The worldwide shortage of hydrofluorocarbons (HFC) as substitute blowing agents for HCFC appears to have worsened, particularly in Europe (see PIE 12, 2004). Foamers and systems houses with whom Plasteurope.com has spoken in recent weeks say the rush is on to secure supplies of the HFC-245fa produced by Honeywell (Morristown, New Jersey / USA; www.honeywell.com), as the shortfall of a popular HCFC substitute, HFC-365mfc, manufactured by Solvay (www.solvay.com) has worsened. Due to ongoing production glitches at Tavaux / France, Solvay is believed unlikely to be able to resume full supplies before the beginning of 2005. A number of HFC-365mfc clients therefore are said to have switched to the Honeywell CFC substitute, HFC-245fa.

PIE´s sources say Honeywell is supplying the former Solvay clients on a long-term contract basis, provided they agree not to switch back to HFC-365mfc during the contract period. While prices for HFC-245fa had averaged EUR 10/kg previously, they say the US manufacturer is now allowing major systems houses – in which leading PU feedstock producers hold stakes – to buy HFC-245fa at around EUR 7.0-7.5/kg. Most of these large clients have an annual order volume exceeding 500 t.

Ironically, these reductions apparently were negotiated just before the extent of Solvay´s supply problems became generally apparent. Smaller HFC-245fa customers are believed to be paying EUR 10-12/kg for the blowing agent. In any case, demand for both HFC-245fa and HFC-365mfc is enormous, due to EU requirements to replace the partially halogenated HCFC-141b, which recently was changing hands at roughly EUR 6.8/kg and still hovers at that high level.