Mitsubishi to Set Up ExxonMobil’s Polyethylene Production Train in the US

United States: Mitsubishi Heavy Industries, Ltd. (MHI), a Japan based engineering and company received an order to provide systems and facilities to support a large-scale polyethylene production train for ExxonMobil’s polyethylene plant based in Beaumont United States which would have an annual production capacity to produce 650,000 tons of polyethylene. As per the contract, MHI will provide reaction, finishing and shipping equipment along with utility facilities for water, air, and steam to the production plant. The construction of the new production train is scheduled to be completed by 2019. MHI is establishing two units of equivalent production capacities as part of the polyethylene plant. As per Mr. Shunichi Miyanaga, MHI President and CEO, the company plans to deliver superior quality plant with greater emphasis on safety management of the plant.

TechSci Research depicts that set up of a new polyethylene train in the US will cater to the market of plastics in the country especially for production of construction films, grocery bags, and product packaging. Further, this will positively influence the global demand for ethylene for production of polyethylene as well.

 According to the recently published report by TechSci Research, “Global Ethylene Market By End Use (Polyethylene (PE), Ethylene Oxide, Ethylene Dichloride (EDC) & Others), By Region (Asia-Pacific, North America, Middle East & Africa, Europe and South America), Competition Forecast and Opportunities, 2011 - 2025”, the global ethylene market is expected to grow at a CAGR of around 11.26% during 2016-2025, on the back of growing demands for flexible packaging materials, disposable items and expanding real estate & construction sector, globally. Increasing awareness among people about package labelling and its advantages, along with production of light weight automobiles and expanding infrastructure sector in developing countries is expected to result in augmented demand for ethylene and its derivatives. Global ethylene market is controlled by three major players, namely – SABIC, The Dow Chemical Company and Exxon Mobil Corporation. Few other players operating in the global ethylene market are Sinopec Corporation, LyondellBasell and Total S.A, France.