The war provoked by US and Israeli attacks on Iran has impacted supplies of naphtha from the Middle East, which debts for approximately 60% of Japan’s imports of the raw material.
Some Japanese chemical corporations have already been imposed to decrease manufacturing because of the ongoing crisis in the Gulf and the causing disruptions in supplies of naphtha, a main raw material for the petrochemical sector. Mitsubishi Chemical Group stated, it had reduced the operating rate of its ethylene plant in Ibaraki Prefecture beginning Friday to avoid a potential shutdown due to supply shortages from the Middle East. Sumitomo Chemical, via its Singapore-based subsidiary Sumitomo Chemical Asia, has announced the force majeure on shipments of methyl methacrylate, a product used in resins, coatings, and acrylic plastics.
Japanese refiner Idemitsu Kosan has warned it may close the ethylene plants in Yamaguchi and Chiba provinces if the Strait of Hormuz stays closed. The war caused by the USA and Israeli attacks on Iran has impacted naphtha supplies from the Middle East, which accounts for about 60% of Japan’s imports of the raw material, as per the data from the Japan Petrochemical Industry Association. Many Asian ethylene manufacturers are highly reliant on these supplies, which are used for products which includes plastic bottles, polyester, and coatings.
