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Rising Feedstock Costs Force Cuts in Petrochemical Production

4:25 PM MDT | July 14, 2008 | Deepti Ramesh

Several leading Asian petrochemical producers have reportedly decided to cut production due to rising costs of raw materials. The companies aim to stabilize margins, which are declining, reports say. Asahi Kasei plans to reduce operating rates at its 443,000-m.t./year ethylene plant at Mizushima, Japan to 95% starting this month, reports say. Record high crude oil prices have reduced margins, forcing Asahi’s Sanyo Petrochemical subsidiary to cut production at the Mizushima plant, reports say. It is the first time Asahi has cut ethylene production in the...

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