Propylene prices edge lower in China

On Wednesday, propylene prices fell in China while remaining stable in Korea, as per Polymerupdate.

CFR China propylene prices on Wednesday were assessed at the USD 795-805/mt levels, a day on day drop of USD (-5/mt). An industry source in Asia informed a Polymerupdate team member, "Price quoted lower on the back of bearish regional buying sentiments."

Meanwhile, FOB Korea propylene prices on Wednesday were assessed at the USD 765-775/mt levels, rolled over from Tuesday.

In plant news, Hebei Haiwei Group has restarted its propane dehydrogenation (PDH) plant around September 15, 2025, following a shutdown for maintenance at the end of August 2025. However, no official confirmation has been obtained. Located in Hebei, China, the plant has a propylene production capacity of 500,000 mt/year.

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Mitsubishi Gas Chemical Co., Inc. has announced that its affiliate, MGC Specialty Chemicals Netherlands BV (Botlek Rotterdam, Netherlands), will temporarily suspend construction of its meta-xylenediamine (MXDA) production facility at Rotterdam, as per Chemweek.

This decision comes in response to significant construction delays, rising costs and shifts in the market environment. The facility was supposed to support growing demand in the epoxy, polyamide and isocyanate sectors, with a targeted production capacity of 25,000 metric tons per year.

The MXDA production facility was intended to establish a new production site in Europe, the largest market for MXDA, with plans to commence operations by July 2024. However, the project faced several hurdles, including a change in one of the contractors mid-construction, which contributed to delays. Additionally, the ongoing Russia-Ukraine conflict led to substantial increases in construction and labor costs, said the company.

Given these challenges, Mitsubishi Gas Chemical expressed concerns that the commercial feasibility of the project may deteriorate from its initial projections. As a result, the company decided to halt construction work temporarily to conduct a thorough review of the business plan and assess the future of the project.

The company is evaluating the impact of this suspension on its consolidated financial results for the fiscal year ending March 31, 2026. It has committed to providing timely updates if any significant developments arise that require disclosure.

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NewMarket Corp. (Richmond, Virginia) is acquiring Calca Solutions LLC (Lake Charles, Louisiana), a producer of hydrazine and derivatives, from AE Industrial Partners LP (Boca Raton, Florida), as per Chemweek.

NewMarket expects to close the deal, which entails the purchase of Calca’s parent Mars TopCo LLC, by the end of this year. Financial terms were not disclosed.

Calca is “the leading US manufacturer of ultrapure and high-purity hydrazine,” NewMarket said in a Sept. 17 press release. The company has been supplying high-purity hydrazine, which is used for the propulsion of satellites and other space vehicles, to the US Department of Defense for over 70 years. Hydrazine and its derivatives are also used in the manufacture of agricultural, pharmaceutical, water treatment and industrial products.

“Calca is our second recent acquisition in the defense and aerospace industries, and we intend to use our technological capability, financial strength, and ultra long-term investment horizon to be the right long-term partner for our defense, aerospace, and all other customers,” said Thomas E. Gottwald, NewMarket’s chairman and CEO.

NewMarket acquired American Pacific Corp. (Ampac; Cedar City, Utah), a producer of the rocket fuel ammonium perchlorate, for approximately USD700 million in 2024. In April 2025, Ampac announced plans for a USD100 million ammonium perchlorate expansion.

AE Industrial Partners acquired Calca from Arxada, a spin-off from Lonza, in 2024.

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Kemira Oyj said its previously communicated plan to build a reactivation plant for activated carbon at the Helsingborg site in Sweden has received full investment approval, as per Chemweek.

A low double-digit million-euro investment will be required for the new plant, Kemira said in a statement Sept. 17.

This decision marks a step forward in Kemira’s efforts to expand its water treatment capabilities across the Nordic region, invest in activated carbon as a new growth area, and advance its long-term goal to double the size of its water treatment business, the company said.

The new plant will reactivate spent granular and pelletized activated carbon, enabling reuse in drinking water and wastewater treatment applications, Kemira said. This technology plays a critical role in removing various residues from water, for example micropollutants, including per- and polyfluoroalkyl substances (PFAS), it said.

The plant is expected to be operational in the second half of 2027, subject to final permits and construction timelines, Kemira said.

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Nippon Sanso Holdings Corp. has announced that its subsidiary, Nippon Gases Norway, will construct a new air separation plant at the Viganeset industrial area of Hjelmeland, Norway, as per Chemweek.

This project, under the European operating company Nippon Gases Euro-Holding S.L.U. (Madrid), represents an investment of 400 million Norwegian kroner ($40.6 million) and is scheduled to commence operations in 2027.

The new facility aims to bolster the supply infrastructure for industrial, food-grade and medical gases, specifically catering to the aquaculture sector and other industries in southwestern Norway. This marks the fourth air separation plant that Nippon Gases Norway has established in the country.

In addition to the Norwegian project, Nippon Sanso recently announced plans to construct an air separation plant at Las Vegas, Nevada. This facility will be operated by Matheson Tri-Gas Inc., based at Irving, Texas, and is also slated for completion in 2027.

Nippon Sanso is an affiliate of Mitsubishi Chemical Holdings Corp.

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