Shintech Applies for Permits for Vinyl Chloride Monomer (VCM) Manufacturing Facility in Texas
On May 29, Shintech Inc., a wholly owned subsidiary of Shin-Etsu Chemical (Tokyo), has announced that is has submitted applications with the Texas Commission of Environmental Quality for the construction and operation of a major integrated facility in Texas to produce VCM (vinyl chloride monomer) and chlor-alkali.
The filing of the applications is another step in Shintech’s long-range plan to secure VCM sourcing in the U.S. for the production of PVC. The capacities of the facility will consist of 825,000 tons per year of VCM and 550,000 tons per year of caustic soda.
Shintech Inc. initiated production of PVC in the U.S. (Texas) in October 1974. In the ensuing years Shintech has grown faster than the overall PVC industry and established its foothold in the markets as the leading PVC producer, not only in North America but also globally. During that time Shintech has purchased much of its VCM requirements, the primary raw material for the manufacture of PVC, from The Dow Chemical Company. Shintech executives state that Dow has been a valued and reliable supplier for many years and continues today as Shintech’s primary supplier of VCM.
Shintech continues to pursue its strategy of participating in the large and growing global market for PVC. To do so, among other things, Shintech has been considering upstream integration in order to assume greater control of its VCM sourcing and to have ready access to additional supplies as they are needed. In fact, two and one-half years ago Shintech made a decision to build a fully integrated facility in Louisiana. The construction of that facility is underway. Further upstream integration of VCM is a core element of Shintech’s long-range plan for VCM sourcing.
While the investment for the integrated VCM manufacturing facilities will be sizable, it will be funded solely from the Shin-Etsu Group’s internal resources with no borrowing from outside sources.
Shintech’s PVC manufacturing facilities are located in Texas and Louisiana.
Shintech is a major part of Shin-Etsu’s PVC business. Shin-Etsu is the world’s largest producer of PVC.
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For any inquires regarding this matter, please contact:
Shin-Etsu Chemical Co., Ltd.
Public Relations Dept.
Ken Nakamura, or Tetsuya Koishikawa
Tel: 03-3246-5091, or from outside Japan: 81-3-3246-5091
E-mail address: sec-pr@shinetsu.jp |
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