TABLE OF CONTENTS
SECTION PAGE
INTRODUCTION xi
I. EXECUTIVE SUMMARY 1
II. MARKET ENVIRONMENT 4
General 4
Macroeconomic Overview 5
United States 7
Canada 8
Mexico 9
Personal Consumption Expenditures 10
Population & Household Trends 12
Construction Fixed Investment Outlook 14
Housing Starts 17
Motor Vehicle Industry Outlook 19
Manufacturing Sector Overview 21
Market Trends 22
Competitive Materials 25
Regulatory & Environmental Trends 26
Solid Waste & Recycling Issues 26
Toxicity Issues 27
World Phenolic Resin Demand 30
III. FEEDSTOCK CONSIDERATIONS 33
General 33
Phenol 35
Phenol Demand by Market 36
Phenol Pricing 38
Suppliers & Capacity 40
Capacity Expansions 45
Formaldehyde 45
Formaldehyde Demand by Market 47
Formaldehyde Pricing 49
Suppliers & Capacity 51
US Formaldehyde Capacity 52
Canada Formaldehyde Capacity 58
Mexico Formaldehyde Capacity 60
Formaldehyde Capacity Expansions 61
IV. SUPPLY & DEMAND 62
General 62
Supply & Demand 62
International Trade in Phenolic Resin 65
United States: Foreign Trade in Phenolic Resins 66
US Exports 69
US Imports 71
Canada: Foreign Trade in Phenolic Resins 73
Mexico: Foreign Trade in Phenolic Resins 75
Pricing Trends 77
Suppliers & Capacity 80
United States 83
Canada 86
Mexico 89
Demand by Formulation 91
Demand by Application 93
V. WOOD PANEL ADHESIVES 97
General 97
Wood Panel Industry Outlook 99
Phenolic Resins in Wood Panels 102
United States 105
United States Wood Panel Shipments 106
United States Phenolic Resin Demand 107
Canada 109
Canada Wood Panel Shipments 109
Canada Phenolic Resin Demand 111
Mexico 113
Mexico Wood Panel Shipments 113
Mexico Phenolic Resin Demand 115
Demand by Type 116
Oriented Strand Board 117
Softwood Plywood 121
Nonstructural Wood Panels 125
VI. GENERAL ADHESIVES 131
General 131
Insulation 132
Fiberglass Insulation Demand 133
Phenolic Resins in Insulation 134
Laminates 137
Decorative Laminates Demand 138
Phenolic Resins in Laminates 140
Other General Adhesive & Bonding Applications 143
Foundry Moldings 144
Friction Materials 147
Coated & Bonded Abrasives 149
VII. MOLDING COMPOUNDS & OTHER APPLICATIONS 151
General 151
Molding Compounds 152
Demand by Grade 154
Demand by Market 156
Electrical & Electronic Market 158
Household Market 159
Motor Vehicle Market 159
Industrial Market 160
Other Markets 160
Molding Compound Producers & Capacity 161
US Phenolic Molding Compound Capacity 162
Canada Phenolic Molding Compound Capacity 164
Other Applications for Phenolic Resins 165
VIII. DEMAND BY MARKET 168
General 168
Construction 170
Household Products 173
Motor Vehicles 176
Electrical & Electronic Equipment 179
Industrial 181
Other Markets 183
IX. INDUSTRY STRUCTURE 185
General 185
Industry Concentration & Market Share 187
Overview of Leading Suppliers 191
Borden Chemical 191
Georgia-Pacific 192
Dynea 193
Competitive Strategies 194
Acquisitions, Divestitures & Industry Restructuring 196
Cooperative Agreements 200
Manufacturing & Technology 202
Distribution 203
Marketing 205
Company Profiles 206
Aqualon, see Hercules Incorporated
ARC Resins International Corporation, see Tembec
Aristech Chemical Corporation, see Sunoco Incorporated
Arizona Chemical Company, see International Paper
Ashland Incorporated 207
BAKELITE AG, see Ruetgers AG
Basin Electric Power Cooperative 208
Borden Chemical Incorporated 209
Celanese AG 211
Cytec Industries Incorporated 212
Dakota Gasification Company, see Basin Electric
Power Cooperative
