Jump to content

Celanese

From Alfawiki
Celanese Corporation
Company typePublic
IndustryChemical industry, specialty materials
PredecessorAmerican Cellulose & Chemical Manufacturing Company (Amcelle)
FoundedJanuary 1, 1918; 108 years ago (1918-01-01) in New York City, United States
FounderCamille Dreyfus
Headquarters
Irving, Texas
,
United States
Area served
Worldwide (North America, Europe, Asia)
ProductsAcetic acid, vinyl acetate monomer (VAM), cellulose acetate, engineered plastics, food ingredients (e.g. Sunett), specialty chemicals
Number of employees
13,000 (circa 1958)
Websitewww.celanese.com

Celanese Corporation, previously known as Hoechst Celanese, is a U.S.-based enterprise specializing in technology and specialty materials, with its headquarters situated in Irving, Texas. Ranked among the Fortune 500 companies, it stands as the top global manufacturer of acetic acid, producing approximately 1.95 million tonnes each year, which accounts for nearly 20% of the worldwide supply. Additionally, Celanese holds the position as the foremost producer of vinyl acetate monomer (VAM) on a global scale.

The corporation manages 25 manufacturing facilities and six research institutes across 11 nations, predominantly located in North America, Europe, and Asia. It operates the three largest acetic acid production sites worldwide, located in Pasadena, Texas, Jurong Island, Singapore, and Nanjing, China.

History

The origins of the company date back to 1918 with the establishment of the American Cellulose & Chemical Manufacturing Company (Amcelle) in New York City by Swiss chemist Camille Dreyfus. During World War I, a plant was set up in Cumberland, Maryland to manufacture cost-effective fabric for aircraft production. This facility was strategically positioned near the Potomac River to benefit from nearby coal supplies and rail transport. Operations commenced on December 25, 1924, concentrating on producing cellulose acetate textiles as substitutes for silk. The plant ceased operations in 1983 and was subsequently replaced by a state correctional facility.

The term “Celanese,” blending “cellulose” with “ease,” was introduced in 1925 to brand their acetate yarn products and became the official company name, Celanese Corporation of America, in 1927.

Post-World War II Developments

In 1947, Celanese expanded by opening a manufacturing plant near Ocotlán, Jalisco, Mexico, which remained operational until its closure in 2019. By 1958, the firm operated 13 plants within the United States, maintained three research and development centers, offered around 30 product lines, and employed approximately 13,000 personnel.

In 1959, architect Edward Durell Stone was commissioned by Celanese to design the “Celanese House,” demonstrating cutting-edge materials and architectural innovations.

In 1982, Celanese acquired certain operations from British chemical company Imperial Chemical Industries, including the Fiber Industries plant located in Salisbury, North Carolina. The following year, it invested $20 million to establish a facility in Rock Hill, South Carolina dedicated to manufacturing polybenzimidazole (PBI), a fiber utilized in advanced protective clothing.

The pharmaceutical segment of Celanese was spun off as Celgene in 1986. In 1987, Hoechst AG acquired Celanese and merged it with American Hoechst to create Hoechst Celanese Corporation. By 1989, Hoechst had fully privatized its Canadian subsidiary through a $210 million transaction.

In 1998, Hoechst Celanese divested its Trevira division for $2.7 billion to a consortium that included Koch Industries and Mexican investors. Later that same year, Hoechst consolidated most of its industrial chemical assets under Celanese AG.

Following Hoechst’s merger with Rhone-Poulenc, Celanese AG was spun off as an independent publicly traded entity in 1999 on both the Frankfurt and New York Stock Exchanges under ticker symbols "CZZ" and "CZ," respectively.

On December 16, 2003, after two years of negotiations, private equity firm Blackstone Group initiated a takeover bid for Celanese. Shareholders approved this acquisition in June 2004; Blackstone then removed the company from the NYSE and restored its original name: Celanese Corporation. During Blackstone’s ownership period, Celanese optimized its operations and completed multiple acquisitions.

Celanese returned to public markets with an initial public offering on January 21, 2005, resuming trading on the NYSE under the symbol "CE." Blackstone fully exited its investment by 2007, realizing a profit of $2.9 billion.

In June 2009, Celanese sold its polyvinyl alcohol (PVOH) division to Sekisui Chemical Co., Ltd.

The company also pioneered a unique method for producing ethanol from natural gas as part of its expanding chemical technology portfolio.

Toward the end of 2020, Celanese divested its entire 45% interest in Polyplastics to majority stakeholder Daicel, granting Daicel full ownership of the joint venture.

Class action lawsuits

In 1985, Hoechst Celanese, together with Shell Oil and US Brass, was subject to a $7 billion class action lawsuit concerning failures in their polybutylene (PB) plumbing systems. The plaintiffs claimed these corporations misrepresented the durability and appropriateness of PB plumbing for drinking water, despite internal evidence revealing chlorine-induced deterioration in municipal water supplies. Hoechst Celanese provided acetal resins used in pipe fittings, while Shell supplied PB resins to manufacturers. It was alleged that these companies concealed the defects and continued promoting the products until approximately 1996. The case concluded with a $950 million settlement in 1995.

In January 2014, residents of Cannon's Campground initiated a class action lawsuit against the Hoechst-Celanese facility in Spartanburg, South Carolina, accusing the plant of releasing toxic chemicals that diminished property values and caused health issues. Hoechst Celanese sought to have the lawsuit dismissed, contending that no significant harm was demonstrated and that the statute of limitations for tort claims had lapsed.

Acetyl intermediates

Celanese’s largest business unit is acetyl intermediates, which produces fundamental chemicals such as acetic acid, acetic anhydride, and vinyl acetate. Its clientele includes sectors like chemicals, paints and coatings, construction, and adhesives, where these materials are utilized in polymerization processes.

Advanced engineered materials

This division offers plastic polymers tailored for automotive, electronics, telecommunications, and medical industries. Prominent products encompass engineered plastics used in fuel system components through Ticona, Celanese’s engineering polymer subsidiary, as well as materials for conveyor belts, electronic devices, safety equipment, emissions control, and fluid management. The acquisition of Italy’s SO.F.TER Group in 2016 expanded its polymer manufacturing capabilities.

Consumer specialties

Operating via its food ingredients branch Nutrinova, Celanese manufactures the high-intensity sweetener Sunett (acesulfame K), along with preservatives such as potassium sorbate and sorbic acid, plus various additives. These are incorporated into beverages, confectionery, baked goods, and dairy products. In 2021, Celanese ranked seventh globally among food preservative producers.

Celanese is also a major global supplier of cellulose acetate, primarily used in cigarette filters and linings for fashion apparel. Additionally, it produces Clarifoil cellulose acetate film, a biodegradable film derived from wood pulp that is certified for both home and industrial composting.

Industrial specialties

Drawing on feedstock from acetyl intermediates, this segment manufactures polymers and emulsions including polyvinyl acetate emulsions and specialty chemicals like ethylene vinyl acetate. Its primary markets consist of producers involved in polyvinyl alcohol, paper manufacturing, mortar and gypsum products, textiles, paints, coatings, and adhesives.

Advanced fuel technology

Celanese developed TCX Technology—a hydrocarbon-based ethanol production method introduced in 2010 aimed at decreasing reliance on imported oil. The company intends to invest $700 million to construct one or two facilities in China along with one in Texas to produce ethanol using TCX technology.

References

External links

Retrieved from "https://www.alfawiki.org/index.php?title=Celanese&oldid=8087"