Citing increased demand since it became the only U.S. producer of sebacic acid, Genesis Chemicals Inc. announced last month that it has expanded its capacity to produce the material at its factory in Loveland, Ohio.
This expansion is our response to growing demand for sebacic acid as a result of the need for a domestically produced product in North America, President C. Winfield Scott said. The company offered no information on the size or cost of the expansion.
A derivative of castor oil, sebacic acid is a 20-million-pound market in the United States, according to Noreen Cherry, president of NCeed Enterprises in Nazareth, Pa., which resells sebacics for Genesis. The lubricants market uses as much as a quarter of that total as corrosion inhibitors in metalworking fluids and industrial lubes. Most of the sebacics consumed in the United States is used in coatings and nylon products.
Arizona Chemical Co. and CasChem Inc. formerly produced sebacics in the United States, but both halted their operations late last year. Genesis, which also makes chemicals for adhesives, water treatment products and plasticizers, launched its production of sebacics in January in response to Arizona Chemicals decision.
Sebacic acid is also imported to the United States from China and India. Since 1994, the United States has assessed punitive duties on imports from China based on conclusions that suppliers from that country were dumping.
In a separate announcement, Genesis said it has formed a joint venture with Wincom Inc., of Blue Ash, Ohio, to develop and market triazole corrosion inhibitors. The new company, GenesisWincom Inc., combines the production and logistics resources of Genesis with Wincoms formulary experience. Triazoles are used in similar applications to sebacic acid, although they have a different chemistry.