Showa Denko confirms cutbacks at petrochemical units

10 Feb '09

2 min read

Japanese firm Showa Denko is a major manufacturer and marketer of chemical and petrochemical products like ethylene and propylene serving a wide range of fields. The company recently reviewed its achievements of its project named “Passion” which ran for three years from 2006-2009.

At the review meeting, it was also decided to work out a new plan for the current and next year, and which was aptly named “Passion Extension extending till 2010. The company will prepare itself by restructuring its operations during this two year period to unveil a new consolidated business plan in 2011.

Showa Denko had recently shutdown operations of its acetic acid unit and cutback production at its olefin and acrylonitrile units at its petrochemical plants. fibre2fashion spoke to a official company spokesperson who confirmed the news and said, “We have cutback production of olefin by 30 percent in view of the lowered demand from downstream sector”.

He added by saying that, “We have also suspended operations at our plant, manufacturing acetic acid at Oita Petrochemical Complex and also validated the fact that operational rate of the acrylonitrile plant has also been cutback by 30 percent as in the case of the olefin capacity, due to a slowdown in demand from the Asian region”.

Fibre2fashion News Desk - India

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