Degussa AG 213
Delta-Huettenes-Albertus Incorporated 214
DESC SA de CV 215
Dow Chemical Company 216
DuPont (EI) de Nemours 216
Durez Corporation, see Sumitomo Bakelite
Dynea Oy, see Industri Kapital AB
Dyno ASA, see Industri Kapital AB
Eastman Chemical Company 218
Fenoquimia y Plastiglas de Mexico, see DESC SA de CV
Frontier Oil Corporation 219
GE Plastics, see General Electric Company
General Electric Company 220
Georgia Gulf Corporation 221
Georgia-Pacific Corporation 222
GIRSA, see DESC SA de CV
Goodrich (BF) Performance Materials, see Noveon
Goodrich Corporation 224
HA-International LLC, see Borden Chemical
and Delta-Huettenes-Albertus
Hercules Incorporated 225
Honeywell International Incorporated 226
Illinois Tool Works Incorporated 227
Industri Kapital AB 228
Ineos Group Holding plc 233
International Paper Company 235
JLM Industries Incorporated 236
Merichem Company 238
Merisol USA LLC, see Merichem Company
Mitsubishi Corporation 239
Mount Vernon Phenol Partners, see General Electric
and JLM Industries
Noveon Incorporated 240
Owens Corning 241
Perstorp AB, see Industri Kapital AB
Phenolchemie GmbH and Company KG, see Ineos Group
Holding plc
Plaslok Corporation, see Plastics Engineering Company
Plastics Engineering Company 242
Plenco, see Plastics Engineering Company
Rogers Corporation 244
Royal Dutch/Shell Group of Companies 245
Ruetgers AG 246
Schenectady International Incorporated 247
Shell Chemical LP, see Royal/Dutch Shell Group of
Companies
Solutia Incorporated 249
Sumitomo Bakelite Company Limited 251
Sunoco Incorporated 253
Sydsvenska Kemi AB, see Industri Kapital AB
Tembec Incorporated 254
Wilsonart International Incorporated, see Illinois
Tool Works
Wright Corporation 255
Other Companies Mentioned in Study 256
LIST OF TABLES
TABLE NUMBER PAGE
SECTION I
Summary Table 3
SECTION II
1 North America Macroeconomic Indicators 6
2 North America Personal Consumption
Expenditures by Country 12
3 North America Population & Household Trends
by Country 14
4 North America Construction Fixed Investment
by Type & Country 17
5 North America Housing Starts by Country 19
6 North America Motor Vehicle Production & Use by Country 20
7 United States Manufacturers Shipments 22
8 North America Market Trends for Phenolic Resins, 1992-2001 24
SECTION III
1 North America - Phenol Supply & Demand by Country 36
2 North America - Phenol Demand by Market 38
3 North America - Phenol Pricing Trends by Country
40
4 North America - Phenol Capacity by Company, 2001 44
5 North America - Formaldehyde Supply & Demand by Country
47
6 North America - Formaldehyde Demand by Market
49
7 North America - Formaldehyde Pricing Trends by Country
51
8 North America - Formaldehyde Capacity by Country, 2001
52
9 United States - Formaldehyde Capacity by Company, 2001 53
10 Canada - Formaldehyde Capacity by Company, 2001 60
SECTION IV
1 North America - Phenolic Resin Supply & Demand
by Country 65
2 United States - Foreign Trade in Phenolic Resins 68
3 Phenolic Resin Exports From the US 71
4 Phenolic Resin Imports to the US 73
5 Canada - Foreign Trade in Phenolic Resins 75
6 Mexico - Foreign Trade in Phenolic Resins 77
7 North America - Phenolic Resin Pricing Levels by Country 79
8 North America - Phenolic Resin Production Capacity
by Country, 2001 83
9 United States - Phenolic Resin Production Capacity
by Company, 2001 86
10 Canada - Phenolic Resin Production Capacity
by Company, 2001 89
11 Mexico - Phenolic Resin Production Capacity
