PVC producer Spolana is to shut its 135,000 t/yr plant in Neratovice, Czech Republic, during the first half of 2025, stating that current production at the site is "no longer competitive and sustainable".
Spolana, owned by Polish oil refiner Orlen had not been operating at full capacity in recent years. The plant is not integrated, and has to purchase ethylene dichloride (EDC). Caprolactam production at the site will also stop but development of a sulphuric acid production facility started in 2023, will continue. Neratovice is Spolana's only PVC production site.
A drop in demand for petrochemical products, higher European production costs and the facilities at the site being smaller than others in Europe, all contributed to the decision to cease operations the company said.
"We have decided to gradually exit the current segments of our business and prepare Spolana for new types of business, for example, in the area of industry decarbonisation", said authorised executive Piotr Kearney.