US chemical producer Eastman (Kingsport, Tennessee; www.eastman.com) has announced plans to sell its stake in Kingsport-based cellulose acetate flake manufacturer Primester to its 50:50 joint venture partner Solvay (Brussels / Belgium; www.solvay.com). The deal, terms of which were not disclosed, is due to take place in the second quarter of this year. The products are used primarily in cigarette filters and manmade fibres, with the latter application benefiting from increased Chinese cigarette consumption. Both companies are major producers.

Following its own realignment with an investment in flake capacity at the Tennessee site in and the shutdown of its acetate tow site at Workington / UK last year, Scott Ballard, vice president and general manager of Eastman’s Fibers segment, said the US company now has sufficient capacity to supply its worldwide production, including its joint ventures in Korea and China, without the cost of continuing to own and operate Primester.

In future, Eastman will supply basic utilities and raw materials to the facility wholly owned by its former jv partner. “After our partnership of 25 years, this agreement allows Solvay to continue securing the most economical long term supply of cellulose acetate flake for its own tow business in Germany, Brazil and Russia, while adapting capacity to demand,” said Philippe Rosier, president of the Belgian chemical producer’s Acetow global business unit. In late 2014, Solvay was rumoured to be exploring a sale of its acetate tow business, which it described as highly profitable.