TAGS: Sustainability / Natural Solutions
Idemitsu Kosan and Mitsui Chemicals announce that they have agreed to begin joint deliberations on optimizing production by consolidating their Chiba ethylene complexes.
Idemitsu and Mitsui have now agreed to begin considering the optimization of production via the consolidation of their Chiba ethylene complexes.
Developing High Value-added Fractions
The objective of taking their collaborative efforts to date a step further and achieving even greater improvements in the competitiveness of their existing businesses.
In 2010, Idemitsu and Mitsui used a limited liability partnership (LLP) to establish Chiba Chemicals Manufacturing LLP and began jointly operating the ethylene facilities owned by both companies in Chiba.
Under this structure, the two companies have fastidiously pursued synergies that would not have been possible while working independently. This also includes in the areas of raw material options, production optimization, the development of high value-added fractions and investment in joint rationalization.
However, Japanese ethylene complexes continue to be forced to operate at a low rate. This is due to both the opening of large new additional petrochemical complexes, mainly in China, and the diminishing domestic ethylene demand. In addition, amid the global push to achieve carbon-neutral societies, there are powerful calls to step up efforts for deliberations on the construction of next-generation industrial complexes aimed at reducing CO
2 emissions and promoting the circulation of resources.
Source: Mitsui Chemicals