Two projects will increase current Polypropylene (PP) capacity in Brazil of 1,415,000 tpa by 490,000 tpa by 2008. Two capacity expansions at Suzano Petroquímica and a new project by Braskem will be implemented, altering the supply-demand balance of PP in Brazil, increasing the surplus for export and reducing the volumes imported.
The first to begin operations is the expansion of the Suzano plant in Rio de Janeiro, boosting capacity from 200,000 to 300,000 tons in Q1-08. The 300,000 tpa PP plant of Petroquímica Paulínia in São Paulo is scheduled for start up in Q2.
Another expansion of Petroquímica Suzano, scheduled to start up in Q4 from 360,000 tpa to 450,000 tpa, subsequent to the start up of PQU´s expansion, suppliers of the feedstock for the project.