Home / Knowledge / News / Textiles / Soaring naphtha prices pulls down chemical production
Soaring naphtha prices pulls down chemical production
01
Aug '08
Chemical manufacturers in Japan are cutting back on their regular production as profit margins continue to get squeezed due to spiraling prices of naphtha, a key raw material for petrochemical products.

As such, leading industry player, Mitsubishi Chemical Corp (MCC), has also decided to delay the launch of operation at its new polycarbonate resin plant in Kitakyushu, Fukuoka Prefecture, southwestern Japan.

Initially scheduled to start operating by this month, this plant, which has an annual capacity of 60,000 tons, will only commence production in November. But even then the precise date will depend upon the market conditions.

Moreover, Mitsui Chemicals Inc, has closed one of its three production lines at its high-purity terephthalic acid plant in Waki, Yamaguchi Prefecture, western Japan. Besides, one of the remaining two lines is also under suspension.

As a consequence, overall annual output capacity of the plant has dropped by 50 percent to touch 400,000 tons.

Experts have reasoned out that a cut in chemical production has been brought about largely because manufacturers have failed to fully pass on higher cost of raw materials to their products. The situation has worsened to such an extent that producers may have to contemplate further cut in output if the demand continues to fall because of other factors like a slowdown in US economy.


Must ReadView All

Courtesy: Hela Clothing

Apparel/Garments | On 18th Jun 2018

Hela's latest label revolves around underwear, sleepwear

The latest collection of Sri Lanka’s Hela Clothing is revolves mostly ...

Digital textile printing sector to grow by 20% by 2020

Textiles | On 18th Jun 2018

Digital textile printing sector to grow by 20% by 2020

The digital textile printing sector is expected to have a compound...

Kenya levies higher duties on mitumba import

Apparel/Garments | On 18th Jun 2018

Kenya levies higher duties on mitumba import

Kenya’s treasury secretary Henry Rotich recently raised the duty on...

Interviews View All

Asim Dalal
Indo Count Retail Ventures

Today, there is no other emerging market as India, "we make in India and...

Rahul Bhadani
Looksgud

Navigating through catalogues is a bit hasslesome

Top executives
Textile industry

Union budget 2018-19 will have positive impact on apparel industry

Tom Adeyoola

Describing itself as the best body shape and garment fit company in the...

Nitesh Mittal

Kusumgar Corporates is a leading manufacturer of technical textiles and...

Rikesh Mistry

Jupiter Comtex Pvt Ltd, established in 1973, started its textile machinery ...

Kerem Durdag
Biovation II LLC

Kerem Durdag, CEO, Biovation II LLC, provides an insight into future...

Kai Poehler
Voith Paper GmbH & Co. KG

The glass mat industry is growing by five to eight per cent annually. Kai...

Paolo Ocleppo
Sandvik Hyperion

Paolo Ocleppo, Rotary Cutting Segment manager, Sandvik Hyperion discusses...

Bani Batra

Bani Batra’s couture wedding collection is inspired by traditional Indian...

Nisha Chanda
Whistling Woods International School of Fashion

<div>A lack of upgraded courses in costume designing and fashion as per...

Aditi Somani
Aditi Somani

Aditi Somani specialises in luxury fusion wear with international cuts and ...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

Leave your Comments


June 2018

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

news category


Related Categories:

Advanced Search