Wedonay.com Report on Mar 7th, Shin-Etsu Chemical Louisiana LLC recently announced a $3.4 billion investment in Iberville Parish, Louisiana, USA, to expand its PVC feedstock production facilities. The project will involve the construction of a second ethylene plant and a fourth chlor-alkali and vinyl chloride monomer (VCM) plant to increase PVC feedstock capacity.
Shin-Etsu Chemical stated that this expansion is expected to create 163 new direct jobs with an average annual salary of $117,329, which is 42% higher than the average wage in Iberville Parish, while retaining 725 existing positions. According to Louisiana Economic Development, this investment will also generate 655 indirect jobs through fiscal incentives.
Shin-Etsu Chemical began operations in Louisiana in 2000 and has continuously upgraded its facilities to meet global demand for PVC and related products. The company noted that this expansion will utilize advanced technology aimed at reducing environmental emissions during PVC and caustic soda production, thereby enhancing its market competitiveness.
Shin-Etsu Chemical Louisiana is a wholly-owned subsidiary of Shin-Etsu Chemical Company, a major U.S. producer of PVC resin, which is owned by Tokyo-based Shin-Etsu Chemical Co., Ltd. Shin-Etsu Chemical is a significant player in the global PVC production industry.
Yasuhiko Saito, President of Shin-Etsu Chemical Company, commented in a statement: "This investment aligns with Shin-Etsu Chemical's strategy to ensure the reliability and cost-effectiveness of critical feedstock supply. We are deeply grateful to the state and parish officials in Louisiana, as well as our community neighbors, whose support has been crucial to Shin-Etsu Chemical's growth here."
Over its 25 years of operation in Louisiana, Shin-Etsu Chemical has completed seven major projects with a total investment of $9 billion, creating 725 direct jobs and 940 contractor positions. The company is also one of the leading exporters of containerized cargo through the Port of New Orleans.
The expansion will be carried out in phases, starting with the second ethylene plant and additional chlor-alkali and vinyl chloride monomer production facilities. The first phase is expected to be completed by 2030.
To ensure the smooth implementation of the project, Louisiana has offered Shin-Etsu Chemical Louisiana an incentive package, including a workforce development program and a $23.5 million performance-based grant tied to equipment investment and infrastructure improvements. The company also plans to participate in the state's Industrial Tax Exemption and Quality Jobs programs.
