Formosa Plastics Group likely to decide US investment plan in H1-2017

16-Feb-17

Two major subsidiaries of petrochemical conglomerate Formosa Plastics Group are expected to finalize a joint investment plan in the United States in H1-2017, as reported by focustaiwan.tw . Formosa Petrochemical Corp. and Formosa Chemicals & Fibre Corp. are planning to jointly invest US$9.4 bln in Louisiana to produce ethylene and propylene, and details of the plan are expected to be completed by the end of June.

In the project's initial phase, the two companies expect to produce 1.2 mln metric tpa ethylene, 600,000 tpa of propylene, 800,000 tpa of ethylene glycol and 600,000 tpa of polypropylene along with other products. In the second stage, Formosa Petrochemical said, capacity will be added to produce an additional 1.2 million tpa of ethylene and 800,000 tons of ethylene glycol.

The announcement came after FPG President Wang Wen-yuan said in an interview published by the Commercial Times on Monday that FPG is considering the feasibility of a broader investment plan to include the Louisiana plan and a possible investment in neighboring Texas.