BASF EPS unit set for cuts and closures

Anthony Clark

Published: September 18, 2012 6:00 am ET

Related to this story

Topics Materials, Mergers & Acquisitions, Suppliers

LUDWIGSHAFEN, GERMANY (Sept. 18, 8:30 a.m. ET) — Sliding margins and overcapacity in the EPS market has forced BASF SE into realigning its Styropor business, the company has revealed. This will include the closure of its EPS plants in Pasir Gudang, Malaysia and Thane, India.

“These measures are part of BASF’s global strategy to foster value-oriented growth and will ensure that we remain competitive in markets where we add long-term value both to our customers’ businesses and to BASF,” said Wolfgang Hapke, president of BASF’s performance polymers division.

“The closure of BASF’s Styropor plants in Malaysia and India has become inevitable due to the high EPS overcapacities in Asia Pacific that have developed in recent years. These overcapacities have led to extremely low margins which make our operations in India and Malaysia uneconomic,” added Giorgio Greening, BASF’s head of its global business unit for foams.

In South America the company is looking to divest its EPS operations, Greening added.

“The carve-out of the Styropor business in Brazil and Argentina will help us to be flexible with regards to future strategic options. For the Styropor business in Chile the strategic evaluation is still underway,” he explained.


Comments

BASF EPS unit set for cuts and closures

Anthony Clark

Published: September 18, 2012 6:00 am ET

Post Your Comments


Back to story


More stories

Image

Polypropylene prices rise, while PE and PS fall

February 26, 2015 4:01 pm ET

North American prices for polyethylene and polystyrene resins continued to fall in February, while regional prices for polypropylene showed a...    More

Image

NFM Welding Engineers opens direct office in China

February 26, 2015 2:05 pm ET

MASSILLON, OHIO — Extrusion equipment manufacturer NFM Welding Engineers Inc. has opened a sales office in Dalian, China.    More

Image

Price and sustainability both key to success for carpet recycler

February 26, 2015 1:28 pm ET

DALLAS — A green message will get you in the door, but ultimately that sustainability message has to be backed up with quality at the right...    More

Image

Ferro acquires TherMark Holdings for $5.5 million

February 26, 2015 12:15 pm ET

Ferro Corp. said it acquired privately held TherMark Holdings Inc., a laser marking technology company, for $5.5 million in cash.    More

Image

Serbia puts Krušik-Plastika up for sale

February 26, 2015 11:39 am ET

The Serbian Privatization Agency has launched the privatization process for local plastics maker Krušik-Plastika. The agency says it is currently...    More

Market Reports

Flexible Packaging Trends in North America

North America represents about 30 percent of the global consumption of flexible packaging. Annual growth in this region is forecast at 4 percent during the next 5 years.

For more insight on growth opportunities, drivers of growth and the outlook for 2015, download this report.

Learn more

Plastics Recycling Trends in North America

This report is a review and analysis of the North American Plastics Recycling Industry, including key trends and statistics based on 2013 performance. We examine market environment factors, regulatory issues, industry challenges, key drivers and emerging trends in post-consumer and post-industrial recycling.

Learn more

Plastics in Mexico - State of the Industry Report

This report analyzes the $20 billion plastics industry in Mexico including sales of machinery & equipment, resins and finished products.

Our analysts provide insight on business trends, foreign investment, top end markets and plastics processing activity. The report also provides important data on exports, production, employment and value of plastics products manufactured.

Learn more

Upcoming Plastics News Events

June 2, 2015 - June 3, 2015Plastics Financial Summit - Chicago 2015

September 16, 2015 - September 18, 2015Plastics Caps & Closures - September 2015

More Events