CEH Report

Table of Contents

Abstract

By far, the greatest use of cellulose acetate flake is for tow used to manufacture cigarette filters. Lesser quantities are used to produce textile fibers and for compounding to produce film, sheet and molded objects.

The worldwide economic slowdown, which started in 2008, resulted in a marked reduction in uses other than filter tow. Looking at a year-end snapshot, filter tow would have accounted for 87–88% of the total consumption of cellulose acetate; the other applications had dropped to about 60–70% of their previous levels. This situation is projected to continue through 2009. Whether textile fiber end uses can come back at all is a valid question, considering the cost of competing fibers for the same end uses.

The following pie chart shows world consumption of cellulose acetate flake:

Cellulose acetate is a mature product and has experienced a decline in volumes in practically all major world areas except China, Central Europe and Russia during the last several years, where growth is being driven by tow consumption. Other polymers and textiles with enhanced properties and lower prices have eroded textile fiber applications formerly held by cellulose acetate. There has been consolidation among producers and no new producers have emerged, although joint ventures with existing producers have been established in China. China consumes large volumes of cellulose acetate tow in producing cigarette filters, which are only partially supplied by local production. Consumption of triacetyl cellulose (TAC), which is used in the manufacture of liquid crystal displays (LCDs), has been growing for the last ten years. This growth has been almost entirely in Japan, because the large majority of LCD manufacture is in Japan or the Republic of Korea.

The number of smokers is increasing at the highest rates in China, India, and Central and Eastern Europe. Cigarette consumption is also growing in Latin America, while falling in North America and Western Europe. New legislation calling for less tar and nicotine in the smoke leads to heavier filters, which, when combined with the increasing number of smokers, offsets the declining number of smokers in North America and Western Europe.