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TOKYO, JAPAN: Sumitomo Chemical has decided that it will close down an ethylene plant at its Chiba Works located in Ichihara, Chiba, Japan, by September 2015 when the next periodic shutdown maintenance will take place, to reinforce the competitiveness of its petrochemical operation at the Chiba Works, the Company’s stronghold for petrochemical business in Japan.
After the closure of the ethylene plant, Sumitomo Chemical will procure necessary quantities of ethylene and other basic petrochemical feedstock by increasing purchases from Keiyo Ethylene Co, a joint venture among Maruzen Petrochemical, Mitsui Chemicals and Sumitomo Chemical.
In recent years, Japan’s petrochemical industry has constantly been faced with the difficult business environment due mainly to a decline in domestic demand and an increase in imports. This basic trend is expected not to change much in the years ahead.
© WOC News
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