents Independently Analyzed with
Annual Sales in Thousand Metric Tons for Years 2011 through
2015 (includes corresponding Graph/Chart) III-43

Table 80: French 10-Year Perspective for Solvents by Product
Segment - Percentage Breakdown of Volume Sales for
Oxygenated Solvents (Alcohols, Ketones, Esters, & Ethers),
Chlorinated Solvents, Hydrocarbon Solvents, and Green
Solvents for Years 2000, 2007 & 2010 (includes corresponding
Graph/Chart) III-44

4b. Germany III-45
A.Market Overview III-45
Current & Future Analysis III-45
VOC Regulations Approval to Further Minimize Emissions III-45
Historic Data III-45
Table 81: Ethylene Glycol Market in Germany (2003):
Production in �000 Metric Tons by Select Producers -
Clariant, BP, BASF, and Sasol (includes corresponding
Graph/Chart) III-45

Table 82: Toluene Market in Germany (2003): Production in
�000 Metric Tons by Select Producer - RWE-DEA, BASF, Shell
Chemicals, BP Koln, and Wintershall (includes corresponding
Graph/Chart) III-45

Table 83: Phenol Market in Germany (2003): Production in
�000 Metric Tons by Select Producer - Ineos Phenol Gladbeck
and Domo Chemicals Leuna III-46
Strategic Corporate Developments III-46
BASF AG - A Key Player III-46
B.Market Analytics III-48
Table 84: German Recent Past, Current & Future Analysis for
Solvents by Product Segment - Oxygenated Solvents (Alcohols,
Ketones, Esters, & Ethers), Chlorinated Solvents,
Hydrocarbon Solvents, and Green Solvents Independently
Analyzed with Annual Sales in Thousand Metric Tons for Years
2000 through 2010 (includes corresponding Graph/Chart) III-48

Table 85: German Long-term Projections for Solvents by
Product Segment - Oxygenated Solvents (Alcohols, Ketones,
Esters, & Ethers), Chlorinated Solvents, Hydrocarbon
Solvents, and Green Solvents Independently Analyzed with
Annual Sales in Thousand Metric Tons for Years 2011 through
2015 (includes corresponding Graph/Chart) III-48

Table 86: German 10-Year Perspective for Solvents by Product
Segment - Percentage Breakdown of Volume Sales for
Oxygenated Solvents (Alcohols, Ketones, Esters, & Ethers),
Chlorinated Solvents, Hydrocarbon Solvents, and Green
Solvents for Years 2000,2007 & 2010 (includes corresponding
Graph/Chart) III-49

4c. The United Kingdom III-50
A.Market Overview III-50
Current & Future Analysis III-50
"Green" Dry-cleaning to Replace Toxic Solvents in Laundries III-50
UK Government Restricts Use of Solvents in Paints III-50
Strategic Developments in Recent Past III-51
Key Players III-51
BP Plc III-51
INEOS Group Limited III-51
Shell Chemicals Limited III-52
B.Market Analytics III-52
Table 87: UK Recent Past, Current & Future Analysis for
Solvents by Product Segment - Oxygenated Solvents (Alcohols,
Ketones, Esters, & Ethers),Chlorinated Solvents, Hydrocarbon
Solvents, and Green Solvents Independently Analyzed with
Annual Sales in Thousand Metric Tons for Years 2000 through
2010 (includes corresponding Graph/Chart) III-52

Table 88: UK Long-term Projections for Solvents by Product
Segment - Oxygenated Solvents (Alcohols, Ketones, Esters, &
Ethers), Chlorinated Solvents, Hydrocarbon Solvents, and
Green Solvents Independently Analyzed with Annual Sales in
Thousand Metric Tons for Years 2011 through 2015 (includes
corresponding Graph/Chart) III-53

