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Normal Paraffin

Product Overview

Normal Paraffin, particularly in the C10-C13 carbon range, serves as a versatile raw material in various industrial processes. Its primary application lies in the production of Linear Alkyl Benzene (LAB), a crucial ingredient in surfactants. Additionally, it finds utility in the manufacturing of fatty alcohols, which are predominantly used in surfactant production, as well as chlorinated paraffin wax and solvents, which have diverse applications in the paint and resin industries.

The extraction of Paraffin from kerosene, which typically contains 20-25% paraffin, is a key step in the production process. This extraction process is usually carried out in close proximity to a refinery, as the kerosene, once stripped of its paraffin content, is returned to the refinery for further processing.

Peak-Normal-Paraffin

In summary, Normal Paraffin is a vital component in the production of various industrial products, ranging from surfactants to solvents, and its extraction from kerosene plays a pivotal role in the overall manufacturing process. The Uses of Paraffin are given below:

Uses

  1. Normal Paraffin: A Key Ingredient in Various Industrial Applications

Normal Paraffin, primarily used for the production of Linear Alkyl Benzene (LAB), also serves as a vital component in the creation of special solvents utilized across multiple industrial sectors. These solvents find applications in synthetic resins, paints, varnishes, degreasing agents, printing inks, and more. Normal Paraffin acts as a dissolver in industrial processes, aiding in the production of polymers, resins, colors, artistic coverings, and grease polishers.

  1. Market Dynamics and Price Trends

The demand for Normal Paraffin has been on the rise, leading to tighter supplies and increased prices, especially during the period of 2003-2008 when crude oil prices soared. This trend resulted in significant price hikes for downstream linear alkylbenzene, making it less competitive with detergent alcohols in household detergent applications. However, during the economic crisis in 2009, prices dropped substantially. The subsequent years saw fluctuations in crude oil prices, impacting the competitiveness of Normal Paraffin and detergent alcohols.

  1. Global Production and Market Players

ExxonMobil Chemical Company’s closure of its Normal Paraffins plant in the United States shifted the North American region to a net importer of Normal Paraffins, with imports mainly sourced from Western Europe. In Qatar, the Fischer-Tropsch unit using Gas-To-Liquid (GTL) technology, which came online in 2011, provided more cost-effective supplies of n-paraffins for LAB producers in the region and Asia. In the United States, ethylene-derived Linear Alpha-Olefins (LAO) are also used in LAB production, with recent low ethylene prices making LAO more competitive.

Sasol and CEPSA Química are the world’s two largest producers of n-paraffins, accounting for over 21% of global capacity. China boasts the highest number of producers and the largest national capacity, representing over 23% of the global total. Future capacity additions are expected to occur mainly in China to meet its growing demand and in the Middle East, a significant net exporter. Asia, North America, and South America are net importers of n-paraffins, while Western Europe remains a large net exporter.

  1. Conclusion

Normal Paraffin is a crucial component in various industrial applications, with its primary use in LAB production. The market dynamics, price trends, and global production landscape all play significant roles in shaping the demand and supply of Normal Paraffin. As the industry continues to evolve, the competitive landscape and market dynamics are expected to undergo further changes.