In a bid to reduce costs, Japan Polypropylene Corp. will close two relatively old polypropylene plants in 2011, as per Platts. A 90,000 tpa plant at Kashima, operational since 1970, will be shut in May 2011. A 79,000 tpa plant in Ichihara, operational since 1967, will be shut in June 2011.
This step has been taken by the company as part of its restructuring plans in a bid to cope with deteriorating PP demand in the domestic market and enhance the competitiveness of its PP. Japan Polypropylene is owned by 65:35 owned by Japan Polychem and Chisso, and it currently has 11 PP plants in Japan with a total capacity of 1.244 million tpa.