The new report by Procurement Resource, a global procurement research and consulting firm, looks in-depth into the costs involved in the production of 2-methyl-1,3-butadiene. The comprehensive report analyses the production cost of the material, covering raw material costs and co-product credit, equipment costs, land and site costs, labour wages, maintenance costs, financing charges, and the depreciation cost. The extensive study describes the step-wise consumption of material and utilities, along with a detailed process flow diagram. The report also assesses the latest developments within the 2-methyl-1,3-butadiene industry that might influence the costs of production, looking into the capacity expansions, plant turnarounds, and mergers, acquisitions, and investments.
2-Methyl-1,3-butadiene or isoprene is an unsaturated carbon and is produced naturally by plants and animals, including human beings. It is naturally found in various species of trees like poplars, oaks, eucalyptus, and legumes. 2-Methyl-1,3-butadiene polymers are also the main components of natural rubber. Thus, the largest application of 2-methyl-1,3-butadiene includes the manufacturing of tyres. Its other applications include anti-vibration mounts, drive couplings, springs, bearings, adhesives, and others.
In recent turmoil of events caused by the COVID-19 pandemic, many countries were forced to adopt some measures ensuring their chemical industry’s sustainability. Following such precautions, India has recently imposed a 10% import tax on the polybutadiene rubber import from South Korea in order to support the domestic market scenarios, which will be effective from 28th January, 2021. This move might increase the production cost of tyre in India, which is the major application of 2-methyl-1,3-butadiene. Such developments are expected to influence the production cost of 2-methyl-1,3-butadiene.
The production cost report by Procurement Resource assesses the production of 2-methyl-1,3-butadiene via thermal cracking, and via a process involving ethylene. Among these, the most common method to produce 2-methyl-1,3-butadiene is the thermal cracking of naphtha. In this process, naphtha undergoes thermal cracking under certain conditions to finally produce 2-methyl-1,3-butadiene.
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