Home / Knowledge / News / Textiles / Mitsubishi to execute structural changes at Kashima plant

Mitsubishi to execute structural changes at Kashima plant

18
Jun '12
Mitsubishi Chemical Corporation (MCC), which is a subsidiary of Mitsubishi Chemical Holdings Corporation, has decided to implement a structural reforms of basic petrochemicals business at the Kashima Plant with an aim to establish the structure where MCC quickly corresponds to an anticipating further trend toward high performance and high added value of certain petrochemical products in the future.

In the domestic petrochemical industry, there has been a rapid shift from general purpose products to high performance and high added value products under the influence of expansions of large-scale production facilities in the Middle East, increasing supply capacity of petrochemical products in China, emergence of shale gas mainly in the North America and so on.

Since 2009, MCC has achieved the shift toward high performance and high added value including the following:

(i)         Invitation of ethylene oxide customers into Kashima area so that ethylene oxide are supplied directly through pipelines;

(ii)        Expansion of the production facilities of ethylene carbonate;

(iii)       Expansion of the production facilities of polypropylene; and

(iv)       Consolidation of Nippon Synthetic Chemicals Co., Ltd.

In parallel, MCC has disposed certain businesses including the following:

(i)         Withdrawal from vinyl chloride business;

(ii)        Divestiture of polyamide business;

(iii)       Withdrawal from domestic terephthalic acid business; and

(iv)       Withdrawal from styrene monomer business.

In addition, MCC established Nishi Nippon Ethylene LLP as a joint venture with Asahi Kasei Chemicals Corporation ("AKC") in 2011, under which an extensive study for the integration and unification of the steam cracker operations of MCC and AKC is now jointly conducted.

In addition to the foregoing various measures, MCC decided to implement the following structural reforms of basic petrochemicals business at the Kashima Plant, through which MCC will establish a foundation of flexible production system for the said shift into the high performance and high added value of certain petrochemical products in the future.

MCC anticipates that such structural reforms will bring us a high operation rate of steam cracker even in a low demand business environment in the future, a reduction of fixed costs by approximately four billion Japanese Yen (JPY4,000,000,000) per annum and so on.

MCC is going to accelerate to implement necessary measures for high performance and high added value of petrochemical products, and continue to conduct an extensive study to deepen business alliances with oil refinery.

(i)         Cessation of the No.1 Ethylene Plant ("K1E") and the No.1 Benzene Plant ("K1Bz")


Must ReadView All

Pic: Ritu Manoj Jethani / Shutterstock.com

Apparel/Garments | On 31st Jul 2021

US firm Steve Madden moves production to Mexico & Brazil from China

As supply chain disruption remains a significant challenge, American...

Pic: GBG USA

Apparel/Garments | On 31st Jul 2021

Apparel & footwear firm GBG USA files for bankruptcy protection

GBG USA, an indirect wholly owned subsidiary of Global Brands Group...

Pic: Shutterstock

Apparel/Garments | On 31st Jul 2021

Asian garment industry market concentration, consolidation rise: ILO

Although Asia's garment market rose in size in value terms before the ...

Interviews View All

Florian Heubrandner, Lenzing AG

Florian Heubrandner
Lenzing AG

Cannot see the world breaking away from cotton & polyester

Florian Heubrandner, Lenzing AG

Florian Heubrandner
Lenzing AG

Sustainable and eco-friendly fibres remain in the minority

Textile Industry, Head honchos

Textile Industry
Head honchos

There was a certain switch, but it was not 100% pandemic related

Chendhuran Sundar,

Chendhuran Sundar

Headquartered at Singapore, Crocodile is a global fashion and lifestyle...

Dhirubhai & Arvind Shah,

Dhirubhai & Arvind Shah

It supplies synthetic fabrics to top international brands like M&S,...

Raiyan Islam,

Raiyan Islam

Founded in 1981 by Sayeeful Islam, Concorde Garments Group is a market...

Brad Holschuh, Wearable Technology Lab, University of Minnesota

Brad Holschuh
Wearable Technology Lab, University of Minnesota

A new study led by researchers at the University of Minnesota's Design of...

Silverio Baranzano, Fitesa

Silverio Baranzano
Fitesa

Fitesa is a leader in the nonwoven fabrics industry, specialising in...

Michaela Griggs & Peggy Schulz, Barco Uniforms

Michaela Griggs & Peggy Schulz
Barco Uniforms

Founded in 1929, Barco Uniforms started as an apparel company for beauty...

Seema Agrawal, Artisan Saga

Seema Agrawal
Artisan Saga

Artisan Saga, founded by Kaushik Rajani and Seema Agrawal, is an online...

Vidur Adlakha & Riccardo Bennidini, La Fuori

Vidur Adlakha & Riccardo Bennidini
La Fuori

With an active presence in US, Italy and India, clothing brand La Fuori...

Seema Gujral, Label Seema Gujral

Seema Gujral
Label Seema Gujral

<b>Seema Gujral</b>'s designs for her eponymous label revolve around...

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


July 2021

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


Advanced Search