Dutch DSM Melamine shuts 30k/t Geleen plant

25 November 2008 03:35  [Source: ICIS news]

SINGAPORE (ICIS news)--Dutch producer DSM Melamine has decided to temporarily shut its 30,000tonne/year melamine plant in Geleen, The Netherlands to adjust inventories and output to lower demand in the fourth quarter, the company said in a statement late Monday.

 

“The shutdown period will last for approximately six weeks up until the end of December 2008,” said DSM

 

DSM has another melamine plant in Geleen with a 120,000 tonne/year capacity.

 

The shutdown comes after its joint venture in Indonesia, DSM Kaltim Melamine (DKM), delayed the restart of its 60,000 tonne/year plant to the second half of December from end-November as originally scheduled.

 

The shut down comes after global melamine producers met with lacklustre demand, prompting a fall in melamine prices.

 

Market players expect more shutdowns or operating rate adjustments in the coming quarters as the market tries to cope with mounting surplus of melamine.  

 

For more information on melamine, visit ICIS chemical intelligence
To discuss issues facing the chemical industry go to ICIS connect

 

By: Leon Toh
+65 6780 4359

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