Idemitsu SM Malaysia Restarts Styrene Manufacturing Operations

Idemitsu SM Malaysia, a subsidiary of the renowned Japanese petrochemical giant Idemitsu Kosan Co, has adjusted its timeline for the resumption of styrene production in Pasir Gudang, Malaysia, pushing it to early December due to unforeseen repairs. The styrene production facility, boasting an annual capacity of 240 thousand tons, encountered an unexpected technical breakdown, leading to its closure on October 16. The initially projected reopening date was set for mid-November.

This delay in resuming styrene production comes as a result of the unscheduled repairs required to address the technical issues. The extension of the shutdown period reflects Idemitsu SM Malaysia's commitment to ensuring the comprehensive restoration of the production facility's functionality, thereby maintaining operational integrity.

Earlier this year, on June 16, 2022, Idemitsu SM Malaysia had previously closed its styrene production in Pasir Gudang due to another technical breakdown, underscoring the inherent challenges in maintaining continuous operations in the petrochemical industry.

In the broader landscape of styrene monomer production in Southeast Asia, other significant players include Ellba Eastern in Singapore, Styrindo Mono Indonesia, and Siam Styrene Co. These entities collectively contribute to the regional production capacity and supply chain dynamics.

Styrene, a key component in the production of polystyrene (PS), serves as the primary raw material for this widely used thermoplastic polymer. The temporary disruption in styrene production at Idemitsu SM Malaysia impacts the broader supply chain, potentially influencing the availability and pricing of polystyrene and styrene plastics in the market.

Idemitsu Kosan Co, the parent company of Idemitsu SM Malaysia, operates as a Japanese oil company with a diverse portfolio encompassing oil platforms and refineries. The company is actively engaged in the production and sale of petroleum and petrochemical products, contributing significantly to the energy and chemical sectors. Idemitsu Kosan Co manages two petrochemical plants located in Chiba and Tokuyama, with a combined cracker capacity of 997 thousand tonnes of ethylene per year.

The adjusted timeline for the resumption of styrene production at Idemitsu SM Malaysia highlights the complex challenges inherent in the petrochemical industry. The proactive approach to address technical breakdowns and ensure comprehensive repairs underscores the company's commitment to maintaining operational excellence. The ripple effects on the styrene-based supply chain emphasize the interconnectedness of the petrochemical industry, and the continued growth in consumption signals the sustained demand for these critical materials in various applications. As Idemitsu SM Malaysia works towards the timely restoration of production, it plays a vital role in shaping the dynamics of the regional styrene and polystyrene markets.