US Shintech to invest $1.3bn for facilities expansion in Louisiana

HOUSTON (ICIS)–Shintech will invest $1.3bn to expand its manufacturing and packaging facilities in Iberville and West Baton Rouge in Louisiana, the US-based polyvinyl chloride (PVC) producer said.

The company will make a $1.25bn investment to increase PVC manufacturing capacity and expand chlor-alkali and vinyl chloride monomer capacity in its Plaquemine facility.

The expansion was announced in 2018 and is expected to be completed this year.

Shintech is also expanding its PVC packaging and warehouse operation in its Addis facility.

The company is expanding to keep pace with the rising demand for PVC, which is used in a variety of applications including, building and construction industries, healthcare, electronics, automobile, and other sectors.

“Shintech continues to invest in and increase its manufacturing presence in the North American market,” vice president of Manufacturing Danny Cedotal said.

The state of Louisiana has offered Shintech a performance-based grant of up to $6.6m for the construction, procurement and installation of infrastructure to support the expansion of the project.

The grant is payable in four instalments, contingent upon the company reaching investment and production benchmarks.

Thumbnail image of PVC pipes (Source: imageBROKER/Shutterstock)