Shintech Hikes PVC Capacity Again in Louisiana
Shintech, the US arm of Japan’s Shin-Etsu Chemical and the world’s largest producer of PVC, has announced a further vinyls expansion in Louisiana, as it continues work on another PVC project in the same state.
In this latest announcement, Shintech will spend $1.3 billion to expand its manufacturing and packaging facilities in Iberville and West Baton Rouge, reportedly adding capacities of 580,000 t/y of vinyl chloride monomer (VCM), 380,000 t/y of PVC and 390,000 t/y of caustic soda. Construction is expected to be completed in late 2023.
In 2018, Shintech said it would invest $1.25 billion to lift PVC, VCM and caustic soda output at Plaquemine in Louisiana and this project is due to be completed this year. The company is also expanding its PVC packaging and warehouse operation in Addis.
The expansions have been prompted by rising demand for PVC, which is used in various applications such as building and construction, healthcare, electronics and automotive, among others.
Louisiana Economic Development has offered Shintech a grant of up to $6.6 million toward the project’s construction, procurement and infrastructure. Payable in four installments, the grant is contingent upon the company reaching investment and production benchmarks.
Shintech started up a 500,000 t/y ethane cracker at Plaquemine in February 2020, about two years later than initially expected. The cracker supplies feedstock for Shintech’s VCM/PVC production.
Author: Elaine Burridge, Freelance Journalist
