Mitsubishi cuts Asia PTA output by up to a third

07 May 2008 11:35  [Source: ICIS news]

TOKYO (ICIS news)--From the end of April Japanese chemicals producer Mitsubishi Chemical Co (MCC) slashed the production of purified terephthalic acid (PTA) by up to 30% in Asia due to high feedstock costs and low demand, the company said on Wednesday.

 

At its facilities in Japan, as well as in China at subsidiary Ningbo Mitsubishi Chemical (NMC), production would be reduced 20-30%, it added.

 

The NMC facility underwent a 26-day maintenance turnaround in March, according to previous ICIS news reports.

 

In Indonesia, MCC would cut production by 5-10%, it said.

 

The company did not specify how long the production reduction would last but said it would slash output even more if profitability fell further.

 

Meanwhile, sales of polyester in India were robust and MCC did not plan to reduce production of PTA there but continue at full operating rates, the company said.

 

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By: Tomomi Yokomura
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