S Korea's Samsung Petchem mulls 30-40% cut in July PTA output
14 June 2012 05:12 [Source: ICIS news]
SINGAPORE (ICIS)--?xml:namespace>South Korea’s Samsung Petrochemical plans to cut its purified terephthalic acid (PTA) production by 30-40% in July because of unfavourable market conditions, a company source said on Thursday.
“We have set a target of an overall 20% production cutback in June,” said the source.
Shutdown schedules at its PTA facilities – three in Ulsan and one in Daesan – for next month are still being firmed up, the source said.
Samsung Petrochemical’s three operating PTA plants, with a combined capacity of 1.55m tonnes/year, are currently running at 95% of capacity, the source said.
Its 450,000 tonne/year No 2 plant in Ulsan is currently shut for maintenance. It was supposed to be down for 10 days from 7 June, but the company decided to extend the shutdown up to the end of the month, the company source said.
The two other units in Ulsan have capacities of 400,000 tonnes/year and 450,000 tonnes/year, while Samsung Petrochemical’s biggest PTA plant, with a 700,000 tonne/year capacity, is located in Daesan.
“We received notice from Samsung Petrochemical to cut allocation in July,” said a source from a Zhejiang-based polyester producer, adding that the company is seeking available cargoes in the Chinese domestic market to plug its PTA shortfall.By: Becky Zhang+65 6780 4359
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