The world’s biggest producer of polyvinyl chloride, Shin-Etsu Chemical Co. Ltd., plans to invest $1.49 billion to expand its American subsidiary’s polyvinyl chloride (PVC) manufacturing plant in Plaquemine, LA and open a new production facility for chlor alkali and vinyl chloride monomer (VCM), Louisiana Gov. John Bel Edwards announced in a press release Tuesday.

“This investment builds on our local and global sales capabilities, and aligns with our long-range plan to leverage our economy of scale in the U.S. for production of PVC and caustic soda. We are extremely grateful to Louisiana state and parish officials and our neighbors, whose strong support and understanding has enabled Shintech’s continued growth and success in Louisiana,” said Shin-Etsu Chemical’s president and director Yasuhiko Saitoh in a statement. 

The new Shintech Louisiana LLC production site will manufacture 1 billion lb/yr of chlorine, 1.1 billion lb/yr of caustic soda, and 1.65 billion lb/yr of VCM, according to the company’s website. Its revamp of the PVC plant will expand the site’s PVC production capacity by 1.3 billion lb/yr.

Shintech said the project stems from growing global demand for PVC and caustic soda. The upgrade of the existing PVC manufacturing site in Plaquemine is expected to reach completion in late 2020 and become operational the following year. 

About 120 new jobs will be created as a result of the expansion, and the company said it will retain 500 workers at its West Baton Rouge and Iberville parish sites.

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