Celanese Aims to Close Two European Acetyls plants

Celanese will begin consultations with employees about closing two acetyl intermediates facilities in France and Spain after failing to find a buyer that would continue production and retain the 100 employees.

In May, the U.S. group had said the 210,000 t/y vinyl acetate monomer (VAM) plant at Tarragona / Spain and the 34,000 t/y acetic acid plant at Rousillon / France, both non-integrated, were not a good fit with its new strategy of concentrating output at sites with "critical economies of scale."

In the six months the units were on the sale block, Celanese said it had no offers. Observers attributed the lack of interest in the VAM plant to low-cost competition from U.S. and Middle East producers that were making European production unsustainable.

Citing cheap imports, Swiss-based Ineos in early October said it would close its 300,000 t/y VAM plant at Hull, UK, where 18 people are employed. "Regrettably, our cost per tonne remains significantly higher than the international competition and as a consequence we have lost a number of contracts," said Ashley Reed, CEO of the group's UK arm, Ineos Enterprises.