Materials Suppliers Shift to Toll Compounding

WEB EXCLUSIVE Two producers of thermoplastic molding and extrusion materials are shifting from in-house compounding to outside toll producers. First, Rhodia Engineering Plastics, Cranbury, N.J., is closing its nylon compounding operation in Mississauga, Ont., and transferring that activity to a toll compounder, Alloy Polymers, Inc. in Richmond, Va. Alloy Polymers will produce Rhodia’s Technyl nylon 6 and 66 compounds for North America, effective June 30. Alloy Polymers has four plants in Texas, Ohio, and Virginia. Rhodia says it “remains committed to the North American polyamide market” and that this move “brings us geographically closer to our customers.” Second, biopolymer producer Cereplast, Inc., Hawthorne, Calif., is changing its corporate focus from manufacturing to product development and marketing. Cereplast plans to partner with toll compounders to produce its materials, which are based on plant starch and/or polylactic acid (PLA), sometimes in alloys with PP or PE. Cereplast wants to reduce its manufacturing capacity. It has production facilities in Hawthorne and a yet-to-be-opened plant in Seymour, Ind. (609) 860-4000 * www.rhodia-ep.com (310) 676-5000 * www.cereplast.com