13 August 2013 10:06 [Source: ICIS news]
SINGAPORE (ICIS)--Japan’s Ishihara Sangyo Kaisha (ISK) will close its 54,000 tonne/year titanium dioxide (TiO2) plant in Singapore permanently because of poor economics, the company said in a statement late on Monday.
ISK cited high infrastructure costs, partly because of a strong Singapore dollar, as among the reasons for its decision to shut operations at the plant, but did not state the exact schedule for the closure.
The plant will be shuttered in the “next few days”, according to a company source.
“The business at ISK Singapore has been challenging, and the recent sharp increase of feedstock prices and worldwide sluggish demand has further impacted its profitability negatively to such an extent that significant improvement cannot be expected in the foreseeable future,” the company said in the statement.
ISK will now consolidate production of TiO2 products into its existing plant in Yokkaichi, Japan, the company said without providing a timeline for the shift.
“ISK continues to put various plans into practice including overall cost reductions, increasing sales of value-added products such as functional materials, and commercialisation of new business such as rare metals and battery materials,” the company said.
Additional reporting by Alexis Gan
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