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For SPI Members Only — January 13, 2006
In This Edition
Stateside | Energy & Policy | Trade | Manufacturing & Economy | International News | SPI News | NPE 2006 | Calendar 2006
STATESIDE
California to conclude its Plastics Debris, Rivers to Sea Project. . . California is about to wrap up a three-year-long project to reduce the land-based discharges via urban runoff of plastics and other discarded materials that degrade water quality and impair beneficial uses of inland and coastal waters. Funded by the (California) State Water Resources Control Board through a Proposition 13 grant, the Plastics Debris, Rivers to Sea Project began in November 2003 and will conclude in March 2006. The Algalita Marine Research Foundation (AMRF) has been implementing the project with the support and assistance of the California Coastal Commission (CCC).
The project's primary goal is to test the effectiveness of the plastics industry's own Operation Clean SweepTM, which is geared to control discharges of plastic debris through urban runoff from the plastics manufacturing sector. SPI has held a seat at the table from the beginning and has worked to mitigate the anti-plastics content by educating state and local officials on the complexity and diversity of the plastics industry.
. . .Where are we now? SPI made its third round of comments this week to the final draft of CCC's last phase of the Project – the "California Action Plan to Reduce the Land-Based Discharges of Marine Debris." The Action Plan identifies different behaviors and problems that contribute plastics and other discarded materials to urban runoff. It will be shared with local and state government agencies, legislators, industry and parties interested in storm water pollution and ocean protection.
SPI's collaboration with CCC and Algalita over the course of this project has exemplified the spirit of cooperation and demonstrated the resolve to continue the positive and progressive relationship between AMRF, CCC and the plastics industry. The fact that SPI supported all facets of the project and provided such a positive face impressed many agencies and organizations as well as helped to build the credibility and demonstrate the sincerity of the plastics industry to help solve the very real problem of marine debris. For more information, contact Jill Brandts at 949-261-6979.
Massachusetts building code clears some plastics. . . The Massachusetts State Board of Building Regulations & Standards adopted significant changes to the state building code involving fire safety, which will allow foam plastics to be used as an interior finish in establishments such as nightclubs as long as automatic sprinklers are installed and fire tests have substantiated the plastics' lack of fire potential. Cellular or foamed plastic will be permitted for trim, such as chair rails or crown molding, as long as it does not exceed a density of 10 percent of the wall and ceiling area. The adoption of the final rules represents a major victory for the plastics industry, as the original proposal would have banned the use of all cellular or foamed plastic.
ENERGY & POLICY
Pressure still on for energy development. . . The recent congressional defeat of legislation authorizing drilling in the Arctic National Wildlife Refuge (ANWR) sets back efforts to expand drilling for oil and gas in the Outer Continental Shelf, but there may still be "seeds planted" this year for a Department of Interior effort to boost access to offshore natural gas, said Bruce Josten, vice president of government affairs for the U.S. Chamber of Commerce at a press conference last week. He cited the "iconic" status of ANWR as a "barometer" of perceived public willingness to open up additional areas to energy development, but noted that the congressional opposition ignores "the steps we need to address our energy needs."
Influence energy policy, grass-roots style. . . On February 7 and 8, U.S. manufacturers will convene with lawmakers on Capitol Hill to discuss energy and other critical issues impacting manufacturing in the United States. As we are approaching the 2006 mid-term elections, this is a prime opportunity to let federal legislators hear the concerns of the plastics industry – so be sure to participate with SPI in the 2006 Manufacturers' Fly-In hosted by the National Association of Manufacturers. The Fly-In will include events with guest speakers to discuss economic forecasts for manufacturing, innovation, the skills gap, and other challenges that manufacturers confront in today's competitive environment. For more information, or to register for this event please contact Natha Freiburg at 202-974-5216 by January 20, 2006.
TRADE
Chinese currency and plastics industry jobs. . . In a surprise move, the Chinese central bank announced that it will allow commercial banks a greater role in setting the daily value of the Yuan. SPI president Bill Carteaux said the Chinese announcement was a "tiny step" in the right direction, but he noted that the Yuan would still only be allowed to trade within a daily range of 0.3 percent against the dollar. Since July, it has gained only about 0.5 percent, whereas it is undervalued by a factor of 20 to 40 percent according to some experts.
"We are still very far from a level playing field," Carteaux said. "This is not just a currency question, but has to be seen in the light of the huge escalation in U.S. energy prices and the mismatch in Chinese labor costs, which together make it increasingly impossible for American companies to compete in world markets unless they set up operations abroad, using local labor. . .The federal government has a responsibility to help keep jobs in the United States. Bringing pressure on China to revalue its currency to a realistic level against the dollar would go a long way to help restore the balance and keep American jobs in this country."
