16 March 2011 13:10 [Source: ICIS news]
Following last week’s earthquake and tsunami, Japan’s facilities - though structurally sound - face acute power shortages and a shortage of feedstock cyclohexane (CX), which could lead to shutdowns or reduced operating rates.
"We cannot rule [out] the possibility that most major caprolactam plants in
"It is difficult to predict the future situation," he added.
There were fears of a shortage of one of caprolactam's key feedstocks, CX.
However, some industry sources disagreed with the idea that producers might declare FM.
"It's not really in [the] Japanese business culture to declare FM just because of [a] feedstock shortage," said one major trader.
The most amicable way to resolve the problem would be to defer monthly allocated volumes for the next few months and make up for them once production was back on track.
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