SIC 2865 Cyclic Organic Crudes and Intermediates and Organic Dyes and Pigments
SIC 2865
This industry covers establishments primarily engaged in manufacturing cyclic organic crudes and intermediates and organic dyes and pigments. Important products of this industry include (1) aromatic chemicals such as benzene, toluene, mixed xylenes, and naphthalene; (2) synthetic organic dyes; and (3) synthetic organic pigments.
325110
Petrochemical Manufacturing
325132
Organic Dye and Pigment Manufacturing
325192
Cyclic Crude and Intermediate Manufacturing
Organic chemicals contain carbon, are usually combustible, are mostly insoluble in water, have liquid or solid forms, and have relatively low melting points. Aromatics are included in a group called basic organics, which also includes aliphatics and methanol. These substances are obtained directly from raw materials, primarily crude oil and natural gas. Intermediates are often grouped with solvents and are made from basic chemicals for the purpose of making other chemicals and chemical products.
U.S. companies in the cyclic crudes and intermediates industry employed some 6,294 workers and shipped almost $4.5 billion worth of products in 2002, according to the U.S. Census Bureau. Almost 97 percent of these shipments consisted of cyclic intermediates, and the remaining 3 percent included tar, tar crudes, and tar pitches. In the dye and pigment manufacturing portion of this product class, firms employed some 7,674 employees in 2002 and shipped an estimated $2.8 billion worth of products. Organic dyes made up 40 percent of these shipments, and pigments and toners accounted for 60 percent. Industry output provided an important supply of base manufacturing material for pharmaceutical, dye, fuel, and agricultural sectors.
One reason for the instability of the industry was the inability to predict the supply and demand for organic materials. For example, benzene, styrene, and mixed xylenes saturated the market from July through December 1996, and cyclohexane and phenol were not being produced rapidly enough to meet demand. Demand for some organic products, such as toluene, fluctuated from year to year, making it difficult to gage production. For example, demand in 2001 was 30.8 million metric tons. Benzene operating rates dropped from 72.0 percent in 2000 to 56.9 percent in 2001 due to weak demand for all major derivatives.
Industrial organic chemicals are created from substances that contain carbon, such as petroleum, coal, and natural gas. Though inorganic chemicals also may contain carbon, they are found within the earth's crust and derive from materials without animal or plant origins. The aromatics classified in this industry are distinguished from other organics by their closed-ring molecular structure. This structure allows them to be combined with other chemicals, including inorganics, to make a vast array of intermediate compounds. Intermediates are consumed by other industries for the production of plastics, pharmaceuticals, and fertilizers.
The three primary aromatic chemicals used to create intermediates are benzene, xylene, and toluene. These three chemicals represent about 10 percent of U.S. industry output. Intermediates created using these base organics, however, account for an additional 70 percent of total production. Benzene, the simplest and most widely used aromatic, is combined with sulfuric acid and other chemicals to create many intermediates. Benzene intermediates are used to produce plastic resins, epoxy, nylon, polyurethanes, synthetic rubber, and detergents.
The most common derivative of benzene is ethyl benzene/styrene, which accounts for 50 percent of demand for this aromatic. Styrene is a major ingredient in plastics and synthetic rubber. Cumene/phenol and cyclohexane represented 21 and 14 percent, respectively, of benzene-derivative sales. Phenol is used to produce adhesives and high-grade plastics and epoxies. Other major intermediates in this category include: nitrobenzene/aniline (6 percent), alkybenzene (2 percent), and chlorobenzene (2 percent).
Xylene is primarily utilized as a gasoline additive and a solvent. It is separated into three commercial substances: paraxylene, orthoxylene, and metaxylene. Paraxylene derivatives are used to make polyester fiber and films, beverage bottles, and specialty engineering resins. Orthoxylene is required to make intermediates that can be utilized in the production of plasticizers (plastic additives) and polyester resins. Metaxylene has limited uses in the manufacture of coatings and plastics.
The last primary aromatic chemical is toluene. This aromatic is used to create benzene. End markets for toluene also include manufacturers of adhesives, solvents, photographic film, textiles, pharmaceuticals, inks, and coatings.
Besides aromatics and their intermediate offspring, organic dyes and pigments, each make up about 8 percent of industry sales. Tar and pitch compounds round out industry offerings, capturing 4 percent of sales revenue. Two-thirds of dye and pigment production was consumed by textile industries. Dyes are typically obtained from petroleum through lengthy chemical processes and must conform to rigid safety standards before they can be used to color food, clothing, and other goods.
William Henry Perkin (1838–1907), an Englishman and the father of the organic chemical industry, was the first chemist to synthesize an organic chemical for commercial use. In 1856 he accidentally created mauve, a synthetic dye, from a piece of coal tar. Friedrich Kekule von Stradonitz (1829–1896) was the first to explain Perkin's invention when he proposed his breakthrough theory of the benzene ring in 1865. During the remainder of the nineteenth century, German chemists developed most of the dye classes and many of the individual dyes that were still being used in the early 1990s.
The advancement of aromatics, intermediates, and dyes in the wake of Kekule's discovery were considered relatively unimportant outside of Germany. It wasn't until World War I that Great Britain, France, and the United States frantically developed an organic chemical industry. World War II also brought massive industry expansion, especially...
To continue reading
Request your trial