The company stated it determined that long-term sustainable growth of polybutylene succinate manufacturing would be hard under present market situations.
Mitsubishi Chemical on May 12 declared plans to withdraw from the polybutylene succinate (PBS) business handled by PTT MCC Biochem Co., Ltd., its joint venture with PTT Global Chemical in Thailand. The company stated the decision follows persisted low profitability and changing market situations that varied from preliminary business assumptions.
PTT MCC Biochem started commercial manufacturing of BioPBS biodegradable plastics in 2017 at its production facility in Rayong Province, Thailand. As per the company, the material has been utilized in applications which includes coatings for paper cups and coffee pills. Mitsubishi Chemical stated manufacturing ended in December 2025, with sales persisting until last inventory is exhausted. The company added that the joint venture will be dissolved and liquidated following the eliminating of manufacturing facilities.
PBS is a biodegradable plastic designed to decompose into water and carbon dioxide by microbial activity. Mitsubishi Chemical stated it determined that long-term period sustainable development within the business could be challenging under present market conditions.
The declaration follows numerous current restructuring moves by Mitsubishi Chemical Group. Earlier this year, the company introduced plans to withdraw from its coke and carbon materials business on the Kagawa Plant in Japan, mentioning oversupply and weak global demand situations, mainly in China and Southeast Asia. Manufacturing of needle coke and pitch coke at the site is predicted to end in financial year 2027.
Mitsubishi Chemical has also been involved in wider petrochemical restructuring efforts. In January, the company joined Asahi Kasei and Mitsui Chemicals in introducing plans to consolidate ethylene production operations in western Japan while advancing development of bioethanol-based olefin technologies as a part of a decarbonization strategy. As per the company, ethylene manufacturing can be consolidated at the Osaka Petrochemical Industries facility by fiscal year 2030.
