21 February 2012 09:54 [Source: ICIS news]
SINGAPORE (ICIS)--China’s TSRC-UBE (Nantong) Chemical Industrial plans to shut its 72,000 tonne/year butadiene rubber (BR) plant at Nantong, Jiangsu province, on 1 March for around 20 days because of high feedstock costs, a company source said on Tuesday.
The plant usually runs at a reduced capacity of 54,000 tonnes/year.
The plant was originally scheduled to be shut in early February, as TSRC-UBE’s margins were squeezed by high feedstock butadiene (BD) prices, the source said.
However, the company delayed the shutdown without providing a reason.
The shutdown is likely to cause BR supply in east China to tighten as TSRC-UBE is a major BR producer in that market, an industry player said.
The company is a joint venture between Taiwan Synthetic Rubber Corp (TSRC), which owns a 55% stake, Japanese chemical producer Ube Industries with a 25% stake and Marubeni, which owns the remaining 20%.
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