Table 89: UK 10-Year Perspective for Solvents by Product
Segment - Percentage Breakdown of Volume Sales for
Oxygenated Solvents (Alcohols, Ketones, Esters, & Ethers),
Chlorinated Solvents, Hydrocarbon Solvents, and Green
Solvents for Years 2000, 2007 & 2010 (includes corresponding
Graph/Chart) III-53

4d. Italy III-54
Market Overview III-54
Table 90: Italian Recent Past, Current & Future Analysis for
Solvents by Product Segment - Oxygenated Solvents (Alcohols,
Ketones, Esters, & Ethers), Chlorinated Solvents,
Hydrocarbon Solvents, and Green Solvents Independently
Analyzed with Annual Sales in Thousand Metric Tons for Years
2000 through 2010 (includes corresponding Graph/Chart) III-54

Table 91: Italian Long-term Projections for Solvents by
Product Segment - Oxygenated Solvents (Alcohols, Ketones,
Esters, & Ethers), Chlorinated Solvents, Hydrocarbon
Solvents, and Green Solvents Independently Analyzed with
Annual Sales in Thousand Metric Tons for Years 2011 through
2015 (includes corresponding Graph/Chart) III-55

Table 92: Italian 10-Year Perspective for Solvents by
Product Segment - Percentage Breakdown of Volume Sales for
Oxygenated Solvents (Alcohols, Ketones, Esters, & Ethers),
Chlorinated Solvents, Hydrocarbon Solvents, and Green
Solvents for Years 2000, 2007 & 2010 (includes corresponding
Graph/Chart) III-55

4e. Spain III-56
Market Overview III-56
Table 93: Spanish Recent Past, Current & Future Analysis for
Solvents by Product Segment - Oxygenated Solvents (Alcohols,
Ketones, Esters, & Ethers), Chlorinated Solvents,
Hydrocarbon Solvents, and Green Solvents Independently
Analyzed with Annual Sales in Thousand Metric Tons for Years
2000 through 2010 (includes corresponding Graph/Chart) III-56

Table 94: Spanish Long-term Projections for Solvents by
Product Segment - Oxygenated Solvents (Alcohols, Ketones,
Esters, & Ethers), Chlorinated Solvents, Hydrocarbon
Solvents, and Green Solvents Independently Analyzed with
Annual Sales in Thousand Metric Tons for Years 2011 through
2015 (includes corresponding Graph/Chart) III-57

Table 95: Spanish 10-Year Perspective for Solvents by
Product Segment - Percentage Breakdown of Volume Sales for
Oxygenated Solvents (Alcohols, Ketones, Esters, & Ethers),
Chlorinated Solvents, Hydrocarbon Solvents, and Green
Solvents for Years 2000, 2007 & 2010 (includes corresponding
Graph/Chart) III-57

4f. Rest of Europe III-58
Market Overview III-58
Basell (The Netherlands) - A Key Player III-58
Table 96: Rest of Europe Recent Past, Current & Future
Analysis for Solvents by Product Segment - Oxygenated
Solvents (Alcohols, Ketones, Esters, & Ethers),Chlorinated
Solvents, Hydrocarbon Solvents, and Green Solvents
Independently Analyzed with Annual Sales in Thousand Metric
Tons for Years 2000 through 2010 (includes corresponding
Graph/Chart) III-59

Table 97: Rest of Europe Long-term Projections for Solvents
by Product Segment - Oxygenated Solvents (Alcohols, Ketones,
Esters, & Ethers), Chlorinated Solvents, Hydrocarbon
Solvents, and Green Solvents Independently Analyzed with
Annual Sales in Thousand Metric Tons for Years 2011 through
2015 (includes corresponding Graph/Chart) III-59

Table 98: Rest of Europe 10-Year Perspective for Solvents by
Product Segment - Percentage Breakdown of Volume Sales for
Oxygenated Solvents (Alcohols, Ketones, Esters, & Ethers),
Chlorinated Solvents, Hydrocarbon Solvents, and Green
Solvents for Years 2000, 2007 & 2010 (includes corresponding
Graph/Chart) III-60

