September 3, 2024 15:41

After announcing in April the intention to permanently cease the production of PET and purified terephthalic acid (PTA) at the integrated complex in Rotterdam, Netherlands, and initiating negotiations with unions for this purpose, Indorama Ventures has confirmed the closure of the site in a statement to the Thai stock exchange authorities.

The plant, acquired from Eastman in 2008, has a capacity of 700,000 tons per year of PTA and over 400,000 tons per year of PET, distributed across two units.

Among the reasons cited by the Thai group are the excess capacity driven by China and the structural imbalance of refinery capacities at the regional level, which are impacting raw material costs.

The company has also announced the closure of its ethylene oxide (EO) and derivatives plants in Australia, along with the purified terephthalic acid (PTA) unit in Montreal-Est, Canada.

These initiatives are part of the strategic IVL 2.0 plan, aimed at reducing costs, downsizing capacities, and improving profitability.

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