INEOS Styrolution announces closure of polystyrene site

The site, which currently employs approximately 100 people, has been a longstanding part of the INEOS Styrolution business. INEOS Styrolution recognises the significant impact this decision will have on employees and their families and is committed to supporting affected employees throughout the transition.

“Persistent margin pressures continue to threaten the viability of our North American business as we face ongoing pressure from industry oversupply,” said Steve Harrington, CEO of INEOS Styrolution. “Following a thorough evaluation of market conditions, industry utilisation rates, the site’s cost structure and long-term outlook, we have concluded that continuing operations at Channahon is no longer economically viable. At the same time, we remain confident in the long-term value of polystyrene.”

“This is a difficult decision given its impact on our employees. Their commitment and professionalism have been outstanding throughout the years. This decision reflects broader market dynamics, not the dedication or performance of our Channahon team.”

As part of its strategy to optimise its asset base, the company will transition North American PS production from three sites to two, continuing operations at Decatur, Alabama, and Altamira, Mexico. This will enable a more efficient, focused, and reliable production network.

INEOS Styrolution remains fully committed to its polystyrene business and will continue to serve customers across North America with high-quality materials for applications across segments such as healthcare, packaging, appliances, and construction. The company will continue demonstrating the sustainability and recyclability of PS products while supporting the long-term future of the industry.

“We continue to believe strongly in the value that polystyrene delivers to customers,” said Greg Fordyce, President of INEOS Styrolution Americas. “Its versatility, performance, efficiency, and potential to support circular solutions make it an essential material across a wide range of applications. These valuable materials require significant expertise, resources, and ongoing support to produce. By concentrating production in fewer, more efficient assets, we are strengthening our ability to serve customers reliably while reinforcing our long-term competitiveness in a challenging market environment.”

The Channahon site, located approximately 45 miles southwest of Chicago, has been in operation since 1960 and has a production capacity of approximately 400 000 t. The Americas Regional Development Center (RDC), currently located at the site, will remain and continue to support innovation and new market development across all its styrenic product lines.

Safety will remain the company's highest priority throughout the closure process to protect employees, contractors, and the local community. INEOS Styrolution sincerely appreciates the commitment and contributions of its employees, along with the continued trust and support of its customers.

Read the article online at: https://www.hydrocarbonengineering.com/petrochemicals/22062026/ineos-styrolution-announces-closure-of-polystyrene-site/