Mitsubishi Chemical Cuts Ethylene Production

Tokyo, March 9 (Jiji Press)--Mitsubishi Chemical Corp. has reduced output of ethylene, a material for plastics and other industrial products, to avoid a production halt due to possible supply shortages of raw materials from the Middle East, company officials said on Monday.

The Japanese company has been producing ethylene at a reduced rate at its plant in Kamisu, Ibaraki Prefecture, northeast of Tokyo, since Friday, the officials said.

The decision reflected concerns that naphtha, a material for ethylene, could be in short supply amid escalating tensions in the Middle East.

Mitsubishi Chemical has already notified its major clients of the production cut.

Japanese petrochemical firms make ethylene at 12 domestic production facilities using naphtha. Ethylene is used to make a wide variety of industrial products including resign auto parts, synthetic fibers and food packaging.

[Copyright The Jiji Press, Ltd.]