5. Asia-Pacific III-61
A.Market Overview III-61
Current & Future Analysis III-61
Focus on Select Markets III-61
China III-61
Acetone III-61
Rapid Expansion of Chinese Acetate Capacity III-61
Growth in End-use Sectors Fuels Acetate Demand in China III-61
PU Adhesives to Drive Up Demand for Environment Friendly
Ethyl Acetate III-62
Pharmaceuticals and Coatings Sectors Opt for Ethyl Acetate III-62
Chinese Acetates Sector Not Without Challenges III-62
Table 99: Leading Ethyl Acetate Producers in China
(2006): Capacity in Thousand Metric Tons for Jiangsu
Sopo, Shandong Muhua, Shandong Jinyimeng, Guangdong
Jiangmen Qianxin Chemical, Shanghai Wujing, Yangzijiang,
Jiangxi Nanchang Ganjiang, and Guangdong Shunde Shunguan
(includes corresponding Graph/Chart) III-63

Table 100: Chinese Market for Ethyl Acetate (2004-2006):
Volume Imports and Exports in Thousand Tons (includes
corresponding Graph/Chart) III-63

Table 101: Chinese Market for Ethyl Acetate (2006):
Percentage Breakdown of Exports by Destination Countries
- Korea, Taiwan, Japan, Singapore, and Others (includes
corresponding Graph/Chart) III-64
Mono Ethylene Glycol (MEG) III-64
Table 102: Leading Mono Ethylene Glycol (MEG) Producers
in China (2006): Capacity in Thousand Metric Tons for
Sinopec Shanghai, CNOOC and Shell, BASF-YPC, Sionpec
Yangzi, CNPC Jilin, Sinpec Maoming, Sinopec Beijing
Yanhua, Tianjin United Chemical, CNPC Liaoyang, CNPC
Fushun, and CNPC Xinjiang Dushanzi (includes
corresponding Graph/Chart) III-64
Dimethyl Formamide (DMF) III-65
Table 103: Leading Dimethyl Formamide (DMF) Producers in
China (2006): Capacity in Thousand Metric Tons for
Zhejiang Jiangshan, Hualu Hengsheng, Anhui Huaihua,
Zhangqiu Riyue, BASF-YPC, Henan Anyang Jiutian, Jiangsu
Xinling, and Jiangsu Xinya (includes corresponding
Graph/Chart) III-65

Table 104: Chinese Market for Dimethyl Formamide (DMF)
(2006): Percentage Breakdown of Imports by Country -
Korea, Taiwan, Japan, Germany, and Others (includes
corresponding Graph/Chart) III-65
MEK III-66
Table 105: Leading MEK Producers in China (2003):
Capacity in Thousand Metric Tons for Xinjiang Dushanzi
Tianli High and New-Tech, PetroChina Harbin Petrochemical
Company, PetroChina Fushun Pelrochemical Corporation,
Shandong Zibo Qixiang Industry & Trade, Yanhua Company,
Heilongjiang Petrochemical Company, Jiangsu Taizhou
Petrochemical Plant, and Shandong Jinan Refinery
(includes corresponding Graph/Chart) III-66
MIBK III-67
Table 106: Capacity, Import and Export of MIBK in China:
1996-2003 (In thousand metric tons/annum) (includes
corresponding Graph/Chart) III-67
End-Uses III-67
Printing Inks III-67
Table 107: Printing Inks Market in China (2003):
Percentage Breakdown by Type - Solvent Inks, Offset
Printing Inks, Water-Based Inks, Silk Screen Printing
Inks, UV Inks, and Others (includes corresponding
Graph/Chart) III-67
Automotive Coatings III-67
Indonesia III-68
Table 108: Indonesian Market for Ethanol (2004-2006):
Volume Production, Exports and Imports in Metric Tons