Insulation industry news from Global Insulation

Finland: Paroc Group is planning to shut down the operations of its stone wool plant in Oulu. The decision has been blamed on overcapacity of Finnish production without a similar increase in consumer demand. The plan also includes transferring and centralising support functions to other Paroc factories at other locations. Approximately 70 workers at the site will be affected by the decision and negotiations are on going.

“Starting the cooperation negotiations is very unfortunate. However, the utilisation rate of Finnish stone wool factories’ current capacity is too low to ensure competitive operations in Finland. The factory located in Oulu is an old one, and, in addition to the already high cost structure, continuing its operations would require significant investments in the near future,” said Kari Lehtinen, chief executive officer of Paroc Group.

Russia: TechnoNicol has started operation at a Euro105m mineral wool plant in the south of the Rostov region. The new unit will produce four types of rock wool products. Future plans for the site include the production of pipe and roof insulation and exports to markets in Armenia, Georgia, and Azerbaijan.

Russia: Restrictions on imports have stopped Paroc from transporting stone from its Lapinlahti in Finland to its insulation plant in Russia. Joakim Westerlund, Paroc's chief operating officer, said that the import restrictions on crushed rock material were imposed with relatively short notice in summer 2016 according to the Savon Sanomat newspaper. Subsequently the insulation producer has had to source stone locally in Russia. Quarrying at Lapinlahti for Paroc by Fjäder Group has previously totalled 20,000t/yr.

Germany: Firestone Building Products Company says that it will build an insulation plant in Heinsberg. The site will establish a European insulation manufacturing and distribution presence for the subsidiary of tyre and rubber manufacturer Bridgestone. The plant is expected to be fully operational in 2018.

“The Heinsberg location will be the second European manufacturing facility for the company. We acquired the Giscosa EPDM (ethylene propylene diene monomer) plant in Terrassa, Spain in 2013,” said Troy Geuther, managing director of international operations and vice president, Firestone Building Products. The new facility will expand production and distribution of polyiso foam, the company’s polyiso foam insulation used in commercial construction.

Poland: Paroc Group has upgraded its mineral wool plant in Trzemeszno to increase its production capacity with an investment of over Euro13m. “Up till now, some of the Paroc’s technical insulation solutions had been produced only in Finland,” said Joakim Westerlund, Chief Operating Officer at Paroc. “Shipping from Poland, combined with the fact that more products can now be transported on one truck thanks to new technology, not only will save time and resources of our customers, but also fits in our sustainability and energy efficiency policy.”

The investment marks a continuation of Paroc’s long-term development strategy in its Baltic and Central Europe area. Since 1998, when the Polish Paroc production plant was set-up, the company has invested over Euro140m in the Trzemeszno plant.

UK: TechnoNicol intends invest up to Euro5.9m to double the production capacity to at least 55,000t/yr at Superglass’ mineral wool plant in Stirling. The upgrade will involve building a new furnace at the site to come online by 2020, according to the Scottish Herald. The investment is intended to boost the insulation producer’s sales in markets in the UK and western Europe. The decision follows shareholder approval of TechnoNicol’s purchase of Superglass.

US: Kingspan Insulation has started an expansion project at its Winchester plant in Virginia. The US$25m investment in the plant will be used to install a new extruded polystyrene insulation (XPS) insulation manufacturing line.

"We are pleased to announce that the installation is proceeding on time and on cost," said Kingspan Insulation North America's Managing Director Alswinn Kieboom.

Once the project is completed, it will allow Kingspan Insulation to continue to service demand for its GreenGuard line of XPS board products. The products feature moisture resistance, an R-value of 5.0 per inch of thickness and are suitable for a range of applications including cavity walls, continuous insulation, roofs, below-grade perimeter foundation and slab-on-grade.

As part of this investment programme, Kingspan Insulation has announced its intent to begin production of high performance, polyiso insulation in North America, providing an even greater choice for specifiers and contractors.

Kingspan Insulation is currently considering locations for three new production lines. Locations under consideration are at its existing plant in Virginia, at its sister company sites in California, Florida, Ohio, as well as sites in Nevada and Texas in the US, plus Ontario and British Columbia.

US: Toray Industries has released plans to increase the production capacity of Toraypef polyolefin foam manufactured at Toray Plastics (America). The Japanese chemical manufacturer will invest US$39m towards building a 3000t/yr unit at its TPA Virginia Plant. The new facility is expected to start operations in the beginning of 2018. The expansion of the production facility will boost TPA's Toraypef production to 7500t/yr.

Toraypef is a polyolefin foam developed using Toray's proprietary manufacturing method, and it is adopted for various purposes including thermal insulation. Principally the product is being targeted at car production.

Russia: TechnoNicol has opened a Euro27.6m mineral wool insulation production plant in the Khabarovsk region. The plant will have a production capacity of 0.75Mm3, according to Prime News. The products will be sold locally and via export. The company plans to export 20% of its entire output to China in 2019. The insulation producer expects the payback period for the plant to take seven years.

Belarus: The Minsk Silicate Materials Plant will be merged with the Belarusian Cement Plant following agreement between the shareholders of both companies. The merger is expected to be finalised by December 2016. The Minsk Silicate Materials plant produces construction and insulation materials, including polystyrene-based insulation products. It was originally founded in 1895. The Belarusian Cement Plant has been in operation since 1996.