Japanese Chemical Makers Cutting Ethylene Output

Tokyo, March 12 (Jiji Press)--Major Japanese chemical manufacturers have begun reducing ethylene production amid the deteriorating situation in the Middle East.

On Thursday, Mitsubishi Chemical Corp. and Asahi Kasei Corp. announced that they have lowered the operational rate at their joint facility in Kurashiki, Okayama Prefecture, western Japan.

This is the fourth ethylene production facility in the country to reduce output.

Ethylene is a key raw material for various industrial products, including plastics. Prolonged disruptions could affect the production of automobile parts, detergents, clothing and other goods.

Currently, Japan has 12 ethylene production facilities. Amid the effective blockade of the Strait of Hormuz, procuring naphtha, a crude oil derivative and ethylene ingredient, may become challenging.

[Copyright The Jiji Press, Ltd.]