China's Shandong Hongxin shuts newly-acquired plant after restart

15 June 2012 09:30  [Source: ICIS news]

SINGAPORE (ICIS)--China’s Shandong Hongxin halted production at its recently-acquired 40,000 tonne/year maleic anhydride (MA) unit in Zibo, Shandong province early this week due to unforeseen technical issues, a company source said on Friday.

The source did not elaborate on the technical issues, but added that checks were underway.

The plant, which was started in early June, was running at 50% of its nameplate capacity prior to the shutdown.

The unit was formerly owned by Shandong Jiazhou Chemical Industry.

The shutdown is not expected to have a significant impact on the MA supply in the market as the unit has not been running since April, when it was bought over by Shandong Hongxin.

Shandong Hongxin is also planning to expand the capacity of its existing 20,000 tonne/year MA line to 60,000 tonne/year in September, two to three months later than originally planned, the source added. The existing plant is also located in Zibo.

The company's total MA capacity will increase to 100,000 tonne/year after the start up of the acquired plant and expansion of its existing unit is complete.


By: Jasmine Khoo
+65 6780 4359



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