Mitsubishi Chemical Corp. recently announced it has terminated plans to build an MMA monomer plant in Geismar, Louisiana. The company announced a land purchase and feasibility study for the proposed plant in December of 2020. The plant would have had a capacity of 350,000 metric tons per year and would have used ethylene derived from US shale gas and employ the group’s proprietary New Ethylene Method (Alpha Method) technology. 

When announcing the termination of the project, Mitsubishi Chemical said that the company expected to meet demand for existing MMA monomer at facilities in Tennessee and elsewhere. It additionally cited failure in negotiations with customers to obtain long-term commitments for the product produced at the planned facility as another reason for cutting the project.  

In correction with the decision, the group expects to record a loss of approximately 20 billion yen ($126 million) in the third quarter of the fiscal year ending March 31, 2025. 

Learn more about Mitsubishi Chemical Group at www.mcgc.com/english.