by Company, 2001 91
12 North America - Phenolic Resin Demand by Formulation 93
13 North America - Phenolic Resin Demand by Application 96
SECTION V
1 North America - Phenolic Resin Demand in Wood Panel
Adhesive Applications 99
2 North America - Wood Panel Shipments by Type & Country 102
3 North America - Phenolic Resin Demand in Wood Panel
Adhesive Applications by Country & Market 105
4 United States - Wood Panel Shipments by Type 107
5 United States - Phenolic Resin Demand in Wood Panel
Adhesive Applications by Market 109
6 Canada - Wood Panel Shipments by Type 111
7 Canada - Phenolic Resin Demand in Wood Panel
Adhesive Applications by Market 112
8 Mexico - Wood Panel Shipments by Type 114
9 Mexico - Phenolic Resin Demand in Wood Panel
Adhesive Applications by Market 115
10 North America - Phenolic Resin Demand in Wood Panel
Adhesive Applications by Type 117
11 North America - Oriented Strand Board Shipments
by Country 119
12 North America - Phenolic Resin Demand
in Oriented Strand Board Applications 121
13 North America - Softwood Plywood Shipments by Country 123
14 North America - Phenolic Resin Demand
in Softwood Plywood Applications 125
15 North America - Nonstructural Wood Panel Shipments
by Country 128
16 North America - Phenolic Resin Demand
in Nonstructural Wood Panel Applications 130
SECTION VI
1 North America - Phenolic Resin Demand in General Adhesive
& Bonding Applications 132
2 North America - Fiberglass Insulation Demand 134
3 North America - Phenolic Resin Demand in Insulation
Applications 137
4 North America - Decorative Laminates Demand 140
5 North America - Phenolic Resin Demand in Laminate
Applications 143
6 North America - Phenolic Resin Demand in Other Adhesive
& Bonding Applications 144
7 North America - Phenolic Resin Demand in Foundry Molding
Applications 146
8 North America - Phenolic Resin Demand in Friction Material
Applications 148
9 North America - Phenolic Resin Demand in Coated & Bonded
Abrasive Applications 150
SECTION VII
1 North America - Phenolic Resin Demand in Molding Compounds
& Other Applications 152
2 North America - Phenolic Resin Demand
in Molding Compound Applications by Grade 156
3 North America - Phenolic Resin Demand
in Molding Compound Applications by Market 157
4 North America - Phenolic Molding Compound Capacity
by Country, 2001 161
5 United States - Phenolic Molding Compound Capacity
by Company, 2001 164
6 North America - Phenolic Resin Demand in Other Applications167
SECTION VIII
1 North America - Phenolic Resin Demand by Market 170
2 North America - Phenolic Resin Demand
in Construction Markets 173
3 North America - Phenolic Resin Demand
in Household Product Markets 176
4 North America - Phenolic Resin Demand
in Motor Vehicle Markets 179
5 North America - Phenolic Resin Demand
in Electrical & Electronic Markets 181
6 North America - Phenolic Resin Demand
in Industrial Markets 183
7 North America - Phenolic Resin Demand in Other Markets 184
SECTION IX
1 Diversification Among Selected North American
Phenolic Resin Producers 187
2 North America Estimated Phenolic Resin Sales
by Company, 2001 190
3 Selected Acquisitions & Divestitures 198
4 Selected Cooperative Agreements 201
LIST OF CHARTS
CHART NUMBER PAGE
SECTION II
1 Market Trends in North American Phenolic Resin
Market, 1992-2001 24
2 World Phenolic Resin Demand by Region, 2001 32
SECTION IX
1 North American Phenolic Resin Sales by Company, 2001 189