MANUFACTURING & ECONOMY
U.S. manufacturing orders, jobs increased in fourth quarter. . . Two government reports released last week show promising signs for manufacturing activity. The Commerce Department reported a 2.5 percent increase for U.S. factory orders during November, while the Labor Department reported job creation in the manufacturing sector for the third consecutive month. However, high energy prices continue to dampen growth, noted the National Association of Manufacturers: "While the economy created 2 million jobs in 2005, following a similar increase in 2004, the pace of job creation has fallen off post-Katrina. . .Clearly, we're seeing that high energy prices, exacerbated by the disastrous effects of Hurricane Katrina, have slowed the expansion's momentum," said NAM chief economist David Huether. Business Week (1/16) was more optimistic, noting that US exports "stand a good chance to post their strongest growth since 1997" because of growing overseas demand and the likely decline of the dollar.
INTERNATIONAL NEWS
Plastic pellets blamed for seabird loss. . . British ornithologists are blaming the deaths of thousands of North Sea seabirds on pollution from plastic pellets, reporting that 95 percent had plastic litter in their stomachs. The birds are mainly being found along the southeast area of the North Sea, a stretch of beach notorious for pollution. "Plastics pollution is a chronic problem in the North Sea. Heaven knows where some of this plastic comes from," said Mark Grantham of the British Trust for Ornithology (The Scotsman, 12/28/05).
SPI encourages its members to participate in Operation Clean SweepTM, a resin pellet containment program of best practices. For more information, contact Natha Freiburg at 202-974-5216.
SPI NEWS
SPI launches new business unit. . . SPI announced the launch of a new business unit, the Bio-Process Systems Alliance, to promote the interests of makers of single-use process components and systems within the bio-pharma industry. In welcoming the newest group, President Bill Carteaux said that it would give the bio-process companies greater visibility and a united voice to promote the benefits of single-use manufacturing over more traditional materials.
Membership will be open to all companies that manufacture single-use process components or systems used in the production of bio pharmaceuticals. Membership also will be open to suppliers and professional service providers to the above companies.
"The prospects for single-use growth are enormous," Carteaux said. "They are at the cutting edge of one of the fastest growing industries in the world. SPI will provide the Alliance with help in developing appropriate codes and standards, as well as expertise in legal and regulatory issues, marketing and promotion."
Membership and other inquiries should be addressed to SPI Executive Director Donna S. Dempsey at 202-974-5218.
SPI issues a call for company art, photos. . . SPI wants to showcase your company ads and photo images in the hallways of our headquarter offices. SPI's "Walls of Fame" will showcase member companies from all segments of the industry, where they are and what they do. The selected artwork pieces will be framed (approx. 22"x28") and displayed for all visitors – members and nonmembers – to see. Some examples of the different items appropriate for submission include company or product advertisements that you've published in trade journals, grouped staff photos, photos of employees on your plant floor, or images of your building – just to name a few. The artwork should be submitted on CD in high-resolution tiff (at least 300 dpi) or as an Illustrator EPS no later than February 28. For more information, contact Patrice Lee at 202-974-5331.
NPE 2006
New technology pavilion featured. . . NPE 2006 – to be held June 19-23 at Chicago's McCormick Place – will feature a multi-exhibitor pavilion exploring four technologies that will shape tomorrow's world for plastics professionals: Nanotechnology – Tiny Fillers that Could Yield Big Dollars; Bioplastics – Innovative Resins from Abundant Sources; Energy Efficiency – Making a Profit in an Age of Soaring Fuel Costs; and Recycling – Finding Value in Process Scrap and Post-Consumer Waste.
The New Technology Pavilion will contain exhibits by companies and technical organizations, including some companies that also operate exhibits elsewhere in the show. Each of the first four days of NPE 2006 will be devoted to presentations on one of the themes of the pavilion. "We have set aside a large and prominent area in the South Hall of McCormick Place for the New Technology Pavilion," said SPI Vice President Walt Bishop. Contact Bishop for more information on exhibiting in the New Technology Pavilion: wbishop@socplas.org or 202-974-5230.
CALENDAR
February 23: Learn how to attract, hire and retain the best talent. . . SPI's workshop, "Building a Manufacturing Workforce Prepared to Compete," will be held on February 23 at the John Tyler Community College in Chester, VA. Because first-line supervisors are critical gatekeepers between management and production, this workshop will focus on how to identify and cultivate future leaders. Keynote speaker Joe Barto of Training Modernization Group will present employee training principles, processes and practical applications. Specifically, he will tell attendees how to improve employee performance by developing metrics for measuring impact. He will also review how to modernize existing training programs along with how to develop a human capital management plan that is directly linked to your overall corporate strategy. Follow this link to register: http://www.spisouth.org/events/workshop.htm. For more information, contact Pamela Rastatter at 864-239-2939, ext. 3; email prastatt@socplas.org.
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© Copyright 2006. The Society of the Plastics Industry, Inc. · 1667 K St., NW, #1000 · Washington, DC 20006. All rights reserved.
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