BASF, Idemitsu JV shut down 1,4 Butanediol production plant

In Japan, Ink World reports that Germany-based BASF and Japan-based Idemitsu Kosan will close the 1,4-Butanediol (BDO) plant in Japan as of December 2020 and end their joint venture thereafter due to a declining BDO market size in Japan and “significant overcapacities in Asia due to recent investments into new coal-based BDO production sites.”

BDO is an organic compound used in the production of engineering plastics, polyurethanes, solvents and elastic spandex fibers.

“As one of the leading companies in the business with BDO and derivatives, we will continue to support our customers on a global basis with our high-quality products. The recent measure is part of our strategy to ensure that we further improve our competitiveness in the markets where we add long-term value to both our customers’ businesses and to BASF,” said Vasilios Galanos, senior VP, Intermediates Asia Pacific, BASF.

“The closure of the Chiba plant has become inevitable due to a declining BDO market size in Japan and significant overcapacities in Asia due to recent investments into new coal-based BDO production sites,” added Masaru Saitoh, President, BIC. BIC is reaching out to all customers to support a smooth transition.