CHICAGO (June 29, 3:45 p.m. EDT) — Compounder Spartech Polycom Inc. added a new twin-screw extrusion line in Lake Charles, La., earlier this month and will add another twin-screw line in Donora, Pa., in early July.
The Lake Charles line will add about 20 million pounds of toll compounding capacity for polyolefins and give the firm three lines at the site.
About 20 percent of the Washington, Pa.-based unit´s sales are in toll compounding. Spartech Polycom Vice President George Abd said the firm plans to continue its toll business in spite of that market´s historically slim profit margins.
"We look at our toll compounding as being part of our customers´ business structure," Abd said at NPE 2000, held June 19-23 in Chicago.
In Donora, Spartech Polycom will install its sixth line, a large compounder that will add about 30 million pounds of annual capacity. The multipurpose line will be used primarily for the polypropylene-based compounds that are the firm´s single-largest product.
Abd said the firm has seen strong PP compound growth this year in a number of different markets including automotive and consumer goods.
Spartech Polycom has ordered an additional large compounding line that it will install at an unnamed site early next year, Abd said.
Spartech Polycom is a division of Spartech Corp. of Clayton, Mo., one of the largest U.S. sheet makers. Spartech Polycom operates about 40 lines at nine plants and posted $218 million in compounding sales in 1999. The unit expects to hit the $230 million mark this year.
Recent industry estimates rank Spartech Polycom as one of the 25 largest compounders in the United States, with a market share of more than 2 percent in 1999.