INEOS and Westlake Each Close Their European Chemical Plants
2025-6-25
The "de-overcapacity wave" in the European petrochemical industry is still ongoing. The two major chemical giants in Europe and America, INEOS and Westlake, announced on the same day that they would permanently shut down one of their factories located in Europe and lay off employees.
Westlake Company will close its Pernis factory in the Netherlands
According to a document disclosed by the US Securities and Exchange Commission on June 17th, Westlake will cease all operations at its Pernis factory in the Netherlands and is expected to lay off 230 employees.
The document shows that West Lake Company will shut down the bisphenol A and liquid epoxy resin units of the factory, and will not restart the chloropropene and epichlorohydrin units that were shut down in July 2024.
According to the data, the annual production capacity of the Pernis Bisphenol A plant is 150,000 tons, and the annual production capacity of the liquid epoxy resin plant reaches 100,000 tons.
According to Westlake, the main reason for this decision that the factory will be closed by 2025 was the "deterioration" of the European business. It is expected to bear a total pre-tax cost of 190 million euros, of which approximately 30 million euros will be used for employee layoffs and resettlement, and approximately 160 million euros will be used for environmental remediation and other shutdown expenses.
INEOS will shut down its Gladbach factory in Germany
On June 17th, INEOS Phenol, the world¡äs largest producer of phenol and acetone, announced its intention to permanently cease production at its Gladbeck factory in Germany.
According to INEOS, Europe¡äs high energy costs and "punitive" carbon tax policies make European manufactured products lack competitiveness. INEOS first revealed in June 2023 that it is reviewing its European aromatic hydrocarbon business, initially focusing on its Antwerp base in Belgium.
After conducting a detailed strategic review, it plans to permanently shut down the Gladbach factory, with the specific date to be determined.
According to the data, Gladbach was built in 1954 with a production capacity of 650,000 tons/year of phenol and 409,000 tons/year of acetone, making it the largest phenol factory in a single set by INEOS.
¡°This is the result of Europe¡äs complete lack of energy competitiveness and blind introduction of carbon taxes, leading to large-scale deindustrialization across the entire European continent.¡± Warned Jim Ratcliffe, Chairman and Founder of INEOS Group. ¡°Gladbach is not the first, and definitely not the last, unless regulators wake up and take action.¡±
Westlake Company will close its Pernis factory in the Netherlands
According to a document disclosed by the US Securities and Exchange Commission on June 17th, Westlake will cease all operations at its Pernis factory in the Netherlands and is expected to lay off 230 employees.
The document shows that West Lake Company will shut down the bisphenol A and liquid epoxy resin units of the factory, and will not restart the chloropropene and epichlorohydrin units that were shut down in July 2024.
According to the data, the annual production capacity of the Pernis Bisphenol A plant is 150,000 tons, and the annual production capacity of the liquid epoxy resin plant reaches 100,000 tons.
According to Westlake, the main reason for this decision that the factory will be closed by 2025 was the "deterioration" of the European business. It is expected to bear a total pre-tax cost of 190 million euros, of which approximately 30 million euros will be used for employee layoffs and resettlement, and approximately 160 million euros will be used for environmental remediation and other shutdown expenses.
INEOS will shut down its Gladbach factory in Germany
On June 17th, INEOS Phenol, the world¡äs largest producer of phenol and acetone, announced its intention to permanently cease production at its Gladbeck factory in Germany.
According to INEOS, Europe¡äs high energy costs and "punitive" carbon tax policies make European manufactured products lack competitiveness. INEOS first revealed in June 2023 that it is reviewing its European aromatic hydrocarbon business, initially focusing on its Antwerp base in Belgium.
After conducting a detailed strategic review, it plans to permanently shut down the Gladbach factory, with the specific date to be determined.
According to the data, Gladbach was built in 1954 with a production capacity of 650,000 tons/year of phenol and 409,000 tons/year of acetone, making it the largest phenol factory in a single set by INEOS.
¡°This is the result of Europe¡äs complete lack of energy competitiveness and blind introduction of carbon taxes, leading to large-scale deindustrialization across the entire European continent.¡± Warned Jim Ratcliffe, Chairman and Founder of INEOS Group. ¡°Gladbach is not the first, and definitely not the last, unless regulators wake up and take action.¡±